At an address on Wednesday 11 June to the 2008 Energy Ireland Conference, entitled: Shaping Ireland's Energy Future – Players or Spectators, John Mullins, Chief Executive of Bord Gáis called for an industry wide response to the issue of energy affordability in Ireland.

Reiterating that retail energy prices in natural gas and electricity are set to rise significantly later this year, John Mullins told conference delegates that energy affordability will become an increasing priority for companies providing services to domestic customers and requires a real and substantial collective approach from the industry to ensure that effective policies are in place to meet the needs of energy users.

He said: "While the Government currently provides substantial support for energy affordability through the National Fuel Scheme and the Household Benefits Package the energy industry needs to take a pro-active approach on the issue now in the light of pricing trends. We need to understand the scale and scope of the issue the industry may face and the initiatives we can take to alleviate it.

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"Given that energy prices for retail customers will unfortunately rise substantially, and that fuel poverty exists when energy bills represent 10% of income, it is inevitable that energy affordability will become a more significant national issue. It is incumbent on all the key energy players to come together and jointly address the issue in a strategic and effective manner."

He pointed to the three factors that give rise to the energy affordability issue - fuel pricing, low income and poor energy efficiency - as the key areas under which the industry needs to collectively examine the problem and develop appropriate solutions.

As people on low income thresholds will be challenged by higher fuel prices, he pointed out that as energy players, the industry needs to act early with late payment issues and assist where it can with budgeting. An accelerated programme for the installation of pre-payment meters will also be key. He also cited the work Bord Gáis has undertaken in this area and its work with voluntary state agencies.

Concluding on energy affordability, John Mullins maintained that while the industry should immediately address energy affordability as a key issue, clear eligibility criteria need to be set around the area; a programme for pre-payment metering needs to be accelerated for relevant groups; that an increase in grants for targeted housing upgrades is urgently required and the industry as a whole needs to put an increased emphasis on energy usage and tariff advice.

(JM)