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ESB should become 'a breakeven company', Cork TD says

People Before Profit TD Mick Barry says the Government has several options available
Jack Quann
Jack Quann

16.39 26 Jan 2022


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ESB should become 'a breakeven...

ESB should become 'a breakeven company', Cork TD says

Jack Quann
Jack Quann

16.39 26 Jan 2022


Share this article


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, says a law could also be passed to make the ESB a 'breakeven company'.

He was speaking amid an increase in energy bills for most people, owing to supply levels of natural gas in Europe at historic lows, and shipments at an all-time low because of a spike in demand from Asia.

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While a lag with a new pipeline from Russia means any respite has been delayed.

Deputy Barry told The Hard Shoulder there are several options here.

"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".

Deputy Barry says such a move could be done in the Dáil.

"Legislation could be passed on the floor of the Dáil to change the remit of the ESB and to instruct them to operate on a breakeven basis, instead of recording these super-profits.

"This is an issue now which isn't just hurting people a bit in the pocket.

"There's families that I know who are having to make choices as to whether they feed the family or whether they heat the house.

"And if we have a really cold snap, this could be a really dangerous situation for people who are older and poorer in particular.

"This country has a much higher - what they call - an excess winter death rate than most other European countries.

"When that happens people die, not just of the cold, of fuel poverty - that's what we're talking about here."

And he says a €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".

ESB should become 'a breakeven company', Cork TD says

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Main image: Mick Barry from People Before Profit holds a media conference on the plinth outside Leinster House in December 2021. Picture by: Sasko Lazarov / RollingNews.ie

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Breakeven Company ESB Energy Bills Fuel Allowance Maximum Price Per Unit Mick Barry The Hard Shoulder VAT Winter Death Rate

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