Other Questions
6Deputy Willie O’Dea asked the Minister for Communications; Energy and Natural Resources if his attention has been drawn to the difficulties faced by many families in heating their homes in view of increasing energy prices; and if he will make a statement on the matter. [21935/12]
Amharc ar fhreagraI am very aware that many families are experiencing financial hardship including the cost of heating their homes, due to the current economic difficulties.
I have no statutory function in the setting of energy prices, whether in the regulated or non-regulated market. Responsibility for the regulation of the electricity and gas markets is a matter for the Commission for Energy Regulation, CER, which is an independent statutory body. The Irish oil industry is fully privatised, liberalised and deregulated and there is free entry to the market.
The Government is, however, taking a range of actions to address the challenge of affordable energy for vulnerable families. The Government's strategy for affordable energy in Ireland was launched by me last November. The strategy sets out our plans for enhancing the affordability of energy for low-income households. The strategy was developed by the interdepartmental group on affordable energy and includes 48 actions that will be implemented over the life of the strategy. The interdepartmental group on affordable energy has established subgroups to work on particular dimensions of that strategy and these include the immediate priority of revising eligibility criteria for the warmer homes scheme and a pilot programme to assess the feasibility of an area-based approach to delivery of the scheme.
It is worth noting that in the past ten years €2 billion has been distributed in energy supports under the national fuel scheme and the household benefits package, while €80 million has been spent on energy efficiency improvements in vulnerable homes. Permanent improvements to the thermal efficiency of houses are the most cost effective means of addressing energy poverty. More immediately, the Sustainable Energy Authority of Ireland, SEAI, continues to administer, on behalf of my Department, Warmer Homes which is free of charge to eligible applicants. With more than 81,000 homes refurbished to date, 2012 will see a further 17,000 low-income households benefit from energy efficiency upgrades. I have allocated just over €17 million to the warmer homes scheme this year. This allocation underlines the Government's commitment to the affordable energy priority.
I thank the Minister. He will be aware that the Irish League of Credit Unions recently conducted a survey of its membership. The survey was widely reported and was a credible piece of research. Some of the findings related to energy costs. One in four respondents said they cannot cope with rising energy prices, 15% said they had to dip into their savings to deal with rising energy costs and 8% said they were unable to cover their household bills. Some very stark facts and figures were disclosed in the research.
We know from the Sustainable Energy Authority of Ireland, SEAI, that between November 2010 and November 2011 the price of natural gas rose by between 12% and 20%, gas oil rose by 21%, bulk propane went up by 16% and kerosene by 28%. The cost of solid fuel fell by 3% and that of briquettes rose by 1%.
The cost to householders has been enormous in that period and people are clearly struggling with regard to it. The Minister mentioned that he published a fuel poverty strategy that lists 48 action points to be addressed. What progress has been made in the implementation of that action plan? Since he published the action plan in November of last year, has the Minister seen a tangible drop in any of the prices I have quoted? If not, when can we expect to see such a drop?
The primary focus of the strategy is to improve thermal efficiency in homes that are at risk. It is not focused on bringing down the price of gas or oil. Gas and oil are imported into the country. We are price takers and there is very little we can do about that. We can, however, reduce our consumption and address the inefficient circumstances in which many people live.
The Deputy is correct. There is a real problem of fuel poverty. I entirely accept that. We are fortunate to have had a particularly mild winter at a time when the price of gas has risen across the western world. Different factors are at play in the United States. As price takers, we are at the receiving end of all of that.
If the Deputy focuses on the rationale behind the affordable energy strategy he will recognise that we will get best bang for our buck if homes are properly insulated and thermally efficient. I am afraid that is, generally, not the case. The work done so far, and the examination of it by the SEAI, shows how successful that work has been. Because of the mild winter it appears there has been a fall-off in applications, which is surprising. That fall-off is also affecting the warmer homes scheme, where there is no charge. The work is done by the State on homes that need it. Even in that area, there has been a fall-off. We will have a meeting on that scheme later this evening, because there is no doubt it is the best and most productive use of taxpayers' money.
