Energy affordability and credits
Deputy Doherty highlighted rising energy arrears, looming price hikes and households under severe strain, urging fresh energy credits and stronger action on companies. The Minister said the Government was already intervening through existing supports and would continue to protect vulnerable households.
Léiríonn na figiúirí is déanaí ón CRU pictiúr thar a bheith gruama den bhrú atá ar theaghlaigh ar fud an Stáit. Don chéad uair riamh anois, tá níos mó ná 500,000 cuntas fuinnimh teaghlaigh i riaráistí. Níl na teaghlaigh a dhéanann iad féin a dhícheangal mar nach bhfuil siad ábalta íoc as méadar íoc-mar-a-úsáidtear san áireamh sna figiúirí sin. I gcás go leor seandaoine, iad siúd atá ina gcónaí leo féin agus teaghlaigh le páistí óga, bíonn iarmhairtí tubaisteacha acu maidir le sláinte, ar fholláine agus ar chaighdeán na beatha. Agus líon mór teaghlaigh ag streachailt chun íoc as bunriaráistí fuinnimh, tá méaduithe eile fógartha anois ag na comhlachtaí fuinnimh. Cad é go díreach atá an Rialtas chun a dhéanamh faoi seo? Cad é an freagra atá ag an Rialtas do na céadta míle teaghlaigh atá ag tabhairt aghaidh ar chostais fhuinnimh atá ag ardú agus an brú atá ar chúrsaí airgeadais?
The latest figures from the energy regulator paint a deeply concerning picture of the pressures that are facing families across this State. For the first time ever there are over 500,000 families with energy accounts in arrears. These figures show there are more 319,000 families who cannot pay their electricity bills and 183,000 families who cannot pay their gas bills. These figures only tell part of the story. They do not include households who silently disconnect because they cannot afford to top up a pay-as-you-go meter. For those living alone and families with young children these choices have real consequences for health, well-being and quality of life.
While record numbers of households are not able to pay for their basic energy needs we see energy companies have once again announced they are going to hike up energy costs. At at time when many families are already trying to keep pace with rising costs energy bills are set to rise again. Last week the biggest energy supplier in this State, Electric Ireland, announced sharp increases but there was not a peep out of those in Cabinet or Government. The Minister, Deputy Burke, points to economic growth and his Government points to record tax revenues and budget surpluses running into billions of euro. None of these things can reduce the bills that are landing on the kitchen tables each month and none of these things change the reality facing hundreds of thousands of families who are struggling with the cost of essential services. People are exhausted after years of rising costs. They have cut back where they can. They have adjusted their budgets and absorbed increase after increase but many feel there is no end in sight.
The most frustrating thing is this is all happening at a time when there are unprecedented financial resources at the Government's disposal. The Minister's Government claims to understand the pressures people are under but the regulator's figures tell a very different story. They show financial pressures remain severe for many households despite repeated assurances that conditions are improving. For the first time ever there are more than 500,000 households across this State in energy arrears and families are facing prices going up yet again. The Government still has an opportunity to act before the latest price increases take effect. Timely action now, including energy credits, would ease the pressure on workers, families and pensioners who are already struggling to keep up. Will the Government act now? Will it listen? Will it provide energy credits as an immediate solution for people who are really struggling? What is the Government's answer to the hundreds of thousands of families who are facing mounting energy costs and financial strain?
Comment on this
I thank Deputy Doherty for his question on an area which is very close to the concern of the Government, which is energy affordability in our country and the ability of households to pay. Something the Government keeps a very close track of is those who are in arrears for 90 days. It is a critical component that shows stress over a period of time.
I want to outline what the Government is doing to really reduce costs at the kitchen table, as the Deputy put it. First of all, we came forward with a record level in an EU context per capita of intervention to support families across the country. We are supporting families with the cost of fuel, which is very significant for those who are commuting to work, families who are working and families who are trying to heat their homes, by reducing excise duties across all components with a €16 reduction in petrol per fill and a €19 reduction in diesel. Also, looking at the logistics and how food is produced to reduce the cost of groceries on the shelves for consumers, we have done a huge package for agriculture in terms of production and in haulage, with a 60% increase in the diesel rebate scheme, again underwriting the cost to the housewife, the homemaker and the person in the home to ensure they get that key support.
