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Dáil
‹ Ceisteanna ar Pholasaí nó ar Reachtaíocht - Questions on Policy or Legislation

Electricity prices

Summary

Deputy Lowry highlights rising energy debt and Ireland’s high electricity costs despite falling wholesale prices. The Tánaiste cites cost-of-living supports and a windfall tax, but says further review is needed.

Increasing numbers of people in Tipperary and across the country are facing energy debt. To compound the frustration being felt by Irish energy users, they have seen consumer prices fall across the rest of the eurozone. Ireland now holds the unenviable title of the most expensive country in Europe for electricity costs. The public are puzzled and angry because they realise the Exchequer raised 40% more in VAT this year compared with other years. As I said, electricity last year provided a huge take for the Exchequer. Wholesale prices have reduced in this sector but the reduction has not been passed on to the consumer. What progress has been made in regard to the introduction of a windfall tax? The revenue from such a tax could then be able to be passed back to the consumer.

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I appreciate the Deputy's concerns as to the high electricity costs in Ireland, particularly arising from the impact of the war in Ukraine.

We did bring in significant intervention measures over the last 12 months to try to cushion somewhat the blow on households and consumers. The windfall tax is progressing in respect of the levies on the excess profits made by companies during this crisis. This revenue would then be channelled back to consumers and households, in particular. The measures we took are applicable right up to the current month. We will then have to look at the overall situation in the round come the autumn in respect of the cost of living and the impacts on people-----

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