7Deputy Peadar Tóibín asked the Minister for Communications; Energy and Natural Resources the steps taken by him to promote energy efficiency and so reduce costs and increase competitiveness of small and medium enterprises. [20901/12]
Amharc ar fhreagraThe Sustainable Energy Authority of Ireland, SEAI, administers the workplaces efficiency fund as part of the better energy programme. The better energy programme is in line with the key criteria governing the Government's investment priorities and is consistent with the programme for Government objectives. It is also consistent with the Government's Action Plan for Jobs which includes specific actions to promote energy efficiency in businesses to reduce costs and enhance competitiveness.
The Government has committed significant Exchequer funding of €76 million to the better energy programme in 2012, including €8 million to the workplaces efficiency fund.
The SEAI is promoting energy efficiency across all business sectors with specific supports for small and medium sized enterprises, SMEs, to assist them in saving energy and reducing energy costs. To date, approximately 2,000 SMEs have registered with SEAI. Each of these businesses has received advice and mentoring which generally involves a site visit and follow-up support from an energy adviser. This is a free service and I would urge all SMEs to avail of the advice and supports.
The SEAI programme for SMEs also provides tailored training packages to SMEs to suit their individual needs. SEAI provides a range of advice on technologies and relevant practical case studies through the programme.
Last year, the better energy workplaces programme successfully supported energy efficiency measures for many businesses and institutions across the country. Some 85 specific projects were completed across all sectors. The €11 million fund generated annual energy savings of €11 million and leveraged a further €34 million of investment in energy efficiency, representing an excellent return on investment for the Exchequer, real savings for the businesses themselves, and economic activity in its own right.
Of the 85 projects supported, 21 were classified as SMEs.
Additional information not given on the floor of the House.
The SEAI is also working in partnership with Enterprise Ireland, the Environmental Protection Agency, EPA, and others, including ISME, to ensure their clients are fully aware of the services offered to SMEs by the SEAI. There is co-operation between the EPA, offering waste and water efficiency assistance, and the SEAI, providing energy efficiency assistance, to ensure Irish businesses receive the best advice and support to deliver efficiencies and savings for their bottom lines, thus improving their competitiveness and sustaining jobs.
It is apparent much more tolerance is being shown this year compared to last year by energy suppliers to people and especially small businesses which are in difficulty, which is to be welcomed. That is the situation from my knowledge of what is happening. Coming on top of the downturn, energy costs are probably among the most crippling for small and medium businesses in terms of their survival. The Minister outlined in a previous reply the level of increase in energy costs, for example, 21%, 29%, 16% and 28% in the various fuels available. The only fuel in respect of which there was a reduction - of 3% - was solid fuel. I cannot emphasise sufficiently the importance, particularly in the current climate, of necessary supports to ensure small businesses survive. Small businesses are especially important in peripheral areas for the fabric of society we are trying to maintain. They need all the support they can get.
I agree with the Deputy that the supplier companies have shown an understanding of current circumstances and, in the case of some small and medium enterprises, SMEs, energy costs are particularly onerous in terms of their running costs. In addition, I was happy to put in place the protocol for domestic users where there was an undertaking that there would not be disconnections during the winter provided people eithered install a meter or signed up to a pay plan. Where there has been a take-up of these options, the approach has been very successful.
The Deputy is correct that energy costs weigh heavily on many SMEs. The planned scheme by the Sustainable Energy Authority of Ireland, SEAI, to which I referred, is worthy and will prove useful to SMEs. The SMEs which have participated have pointed to the impact it has had on their operating costs. There is a great deal of room for greater energy efficiency in SMEs throughout the country. That is the area in which savings can be made and businesses can thrive as a result. The SEAI scheme has shown a capacity to leverage private sector funding also. I would like to be in a position to put more money into the scheme but in current circumstances that is very difficult. However, it is one of the options we are considering because it would make a significant contribution for many SMEs which find the energy component of their costs very difficult, given current world market prices.
