Dáil Éireann Debate, Tuesday - 18 April 2023
172. Deputy Ivana Bacik asked the Minister for the Environment, Climate and Communications if he has plans to apply the energy credit to gas customers where the full credit amount is not used for electricity; and if he will make a statement on the matter. [16452/23]
View answer173. Deputy Ivana Bacik asked the Minister for the Environment, Climate and Communications if he has plans to retrospectively apply the energy credit to customers which use gas primarily for heating; and if he will make a statement on the matter. [16453/23]
View answerI propose to take Questions Nos. 172 and 173 together.
The Electricity Cost Emergency Benefit Scheme is a central element of Government support for households in response to the unprecedented increase in energy costs. The payment is not being applied to domestic gas accounts on the basis that it is a universal support to help everyone meet the cost of energy. Not all consumers use gas, but electricity is supplied to all households.
Government is acutely aware of the impact that the recent increases in global energy prices has had on households and has prioritised action across Government to support people to stay warm and well through this winter. This is why a €2.4 billion package of supports was implemented during 2022, and a package of once off measures worth €2.5 billion included in Budget 2023. The Budget package included an Electricity Cost Emergency Benefit Scheme through which €550.47 (exclusive of VAT) is being credited to each domestic electricity account in three payments of €183.49 (exclusive of VAT). The first two payments have already been made to accounts and the third is currently being credited by suppliers to accounts for the March/April billing cycle. The estimated cost of this scheme is €1.211 billion.
This scheme is operated by ESB Networks (the electricity Distribution System Operator) and electricity suppliers and uses the single eligibility criterion of a meter point registration number (MPRN). It is this use of the electricity billing infrastructure that ensures payments to each domestic electricity account are made automatically and without any means testing. On this basis each payment has reached over 2.1 million accounts, representing well over 90% of eligible accounts.
Any customer that is in need of additional support may apply for an Additional Needs Payment provided by the Department of Social Protection, including customers on a Pay As You Go meter who have a need for financial assistance to facilitate their continued energy supply. Every effort will be made to ensure that these vulnerable individuals in financial distress, and who qualify, receive an Additional Needs Payment on the same day or as soon as possible where it relates to electricity and heating expenses.
On the 13th of December, Government approved a new Energy Poverty Action Plan, which provides for the establishment of a €10 million fund to further support people in, or at risk of, energy poverty this winter and into 2023, including people on PAYG meters. The fund will provide a further safeguard in addition to the supports from suppliers and the Additional Needs Payment operated by the Department of Social Protection. The Money Advice and Budgeting Service (MABS) is also available to provide budgeting advice and advocacy support.
On the 21st of February Government announced a further €470 million package of measures to help social protection recipients from April to July and an extension to the reduced VAT rate on electricity and gas bills until October.
