Dáil Éireann Debate, Tuesday - 9 December 2025
124. Deputy Ken O'Flynn asked the Minister for Climate, Energy and the Environment the economic, energy-market and consumer-impact assessments his Department provided to Government prior to the decision to discontinue electricity credits for households in Budget 2026, including any internal warnings regarding expected rises in wholesale and retail energy prices. [69899/25]
Amharc ar fhreagra126. Deputy Ken O'Flynn asked the Minister for Climate, Energy and the Environment the advice or briefings the commission for regulation of utilities provided to his Department regarding expected retail price movements before the decision to scrap energy credits; and to publish that advice. [69901/25]
Amharc ar fhreagra127. Deputy Ken O'Flynn asked the Minister for Climate, Energy and the Environment if his Department recommended maintaining or modifying electricity credits in light of rising wholesale prices; and to outline the reasons provided to Government for not continuing the supports. [69902/25]
Amharc ar fhreagra128. Deputy Ken O'Flynn asked the Minister for Climate, Energy and the Environment to provide the Department’s assessment of the impact on low-income and vulnerable households of ending the electricity credits; and to specify any mitigation measures considered but not adopted. [69903/25]
Amharc ar fhreagra129. Deputy Ken O'Flynn asked the Minister for Climate, Energy and the Environment to provide updated projections for energy poverty rates for 2025 and 2026 following the withdrawal of electricity credits; and to outline the methodology used in preparing these projections. [69905/25]
Amharc ar fhreagra131. Deputy Ken O'Flynn asked the Minister for Climate, Energy and the Environment if the Government will review the decision to discontinue electricity credits if energy bills continue to rise; and the criteria for any such review. [69908/25]
Amharc ar fhreagra161. Deputy Darren O'Rourke asked the Minister for Climate, Energy and the Environment the options assessed when considering targeting energy credits rather as universal measures; if options based on household income were considered for example, and how; and if he will make a statement on the matter. [70346/25]
Amharc ar fhreagraI propose to take Questions Nos. 124, 126, 127, 128, 129, 131 and 161 together.
The National Energy Affordability Taskforce was established in June 2025 to identify, assess and implement measures that will enhance energy affordability for households and businesses. The first Report of the Taskforce was published last month. This Report analysed recent trends in energy costs and related matters including arrears and set out a range of options for consideration as part of the Budget 2026 process. The CRU is a member of the Taskforce, fed into the Report and also presented data at a Taskforce meeting in relation to prices, arrears and details of CRU customer protection measures. Minutes of the Taskforce meetings are available at: www.gov.ie.
On foot of the announcements by suppliers of prices increases, my officials provided me with information on these price rises. This included a comparison of estimated annual bills across tariff years, the impact of government interventions in the form of electricity credits and the VAT reduction in preceding years as well as an approximation of the estimated annual bill incorporating supplier price increases. Much of the analysis provided by my officials was drawn from the Taskforce Report which is available at www.gov.ie. I also sought potential options from my officials for possible Budget measures. While these options were not progressed as part of Budget 2026, further consideration of the options will take place under the Taskforce next year.
Neither the Taskforce report nor submissions to the Minister included a recommendation to re-introduce universal or targeted energy credits. There are no plans to introduce credits this winter.
However, Budget 2026 did see the introduction of a number of measures to address energy affordability that more closely aligned with the Programme for Government including:
• A €5 per week increase in the Fuel Allowance bringing the payment to €38 per week. This equates to an increase of more than 15% and will provide an additional €140 to over 450,000 recipients during the annual fuel allowance season.
• This payment has also been expanded to include those in receipt of the Working Family Payment.
• Budget 2026 provided record funding of €558 million for SEAI residential and community energy upgrade schemes, an increase of €89 million on the Budget 2025 allocation to support delivery of the National Retrofit Plan. Research suggests retrofit measures can save a household up to €1,100 per year in terms of energy.
• The reduced 9% VAT rate on electricity and gas has been extended until 31 December 2030, to help contain household energy costs.
It is important to note that the Department of Social Protection can also provide support through the Additional Needs Payment to help households meet expenses, including those who face difficulties with fuel bills. There are also a range of CRU customer protections are in place including disconnection moratoria.
The Affordability Taskforce is now preparing for an engagement and consultation process to inform the development of an Action Plan to be published mid-next year. The Taskforce will also continue to bring an all of Government approach to researching and assessing options to enhance energy affordability for households and business.
In 2022, the ESRI estimated that the share of households that could be at risk of energy poverty was 29.4%. In order to improve the measurement of energy poverty, my Department funds the Research Programme on Energy Poverty, based in the ESRI. A key output of this Research Programme is the development of reliable and consistent metrics to monitor and study energy poverty. An ESRI publication on this matter is due to be published early next year.
Finally, I would like to reiterate the benefits of switching energy suppliers which can result in savings of hundreds of Euro on an annual basis.