8Deputy Derek Keating asked the Minister for Communications; Energy and Natural Resources if his attention has been drawn to the fact that there are effectively sex lines, that is 1500 numbers, being advertised on TV3 in the late evening time and, following the exposure of the trafficking of young women from Europe to Ireland for the sex trade and prostitution, if he will consider banning these phone lines and introducing legislation to govern standards in advertising; and if he will make a statement on the matter. [21795/12]
Amharc ar fhreagraResponsibility for the regulation of premium rate telephone numbers and their advertising, including those referred to in the Deputy's question, is a matter for the Broadcasting Authority of Ireland, BAI, and the Commission for Communications Regulation, ComReg. The BAI and ComReg are independent statutory bodies and as such, I have no direct role in the matter.
The enactment of the Communications Regulation (Premium Rate Services and Electronic Communications Infrastructure) Act 2010 transferred responsibility for the regulation of premium rate services, PRS, in the State from the Regulator of Premium Rate Telecommunications Services Limited, RegTel, to ComReg. In relation to the regulation of premium rate services, ComReg, as the competent authority in this jurisdiction, has a code of practice in place. The code derives from the original RegTel code and has been operated by ComReg since July 2010, pending the further development of a code in this area. Service providers of premium rate telecommunications services are required to comply with the provisions of the code of practice. There are a number of specific provisions in the code which are pertinent to the advertisement of premium rate chat services. Chat line services of the type to which the Deputy refers are not defined as sexual entertainment services, but rather as virtual chat services. However, the code of practice addresses services of a sexual nature, in section 8.4. Consequently, it includes provisions governing the promotion of such services. It also stipulates, under section 5.2 and, in particular, section 5.2.3, that service providers must ensure services are not used in any way to promote or facilitate prostitution. Compliance with the code is a matter for ComReg. Having considered the Deputy's concerns, I will request that it inform him directly of any compliance measures it has taken to date under the code, both generally and specifically with regard to these advertisements.
Additional information not given on the floor of the House.
The BAI has responsibility for certain types of advertising rules. Section 8(9) of its general commercial communications code, GCCC, makes general provisions for premium rate telecommunications services and requires that commercial communications for such services comply with Irish and European legislation and the rules, regulations and codes of practice issued from time to time. The GCCC also makes a more general provision in relation to matters of offence, harm and dignity. A range of rules under section 3.2 of the code deal with these issues. I note the strong concerns the Deputy has expressed on this matter which I will relay to the BAI and ComReg.
I thank the Minister for his comprehensive reply which he did not get the chance to conclude. The inspiration behind the question is that often as I sit at home late at night awaiting what for me and many others is a very challenging political programme, I see young scantily dressed girls on TV3 encouraging and inviting people to participate with them by way of a call centre. I make no bones about it, given my information, that I believe this is a cover for prostitution. From the information available, prostitution is rife in the country and a service is readily available in every city, town and village. It is inextricably linked with sex trafficking, with which we have a serious problem. One can only imagine the horror in people's lives and those of their families for those embroiled in sex slavery and sex trafficking.
The matter cannot be discussed without considering the knock-on effects. The Garda in Clondalkin is seeking help following an attack on a young girl in my constituency. The Minister is well aware of the situation and I fully support him. I do not accept for one moment that what I see on TV3 every night is not a sexual entertainment service. I accept that ComReg is the relevant authority in the matter and that it is competent in achieving compliance with the legislation. However, we are the legislative authority and could perhaps be of assistance were we to empower ComReg by providing new or additional legislation that would be helpful in dealing with this serious matter, about which I feel most uncomfortable.
It has not yet been established that the BAI code is ineffective. The issue raised by the Deputy concerns whether so-called chat lines are, in fact, as he put it, a cover for prostitution. I find it difficult to think of anything positive that one could say about the advertisements in question. They are demeaning of women and, unfortunately, as the Deputy said, there is an issue affecting this as well as every other country of young women being trafficked. It was believed, even at the time the Bill on human trafficking was enacted, that it was an issue that affected other member states but not this country to the same extent. However, the evidence made available since suggests it is a matter of concern in this jurisdiction also. Now that the Deputy has raised the matter I will be pleased to draw the attention of ComReg to the issues he has raised. If it is his conviction - I will not press him on the source of his information - that the chat lines are a cover for prostitution, it would be appropriate to refer the advertisements to the Broadcasting Authority of Ireland.
