More than 2.2 million households will start to receive the next €200 electricity credit

More than 2.2 million households will start to receive the next €200 electricity credit

The €200 electricity credit will be distributed to all households from New Year's Day bringing them much-needed relief.

Now, we break it down for you:

Ireland's Electricity Supply Board have announced that more than a 2.2million households will receive the €200 electricity credit. This will be applied to their bills from January 1. Payer-as-you-go customers are also included in this offer.

Credit amount of €183.49 and will be reported on your monthly bills, while the balance of €183.50 is VAT.

When might the credits be visible to homeowners?

Depending on the household's billing cycle, the credit will be applied to their bills in January or February.

How many electricity credits are you eligible for?

This is the second €200 credit that was announced in Budget 2023. The first one was introduced in November and December of this year. They are currently issuing your second credit while a third credit of €200 will be applied in the next billing cycle.

A previous credit of €200 was paid out in 2022

How much will these credits cost the Exchequer?

The current tranche of electricity credits will cost the State more than €1.2 billion, part of a broader €4.1 billion package of once-off measures announced in Budget 2023 to offset the soaring cost of energy due to Russia’s invasion of Ukraine.

How will credits accumulate on meters that use prepay or pay-as-you-go metering?

Customers who are on a prepay or pay-as-you-go plan will have been able to find usage guidance from their electricity providers.

Our €200 Electricity credit can be saved in three instalments by the user, who will have to incur some cost for the rest of their electricity. The user's meter has a limit of €300, so this credit could push them over this limit. Customers can use the electricity credit as they see fit by making a €10 payment over three days.

Customers will be advised to only pay €10 on each occasion to receive their credit, and to allow one day between each payment. 1st purchase: €10 credit (customer purchase) automatically added to account the next time €10 voucher is purchased.

A €90 Government credit is then automatically applied to top-up voucher 2nd vend €10 credit (customer purchase). A €20 Government credit is then automatically applied to top-up voucher 3rd vend €10 credit (customer purchase).

How does this offset apply to tenants who pay their landlord for electricity?

Landlords should pass on the credit to their tenants.

The Department of the Environment, Climate and Communications has partnered with the Residential Tenancies Board to make sure landlords and tenants are aware of this. This is best for homes and businesses with electrical meters themselves to receive benefits.

Whenever a dispute arises, tenants and landlords should try to work together and communicate as best they can with each other. In the event of a dispute, the matter may be referred to the RTB's free mediation service where an independent mediator helps both parties come up with a solution that benefits everyone. Alternatively, parties in a dispute can go to the RTB and have an independent adjudicator rule on their claims. The RTB has information on their website.

What made government do this?

As a way of making sure that people at home are better insulated from rising energy costs, which we lack direct control over, the Minister for the Environment has called for these steps to be taken.

It’s no secret that the Government has been aware of recent increases in the cost of living. The Government has close eye on the increasing prices in the energy sector, due to the increase in international energy costs. We know that you've been working hard to make ends meet, and rising costs are making life even tougher. Things won't change is 2023, but the governement is has taken responsibility to control the hikes.

We have taken measures to insulate households from high prices and will continue to monitor the situation. The ESRI has found that the one-off measures we brought in, as part of Budget 2023, are most effective when it comes to providing insulation.

How is the government going to take care of those who cannot afford their utilities?

Due to increased energy prices, the government has set aside a €10m fund to assist households with their energy bills.

What should those experiencing fuel poverty do?

People should engage with their energy suppliers first to seek additional support as suggested by the government.

Customers on a pay-as-you-go meter who are struggling can get help keeping their energy on through the Additional Needs Payment.

The government is making sure that everyone in need will received the Additional Needs Payment as soon as possible.

Reduced heating and electricity bills are a big priority right now. Here's our top 5 tips for saving energy.

The Reduce Your Use / Stay Warm and Well campaign is a Government initiative to provide you with practical information on how you can save energy and keep yourself warm over the winter. The Government wants people to stay warm and well this winter. They also want people to know that help can be found if they need it in the coming weeks and months.

Where at all possible, the government is asking people to reduce their energy wastage. All partners involved in this campaign will help you save money by using less energy. These key partners are the Commission for Regulation of Utilities, MABS, ALONE and SEAI.

What other metrics are you tracking?

Fuel Allowance:

In addition to a one-off "lump sum" payment to Fuel Allowance recipients, the scheme will be expanded to include up to 81,000 new households. This will take effect in 2023.

A family in receipt of Fuel Allowance this winter will receive a total benefit of almost €2,000 made up of:

  • €924 Fuel Allowance payment for winter 2022/2023;
  • €400 Fuel Allowance lump sum;
  • €600 (including VAT) electricity credit.
  • Household Benefits Package: This is available to help towards the costs of electricity, gas or a telly licence. It can only be claimed once per household.

The package can be accessed by anyone over the age of 70. You do not need to have a pension. If you are between 66-70 years old, you are able to claim the package if you meet the necessary requirements. You may also be eligible if you are under 66 and get Disability Allowance, Invalidity Pension, or Blind Pension. Or if you live with someone and give them care on a regular basis.

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