Dáil Éireann Debate, Thursday - 16 October 2025
152. Deputy Pa Daly asked the Minister for Climate, Energy and the Environment the meetings he has had with energy suppliers since coming into office; the dates on which these meetings took place and the specific company that he met; and if he will make a statement on the matter. [56249/25]
Amharc ar fhreagra154. Deputy Pa Daly asked the Minister for Climate, Energy and the Environment regarding the decision to withdraw energy credits as part of Budget 2026, the engagement he has had with the CRU to address the impact that will have on energy arrears; if he anticipates there will be an increase in the level of arrears; and if he will make a statement on the matter. [56280/25]
Amharc ar fhreagraI propose to take Questions Nos. 152 and 154 together.
The Commission for Regulation of Utilities (CRU) was assigned consumer protection functions under the 1999 Electricity Regulation Act and subsequent legislation, and has statutory responsibility for the compliance by energy suppliers with their consumer protection obligations. The CRU is an independent regulator, accountable to a Committee of the Oireachtas and not to me as Minister.
The CRU published a report on retail energy markets in September 2023 in relation to competition and supplier pricing in the energy market. The report was in response to a request by then Minister for the Environment, Climate and Communications, Eamon Ryan TD, to examine supplier hedging practices and pricing strategies in the Irish energy market. Based on a review of supplier prices and wholesale market costs, the CRU considers that retail prices are broadly continuing to reflect underlying cost drivers, such as wholesale gas and electricity prices, but with a lag period due to supplier hedging strategies. This hedging reduced the impact on consumers of the sustained high and volatile prices, during the period in advance of and coinciding with the Russian invasion of Ukraine. This slower and smoother increase, facilitated by hedging, is expected to be mirrored by a similar slower and smoother decrease, should wholesale and futures prices continue to decline.
Government is deeply conscious of the impact which rising energy prices, driven by an unprecedented increase in wholesale prices and the Russian invasion of Ukraine, have had on Irish consumers and businesses. The Government has made a number of important commitments in respect of addressing the continued high cost of energy. The Programme for Government acknowledges the increased energy cost pressures on households and businesses and commits to bringing forward taxation measures to help contain energy costs.
In Budget 2026, Government approved an extension of the 9% VAT rate currently applied to gas and electricity until 31 December 2030. This is traditionally 13.5%, but has been 9% since 2022 in response to the energy price crisis. From January 2026, the Fuel Allowance Payment will increase by €5 to €38 per week, equating to an increase of more than 15%. This will provide an additional €140 to over 460,000 recipients during the annual fuel allowance season. This payment has also been expanded to include those in receipt of the Working Family Payment.
The CRU has published enhanced customer protection measures for Winter 25/26. For the upcoming Winter period 2025/26, some of the key customer protection measures that will remain in place include a disconnection moratorium, minimum timelines for debt repayment plans, discounted tariffs for financial hardship meter customers and promotion by energy suppliers of the vulnerable customer register.
As Minister, I meet with a range of stakeholders on important topics, including energy prices, and I can confirm that I have met with both the CRU and energy suppliers in relation to the arrears situation since being appointed as Minister. On 26 September 2025, I met with the four biggest energy suppliers in Ireland. In addition to my interactions, my officials meet with suppliers on a regular basis and a key message to them is the critical importance of prices being reduced as soon as possible.
Under the Programme for Government 2025, we have committed to commissioning an independent review into the speed and level of pass through from wholesale prices to retail prices, with an additional assessment of the overall price dynamics, including an overall focus on the competitiveness of the Irish economy. This is a priority and my Department has established a cross-Government National Energy Affordability Taskforce to identify, assess and implement measures that will enhance energy affordability for households and businesses, while delivering key renewable commitments and protecting security of supply and economic stability.