I thank the Minister.
9Deputy Sean Fleming asked the Minister for Communications; Energy and Natural Resources when he expects to receive the Environmental Protection Agency report on fracking; the reason for the delay in receiving this report; if he will reconsider his proposal not to publish a Green Paper on the subject; and if he will make a statement on the matter. [21918/12]
Amharc ar fhreagraIn October of last year, the Minister, Deputy Rabbitte, requested the EPA to conduct research and advise on the environmental implications of hydraulic fracturing as a means of extracting natural gas from underground reserves.
The EPA commissioned preliminary background research into the environmental aspects of unconventional gas and into the regulatory approaches of other countries to assist the establishment of best environmental practice. This research is in the form of a desk-based study carried out by the University of Aberdeen. While managing the carrying out of the study is a matter for the EPA, I understand from the EPA that it expects to be in a position to publish the report within the next two weeks, possibly even next week.
The EPA proposes to commission further, more extensive research on hydraulic fracturing in 2012 and representatives from the Department and the EPA are developing the scope for that further study. The specification for this further more detailed research will be finalised after there has been an opportunity to consider the output from the University of Aberdeen.
The question of a Green Paper is one issue, but it would be more important at this stage to obtain the greatest possible amount of detailed scientific advice on what is happening on hydraulic fracturing right around the world, as is envisaged with the proposed second study. Until the results of that study are available and have been considered, I will not make any decision on any application proposing the use of hydraulic fracturing.
We all will be aware of the contentious nature of the fracturing process. Indeed, a number of local authorities have passed motions banning it within their administrative areas, and that is all well reported.
I did not hear one part of the Minister of State's reply. Will he publish the report as soon as it is available? Will it be made available to the public?
Although requested by the Minister, Deputy Rabbitte, it is an EPA report. It is up to the EPA to publish it. We expect that the EPA will publish it within the next two weeks, possibly as early as next week.
The important point to bear in mind on the other side of the argument is that Tamboran Resources believes there is approximately 41 billion cubic meters of reserves in unconventional gas in that part of Ireland.
I take comfort in the fact the Minister of State will publish the EPA report. It is probably one of the most contentious forms of drilling or extracting natural resources for the greater good. I read reports recently regarding fracking that took place in Wales, the consequences of which were mini-earthquakes. It has certainly been implied that such was the cause of it.
Will the EPA takes cognisance of the surveys carried out in France, and also the surveys that are being carried out in parts of America where, in many instances, they are revisiting areas where fracking has taken place?
There is an interesting article in "Rolling Stone", which I do not know whether the Minister of State reads.
No, but I would be happy to.
I did not think he would.
The Minister of State is too old for that.
If I can get it, I will forward it to him. It is an interesting article on the share basis and the commercial side behind it, from a speculative point of view rather than the benefit to the investors.
I repeat it is an EPA report. It is not a Department report, even though we requested the EPA to carry out the work, and it is up to the EPA to publish it. It is a desk-top study. It is really only a research document looking at what is there at present and bringing that data together.
The EPA intends to commission a further much more detailed report into all aspects of what is called unconventional gas or fracking.
It is, as Deputy Ferris stated, a seismic event anyway by its nature. It fractures. In England, around Blackpool, it caused a mini-earthquake. It was 1.1 to 2 on the Richter scale, which is very small. Nevertheless, it did happen.
The key point is that we must gather all of the science and facts available. One of the important reports that will be coming available at the end of this year is the American Environmental Protection Report into hydraulic fracturing in the United States. That will probably be the benchmark for future studies because they are looking into the issues.
If one looked at the film, "Gasland", one the key images is where a person turns on their tap and lights the water. Recently, the EPA in the United States looked into that and stated that the methane in that water supply was not caused by hydraulic fracturing. This is a fantasy. One might not like to believe it, but that is what they state.
It is terribly important, before anything happens, that all of the full facts are known. As the Minister, Deputy Rabbitte, myself and the Department are saying, nothing will happen, and we will not allow anybody to commence production of hydraulic fracturing at this stage, unless and until all of the many and detailed national and international studies are looked at and all of the environmental aspects are detailed and fully examined.
