Minister Ryan Must Act On Energy Costs – Mulvihill Snr

In response to Minister Ryan’s defence of a 5% rise in electricity prices in the media, Labour Councillor John Mulvihill snr has called on the Minister to take action to ensure that consumers and small businesses are provided with support.

“The Minister has failed to keep electricity prices down and to protect competitiveness. This 5% increase in electricity prices will put a terrible strain on struggling SMEs and on households dependent on low incomes. There are specific measures that the Minister could put in place that would have an impact in keeping prices as low as possible. The Minister must ensure that precious funding allocated for insulation for householders is actually spent. It is incredible that €35 million was handed back in 2009 because Minister Ryan couldn’t manage to spend the money on these much needed insulation schemes.

Cll Mulvihill continued “The Minister refers to €600 million taken from the big power companies (including ESB), which he claims was used to protect competitiveness and keep prices low. However, this subvention was restricted to Large Energy Users and should be extended to small and medium enterprises many of whom are based here in East Cork. Minister Ryan has also praised the role of the Regulator in its role in bringing about price decreases for consumers but fails to point out that regulation in the electricity market has kept ESB prices artificially high. The Minister must act on these specific measures. He must ensure that the crazy plan from the Energy Regulator to force the ESB and Bord Gais to change the brand names of their retail sectors is scrapped. If this totally unnecessary plan goes ahead it will result in a colossal waste of money which will be passed on to the consumer.

In conclusion Cllr Mulvihill stated  “It is also essential that Minister Ryan clarifies precisely how the funds arising from the newly enacted legislation on the Carbon Revenue Levy will protect competitiveness.  These funds should be ringfenced to ensure that it is directed to consumers and businesses.”