Dáil Éireann Debate, Tuesday - 31 May 2022
480. Deputy Catherine Connolly asked the Minister for Social Protection the estimated cost of making the fuel allowance available for 32 weeks per annum, 40 weeks per annum and 52 weeks per annum; and if she will make a statement on the matter. [27935/22]
View answerThe Fuel Allowance is a payment of €33.00 per week for 28 weeks (a total of €924 each year) from October to April. The purpose of this payment is to assist qualifying households with their energy costs. The allowance represents a contribution towards the energy costs of a household. It is not intended to meet those costs in full. Only one allowance is paid per household.
Based on existing numbers of recipients and current weekly rates of payment, the estimated full season cost of making fuel allowance available for 32 weeks would amount to approx. €392 million. A fuel season lasting 40 weeks in total would cost approximately €499 million, while providing the Fuel Allowance for 52 weeks would be approx. €637 million.
The provision of any additional supports such as extending the Fuel Allowance season would have cost implications and could only be considered while taking account of the overall budgetary context and the availability of financial resources.
The Government is committed to protecting vulnerable households from the impact of energy costs through a combination of supports, energy efficiency awareness initiatives and investment in programmes to improve the energy efficiency of the housing stock.
As part of the measures included in the National Energy Security Framework, Government decided that a further additional lump sum payment of €100 would be paid to all households in receipt of the Fuel Allowance in the last week of the Fuel Allowance season – a payment equivalent to over 3 weeks' additional Fuel Allowance. This payment was provided in mid-May.
This means that low-income households saw an increase of 55% in Fuel Allowance support provided during this fuel allowance season compared to last season. A recipient household which would have received €735 in fuel season 2020/2021 would see an increase of €404 to €1,139 in fuel allowance payments in fuel season 2021/2022. When taken in conjunction with the electricity costs emergency benefit payment, paid in April, this household would have received over €600 in additional targeted Government supports over the course of this fuel season. €600 is the equivalent of over 18 weeks' additional Fuel Allowance.
My Department also provides discretionary exceptional needs payments, where appropriate, to people who face difficulties in meeting fuel bills. These payments are not ring-fenced or budget limited as they would be if they were drawn from an earmarked fund, but rather are demand led.
I hope this clarifies the matter for the Deputy.