A Leas-Chathaoirleach-----
I am sorry. We must make progress because there is a few more questions to deal with before closing time.
10Deputy Micheál Martin asked the Minister for Communications; Energy and Natural Resources if the working group on the part-privatisation of Bord Gáis will be asked to consider the impact of incorporating Irish Water into it while privatising it; and if he will make a statement on the matter. [21923/12]
Amharc ar fhreagra12Deputy Michael Moynihan asked the Minister for Communications; Energy and Natural Resources if the decision to establish Irish Water as a subsidiary of Bord Gáis will delay the part-privatisation of that company; and if he will make a statement on the matter. [21931/12]
Amharc ar fhreagraI propose to take Question Nos. 10 and 12 together.
The Government has decided that Bord Gáis Éireann's energy business will be part of the assets disposal programme.
The Government has reiterated its commitment to retaining the gas networks and interconnectors in State ownership as strategic infrastructure which is fundamental to Ireland's security of energy supply and the economy.
BGE is a strong and dynamic State company. The success of Bord Gáis Energy demonstrates BGE's capacity to develop new and efficient businesses for the benefit of Irish consumers as well as for the State, as the shareholder.
The recent decision to establish Irish Water within the group reflects the Government's confidence in BGE. BGE's experience in the key areas of raising finance, operating and investing in critical network infrastructure and delivering excellent customer service, will be effectively deployed in the successful establishment and operation of Irish Water.
My colleague, the Minister for the Environment, Community and Local Government, Deputy Hogan, and the Minister of State, Deputy O'Dowd, have advised that an implementation strategy for Irish Water is being developed by his Department. The strategy will be finalised over the next month or so in collaboration with BGE, all relevant Departments, including my Department, as well as the local authorities, and with the advice of NewERA.
In parallel, a group comprising my Department, the Department of Public Expenditure and Reform and NewERA is working to progress all policy, regulatory, legislative and financial, to be addressed as part of preparing for the disposal of Bord Gáis Energy.
The Departments, NewERA and BGE are fully cognisant of the need to ensure that the work on the sale of Bord Gáis Energy and the establishment of the water company are progressed concurrently and to schedule. The Government will be briefed on a regular basis on progress on both fronts.
It has been stated, in the announcements and communications to date, that it is envisaged that Bord Gáis will have the individual water metering and billing system up and running by 2014. What is the plan B in a scenario where that deadline is not met, that is, that all of the homes are not metered and in a position where they can be individually billed?
My party notes the disparity between what the executive engineer of Dublin City Council states and the official line from the Department of the Environment, Community and Local Government in terms of the number of houses for which there may need to be a flat charge. If the main body of houses are not fully metered by 2014, is it the intention to proceed with a flat-rate charge?
The Minister of State, Deputy O'Dowd, wearing his hat in the other Department, is more competent in this area than I am. The fact remains that, as Deputy Niall Collins stated, this is no more than rumour and speculation. The Government has made no decision other than that there will be no privatisation of water, there will be a State water company whose name is not yet decided, and Bord Gáis is charged with bringing proposals to us in this respect. It is entirely putting the cart before the horse to speculate beyond that. Bord Gáis has a blank page and knows what has to be done. It made a very considered pitch for the task, as did Bord na Móna, and, as a result, the company has a great deal of skills and knowledge to bring to the job. When it comes back with its proposals, either the Minister of State, Deputy Fergus O'Dowd, or the Minister for the Environment, Community and Local Government, Deputy Phil Hogan, will bring a plan to Government. It is pure speculation and rumour in the interim as to what may or may not happen or whether the system will be ready in 2014 or whatever.
11Deputy Billy Kelleher asked the Minister for Communications; Energy and Natural Resources if he has advanced his proposals to replace the TV licence fee with a broadcasting charge levied on all households; if he will guarantee that such a charge will be Exchequer neutral; and if he will make a statement on the matter. [21919/12]
Amharc ar fhreagra30Deputy Thomas P. Broughan asked the Minister for Communications; Energy and Natural Resources the position regarding the proposal to replace the TV licence with a content licence and if he will indicate to which appliances the content licence would apply and the way in which the revenue from the content licence would be allocated; and if he will make a statement on the matter. [21711/12]
Amharc ar fhreagraI propose to take Questions Nos. 11 and 30 together.
