August 27, 2024
Extra €100 on household electricity bills underlines need for reform of regressive government approach to operating national grid – Darren O’Rourke TD

Sinn Féin spokesperson for the Environment, Climate and Communications, Darren O’Rourke TD, has slammed the government’s regressive approach to maintaining a functioning electricity system in Ireland.

He argued that it is too often that ordinary workers and families are expected to shoulder a dipropionate share of the burden.

Commenting on the news today that household electricity bills would rise by a staggering €100, the Meath East TD said:

“Today we learned that the Commission for the Regulator of Utilities, the CRU, approved an increase of €100 in the network change for households from October. This increase is adding to the significant financial strain on ordinary people, especially considering the fact that electricity prices are still way above the pre-energy crisis average, and considerably higher than the European average. To add insult to injury, network costs in Ireland are some of the highest in Europe.

“With the number of households in arrears already at staggering levels, the reality is the increase will inevitably lead to more families struggling to pay their bills and at risk of disconnection.

“In Sinn Féin, we believe households deserve much better. The government’s decision to allow this additional charge demonstrates their commitment to a system that is deeply unfair.

“While investment in our electricity grid is essential and must be prioritised as we transition to net zero, the burden must be shared equitably. Ordinarily workers and families should not be expected to face continuously rising costs all the while energy companies make off into the sunset with massive profits.

“This price hike is in addition to the reported €40 increase in the PSO levy for households announced a number of weeks ago. The PSO levy is intended to bolster the roll out of renewables by subsidising the generation of electricity from sustainable sources, such as wind and solar power.

“While this levy has an important role to play, the way it has been implemented by Fianna Fail, Fine Gael and the Greens is deeply regressive, as the burden is not evenly or equitably distributed across or within different user groups.

“Like with network charges, ordinary workers and families are hit hardest, and the government has made absolutely zero effort to ensure that these charges form part of a just transition for households.

“Households cannot withstand the strain of yet another price in their electricity bills. Something needs to change and fast.

“Unlike the government’s socially and environmentally regressive approach to reaching net zero, Sinn Féin has a suite of progressive proposals which would provide a pathway for a just energy transition.

“For example, to put an end to the inequity in the PSO levy, we would reform its structure and distribution. This progressive approach would achieve much more equitable outcomes for ordinary workers and families.

“Similarly, to address the fact that energy companies continue to make massive profits all the while the standing charge to households on electricity bills continues to increase, Sinn Féin has introduced legislation to give the energy regulator the power to regulate standing charges. It would require them to justify continual increases as their profits continue to soar.

“As we transition to net zero, it is crucial that ordinary workers and families are shielded from undue cost-burdens. The government must stop treating them as the collateral damage in the move toward a fossil free future.”

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