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Increase in €100 electricity credit being examined to cut energy costs

Minister of State Niall Collins says more needs to be done
Jack Quann
Jack Quann

06.53 3 Feb 2022


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Increase in €100 electricity c...

Increase in €100 electricity credit being examined to cut energy costs

Jack Quann
Jack Quann

06.53 3 Feb 2022


Share this article


An increase in the €100 electricity credit is being examined to help with the rising energy costs.

The Government is looking at new ways of reducing cost pressures on households across the country.

It is understood ways of providing relief to social welfare recipients is also being considered.

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On Wednesday, An Taoiseach Micheál Martin told his Fianna Fáil parliamentary party "a range of measures" are being looked at to help protect incomes.

Minister of State for Higher Education, Niall Collins, expects an announcement in the coming weeks.

"The Government is very aware of the cost of living increases - Government has introduced some measures through taxation and our social welfare code in the recent budget.

"And also the recently announced €100 credit.

"But equally, Government is considering a number of other measures and will be deliberated upon in the next number of weeks."

Minister Collins says they realise that more needs to be done.

"Government recognises that the €100 voucher towards the cost of energy isn't going to defray the entire increases that families and individuals have experienced - more needs to be done.

"We have taken onboard a number of measures following the budget through taxation, through social welfare, increases in Fuel Allowance.

"But other measures also have to be actively considered over the next number of weeks by Government and will be acted on".

While one TD says the Government should follow Spain's example and cut VAT on energy bills.

People Before Profit TD for Cork North-Central, Mick Barry, told Newstalk a lot more could be done.

"There's a whole range of things that the Government could do.

"They could follow the example of the Spanish government who - under pressure from their people - cut the VAT rate by more than half.

"They could introduce a maximum price per unit... they could increase the Fuel Allowance - and, here's a big one, they could put the ESB in the spotlight.

"ESB made a year-on-year profit of €363m - used to be the way that the ESB had a mandate to be a breakeven company.

"Imagine the kind of cuts that could be introduced if that was re-introduced".

And he said the planned €100 credit to be given to every household doesn't go far enough.

"The Government are going to cover 10 to 15% of people's energy price increases, leaving people to dig deep in their own pocket for 85 to 90% of it.

"It is a completely inadequate response from the Government, it doesn't go nearly far enough in our view".

Additional reporting: Adrian Harmon

Main image: Composite image shows Fianna Fail's Niall Collins speaking to the media at Leinster House in February 2020, and an electric meter with a €100 note in January 2019. Picture by: Sam Boal/RollingNews.ie/Imagebroker/Alamy Stock Photo

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Electricity Credit Energy Costs Fuel Allowance Micheál Martin Mick Barry Niall Collins Social Welfare Recipients VAT

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