The programme for Government commits to examining the role and collection of the television licence fee in light of the existing and projected convergence of technologies and to transforming the television licence into a household-based public broadcasting charge to be applied to all eligible households and applicable businesses, regardless of the device used to access content or services. In line with this commitment, my Department is involved in the ongoing analysis and policy development work necessary in advance of the implementation of any new charge of this nature.
Although subject to a degree of evasion, the existing television licence fee system has provided a stable funding base for our public service broadcasters. The rationale for providing State funding for public service broadcasting is to provide an independent and reliable income flow that allows these corporations to achieve their public service objectives while ensuring they can maintain editorial independence. This is especially important in the context of news and current affairs. The overall aim of public service broadcasting is to provide services and content which cater for all interests in society, while ensuring the varied elements of Irish culture and its intrinsic values are protected. Through the obligations placed on public service broadcasters, which are firmly grounded in legislation passed by this House, and the criteria set for the funding of content through the Sound and Vision scheme, the production of quality indigenous programming and minority interest programming is strongly promoted.
Whatever the system of funding, the rationale for providing it will continue to apply and any changes that may be implemented on foot of the review must continue to provide a secure funding base for public service broadcasting and content. It is also important that any new system of funding should recognise the reality of new mechanisms to access such content and services and their pervasiveness in today's society. Publicly funded public service broadcasting services and content are now available on an ever-increasing range of platforms and devices, including radio, television, smartphones, personal computers, laptops and many other devices. In fact, access is not dependent on the ownership of a device.
The replacement of the existing funding system based on the collection of television licence fees with one based on the imposition of a device-independent charge on eligible households and businesses is a complex process and much of the detail has yet to be worked out. This includes identifying the most appropriate method for collecting the charge and the manner in which issues such as exemptions and enforcement should be dealt with. In this regard, my Department is considering proposals to engage independent consultants to assist in progressing this work over the coming year. At this point, however, I can state that the charge will be device-independent, will replace the current licence fee and that all households and businesses will be subject to it, except for those that are specifically exempted. The issue of exemptions will be given detailed consideration when the type of model to be developed is agreed. That said, it is my expectation that the current exemptions in regard to pensioners and those entitled to the household benefit package will continue to apply.
On the question of the charge being Exchequer neutral, a large proportion of TG4's funding is Exchequer-based, with the remainder coming mainly from licence fee revenues and some commercial revenue. No decision has been made to alter this position.
I heard the Minister being interviewed about the broadcasting charge on "Morning Ireland" some days ago. He was at pains to stress that it is not a new charge.
We have enough problems.
However, it is a new charge to a person who has not had to pay it to date but may now fall into the eligible category. The Minister might have been gilding the lily a little in this regard. Is it his intention to collect more revenue under the broadcasting charge than is the case by way of the television licence fee? Has he any plan or proposal to deal with the allocation of that funding? As it stands, RTE receives 92% of licence fee revenue, with the remainder disbursed in various directions, including to TG4 and the Sound and Vision fund. There is a case to be made that some of the independent broadcasters merit a greater share of the funds, which is something the Government should consider.
The broadcasting charge will be a replacement for the television licence fee, not a new charge. When the Deputy says it will amount to a new charge for some people, that is true in so far as it refers to those who are cheating. The extent of evasion is currently of the order of €25 million. On the question of whether I hope to raise more revenue under the new system, that depends on what impact we can make on that €25 million, that is, how much of it we can bring back into the fold.
That is a new term.
Anybody already paying the television licence fee has nothing to fear. If we do manage to bring in additional revenue, we might even be able to decrease the charge. I am sure that would be applauded by Members on the benches opposite.