There are a few areas I also want to comment on in relation to how we get energy independence and reduce the cost to the family. At this point we have 258,000 homes that have been through energy improvements. We have fully-funded 32,700 under the warmer homes scheme. That is 32,700 families across the country who have had that support. We have brought forward 18,000 heat pumps, again to support people - and using money raised by the State. We have about €558 million of the €640 million through those schemes through the SEA to target the most vulnerable in society. I note when Deputy Doherty brought forward his party's proposals earlier this year in a motion he left out the fuel allowance, meaning no recompense to support the most vulnerable people in a targeted way, which is key and absolutely needed.
The Government's position is very clear. We stood up the national affordability task force to look at affordability right across the economy to the household and particularly to the most vulnerable. That report will be published in advance of consideration for the budget. We will be looking, through that report, at energy prices in the first instance and second at addressing energy poverty and consumer protections - which are very important - as well as energy affordability. I ask people who are struggling to first of all engage with their supplier. The Minister, Deputy O'Brien, has been very clear in meeting all the energy companies and working with them to ensure people are not cut off, people who engage with them, and to support people.
We will obviously be coming forward as a Government, collectively, with other measures in the context of the next budget. As Deputies have seen in previous budgets, we were agile. We reacted before the calendar turned and supported families right across the economy and supported the most vulnerable, which is key, through our targeted measures in the current budget, which are still being utilised and are supporting families as we speak. It is key we ensure we continue to support families. We will be doing that through evidence-based initiatives, through our national affordability task force and through supporting customers who are in arrears. I would also say to people who are in trouble that they should reach out to our Department of Social Protection, which has a range of supports, including the additional needs payment, and works with families to ensure no one gets cut off. The fuel allowance has increased significantly to €152 per month to support families in a targeted measure. There are now about 460,000 homes right across the economy, which are being supported by it. We extended it this year to people on the working families payment, thereby bringing 50,000 more families into that support and linking it to work as well, to support people who are working right across the economy.
Comment on this
The Minister and his Government withdrew energy credits in last year's budget. That is why we are seeing what is happening now. We have record numbers of families across this State who cannot pay their electricity or gas bills. That is on the Government. We are paying the highest electricity costs in Europe and the electricity companies have just told us they are going to jack up prices again. In less than three weeks 1.2 million families across the State are going to face near double-digit increases in electricity and gas prices? What is the Minister's response? It is that we should wait to see what the Government does in next year's budget. That is not good enough. The Government needs to call in the energy companies and it needs to tell them that increase after increase is simply not on. The Government also needs to make direct intervention. It needs to bring forward energy credits right now. It has to understand the scale of the problem.
There are people coming to me who never had a problem paying their electricity bill or gas bill, but because of the relentless price increases they now cannot pay their bills.
Comment on this
The penny needs to drop. Half a million households is massive. I am asking this very clearly. Will the Government act now, before these increases take effect in three weeks' time, and bring forward energy credits?
Comment on this
Will the Government rein in the companies here and tell them we cannot face these energy increases time after time, while they make multimillion profits?
Comment on this
We are acting right now at a record level in the economy, supporting people at the fuel pumps and through reductions in electricity VAT rates. We are supporting people right across the economy to ensure they are not cut off. The Minister, Deputy Darragh O'Brien, has met with all the energy companies and given the Government an assurance that anyone who works with energy companies in relation to their bill will be supported.
The Deputy has brought forward a number of measures he said he costed at €100 million a month, to be brought forward at the start of this energy crisis. The Government is doing much more than that. Sinn Féin says the Government is doing nothing this side of the Border, but on the other side of the Border Sinn Féin is doing nothing. We are acting at a record level to support families. We will continue to do that through the national affordability task force, which is looking at energy affordability, protecting consumers and energy policy.
Comment on this
The task force will not pay their bills.
Comment on this
We have always acted in the past and we will continue to do so to protect the most vulnerable in society.