There are fears that more local businesses in Donegal could close their doors in the coming months if energy prices are not capped.
Independent TD Thomas Pringle told the Dáil of the frustrating detrimental impact energy prices are having on people and businesses in his constituency.
He said he fears the impact of the difficult winter will continue into 2023.
Deputy Pringle said: “Many businesses in the county were forced to close their doors due to the struggles they faced in paying energy bills. I fear that many more will follow after what has been a very difficult winter for many small businesses.”
Deputy Pringle was speaking on a motion raised by the Social Democrats calling for targeted energy price caps and the immediate introduction of a windfall tax.
Social Democrats Energy spokesperson Jennifer Whitmore said: “Energy bills have tripled in two years and doubled in the last year alone. Average energy costs for consumers are now a staggering €4,300 per year – and will likely continue to rise. Is it any wonder then that the ESRI last year warned that more than 40pc of households are living in energy poverty.
“Enough is enough. A targeted energy price cap – which caps the price of average energy usage for households and businesses – would provide immediate relief from energy price shocks. It would ensure that everyone can avail of affordable rates for their essential energy needs, while those who use a disproportionately large amount of energy pay more.
“Unlike a blanket price cap, a targeted cap would mean that wealthier householders do not disproportionately benefit while also incentivising energy conservation. Germany has recently introduced such a cap, so we know it can be done.
“The Government introduced electricity credits at the start of this crisis as it said it had no time to plan an alternative form of support and credits were the quickest option. Now, more than a year into this crisis, it is time for the Government to introduce a more long-term and comprehensive way to provide that support.”