I understand some 7.5% of licence fee revenue goes to the Sound and Vision fund and some €10 million to TG4. I acknowledge that some of the independent broadcasters provide important public service content. During yesterday's Topical Issue debate I noted that RTE is projecting a bottom line deficit for the end of the year of some €50 million. That is an enormous sum and is clearly not sustainable. The legal impositions on RTE in terms of aspiring to deliver a quality public broadcasting service are severe. In addition, there are serious challenges confronting it as a consequence of the collapse of advertising and the level of evasion of the television licence fee. We are proceeding with our review, but the process is more complicated than one might imagine. When the day comes that we know exactly how many houses there are in this country and where they are located, it will be a major breakthrough. We are working on that. When we know exactly how many houses there are in the State, and where they are, it will be a major breakthrough.
The Government can try imposing the household charge again.
13Deputy Thomas P. Broughan asked the Minister for Communications; Energy and Natural Resources if he is concerned at rising energy costs to families and businesses including home heating fuel and transport costs; if any initiatives are being taken by him and the Department of Jobs, Enterprise and Innovation to address these energy costs; his views on whether there is any link between the promotion of fracking and the current high energy costs; and if he will make a statement on the matter. [21710/12]
Amharc ar fhreagraThe Irish oil industry is fully privatised, liberalised and deregulated and there is free entry to the market. There is no price control on petroleum products. It has been the policy objective of successive Governments to promote price competition and consumer choice.
Previous surveys have shown that prices charged by Irish retailers for oil products correlate with the refinery price rather than to the price of crude oil. Prices at the pump reflect the volatile market price as well as transportation costs, trends in euro-dollar exchange rates and other operating costs, as well as the impact of taxation on oil products.
I have no statutory function in the setting of energy prices, whether in the regulated or non-regulated market. Responsibility for the regulation of the electricity and gas markets is a matter for the Commission for Energy Regulation, which is an independent statutory body.
Prices in the retail electricity market for both domestic and business customers are now fully deregulated, as are those for business customers in the retail gas market. Since last October, CER only regulates the gas price charged by Bord Gáis Energy to domestic consumers. Prices charged to electricity customers, domestic and business, and to business gas customers are wholly a commercial and operational matter for the energy suppliers.
I am committed to working with my colleague the Minister for Enterprise, Jobs and Innovation and with the business and energy sector to ensure the costs of energy for business are as competitive as possible. This includes working with SMEs as well as large energy users on energy efficiency measures which deliver cost savings and support competitiveness and jobs. I urge all businesses to engage with the Sustainable Energy Authority of Ireland to access the authority's energy efficiency support programmes.
14Deputy Michael McGrath asked the Minister for Communications; Energy and Natural Resources if he will ensure that local communities are consulted in advance of any decision by Eirgrid to build a high voltage power line from Leinster to Munster; if he will ask Eirgrid to consider under grounding the power line; and if he will make a statement on the matter. [21927/12]
Amharc ar fhreagraI have no role in the planning and construction of the transmission network. These are operational matters for EirGrid, which is the independent statutory State body responsible for the development and maintenance of the national electricity transmission system.
EirGrid is fully committed to public consultation with local communities and all stakeholders on its transmission network development projects. At the recent launch of the Grid Link project which is the construction of the high voltage power line from Munster to Leinster, EirGrid announced a comprehensive consultation process on the project. This is a €500 million investment in refurbishment of the transmission link from Cork to Kildare.
EirGrid's extensive public consultation process, now getting underway, is an essential part of the technical and environmental assessments which are required as part of the planning application to An Bord Pleanála, which is scheduled to be submitted in 2015. EirGrid's structured approach to full public consultation is critical to the comprehensive route selection process for the Grid Link project. In keeping with best international practice EirGrid will undertake regular reviews at all key stages of the project to test key technology assumptions. This will take account of potential advances in technology.
The Grid Link project will deliver security of electricity supply in the south and east, will underpin the development of renewable energy and will ensure that demand in the region can be met, thus underpinning economic investment, jobs and growth. The Government wants to give a strong consistent message to Irish business and multinationals, and our citizens, that Ireland's electricity networks are robust, modern, comprehensive and safe. The investment programmes of EirGrid are critical to ensuring that the national energy infrastructure is maintained and built cost effectively to the highest standards and with full regard for environmental, safety and health requirements and the needs of local communities.
Written Answers follow Adjournment.
