People on social welfare are to be given up to 30 per cent more free electricity, it was announced today. While savings will be offset by dramatic energy price increases given the green light by the energy regulator last week, it should at least allow those availing of the scheme to maintain their average consumption without any increase in cost.
With bills set to soar by 20 per cent from the start of next year, the Taoiseach Bertie Ahern announced the support scheme would be extended for the poorest in society.
"This Government is committed to ensuring that the needs of the most disadvantaged in our society are prioritised. This measure will target precisely those people in the face of the rising cost of energy, over which we have no control," the Taoiseach said.
At present, eligible social welfare recipients are entitled to up to 1800 free units of electricity a year, while the State also pays for standing charges. Similar benefits are available in respect of gas.
The extension of the scheme will give the poorest in society an extra 600 free units of electricity.
It is hoped it will allow eligible social welfare recipients to maintain their average consumption of gas and electricity without any increase in cost.
Average household electricity bills will rise by 12 euro a month from the start of next year — an increase of just under 20 per cent — after the Energy Regulator last week approved a price hike.
In an added burden to consumers already being hit hard by high and rising inflation, the Regulator said the increase was direct result of spiralling fuel costs.
It comes on top of the 34 per cent increase in gas prices due in October.
The Regulator said the average electricity bill for a home for two months will increase from €126 to €150 a month.