Taoiseach Leo Varadkar T.D has welcomed the announcement that energy firms are to lower prices given the financial strain that many individuals are currently facing.

The price reduction will take effect from October and November this year.

Joined by the Minister for Environment, Climate and Communications, Eamon Ryan T.D, the pair met with SSE Electricity, Bord Gáis Energy, Energia and Electric Ireland. During the meeting, the government also discussed plans to support customers ahead of the coming winter was discussed.

After the meeting, the Taoiseach said: "People are really struggling with the cost of living and energy costs are a big part of that. I met with the main energy companies this afternoon and indicated to them that they must go further in future billing cycles, subject to wholesale prices not increasing again.

"I am particularly concerned about what companies are doing to help their most vulnerable customers and received commitments from them this afternoon that they will continue to help over the winter period, through their respective hardship funds, prompt customer service and minimising disconnections outside of the moratorium period, which last year covered October through to the end of March. I understand CRU, the utilities regulator, will make a decision on this year’s moratorium period shortly.

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"We also discussed the benefits of co-operation between the energy companies and Government on improving our energy efficiency, which is really important, not just because it’s the right thing to do, but also because retrofits, solar panels and other improvements, enhance quality of life and also reduce costs for customers over the medium to long-term.

"We have the windfall tax, which is an additional tax on the super normal profits of energy companies. This will provide several hundred million euros, which we will use to help families and businesses with their energy bills. We also took a special dividend out of the state-run companies, Bord na Móna and ESB. These monies too, will go to the Exchequer and help fund ways to take the pressure off those who are struggling. In the longer term then, the Government will continue to invest in renewables on a national scale, such as wind and solar, to reduce our reliance on polluting fossil fuels and the volatility of international markets.

"We directly helped families and businesses in a number of ways last year with the different cost of living pressures they are currently facing and will not be found wanting again this year but energy companies must play their part."

Expressing the work that has been done to date, Minister Ryan said: "We have been meeting and working with energy supply companies throughout this crisis to ensure that customers, and particularly vulnerable customers, have been supported, with the government’s energy credits firstly, but also with the range of other supports and protections that have been put in place by the energy regulator and by the companies themselves to ensure that people and families can stay warm and well. As we look to another Winter, it is important that customers, and particularly those who may be worried about bills, continue to engage with their energy companies and know that there are a range of supports available to help."