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Government Electricity Credit

The government has announced an electricity credit of €600 which will be applied to electricity bills

Government Electricity Credit 

What is the Government Electricity Credit? 

A Scheme has been approved by the Government to credit all domestic electricity customers with €600 (inc. VAT) for the forthcoming winter. Approximately 2.25 million account holders will benefit from the scheme with three payments of €200 to their electricity accounts over the winter. This is one of a range of measures being taken to mitigate the impact of rising energy costs. 

The scheme will apply to all domestic accounts (DG1 and DG2), including pay as you go customers.  

The Commission for the Regulation of Utilities (CRU) will be responsible for overseeing the scheme. ESB Networks will make payments to energy suppliers after receipt of funds from the Exchequer, who in turn will credit all their domestic electricity account holders with three payments of183.49 (exc. VAT). 

Why have electricity costs risen? 

All suppliers have seen increased electricity costs, due to the unprecedented increase in wholesale gas and electricity costs in recent months.  

Why not Gas or LPG? 

While all homes have electricity, the heating fuel varies, so it would be difficult to fairly compensate customers for their heating fuel costs. 

What do I have to do receive the credit? 

All domestic electricity customers will receive the credit automatically and do not need to apply for it. There will be three “effective dates” of the scheme taking place on 27 October 2022, 20 December 2022 and 27 February 2023.  The supplier that you are registered with at each effective date will be responsible for crediting customer accounts with the €183.49 (exc. VAT) instalments. 


When will I receive the credit? 

You will see the credit line item of €183.49 (exc. VAT) on your bill from November onwards.  It is anticipated that the first instalment will be paid in November / December, the second in January / February and the final instalment in March / April to align with the bi-monthly billing cycle common to residential customers.  The credit will be applied to your bill and incorporated into your existing billing cycle. 


What if I owe money on my account? 

The payment will effectively credit your account with €600 so any amount owed will be reduced after taking into account consumption over the period of the scheme. 


When will I receive the credit?

You will receive your credit from which ever supplier you are with on the effective date(s) of fund allocation from ESBN, you will either receive it on your last bill from the supplier you are leaving or the first bill from the supplier you are joining. It is possible that you could receive instalments from different suppliers in the event that you change supplier during the scheme.   


The Credit was not included on my final bill, what should I do? 

This may occur if you are in the process of leaving Flogas around one of the effective dates of the scheme.  If you do leave Flogas and the credit is not applied to your account prior to receipt of your final bill, the credit will be applied and your final balance updated.  We will then communicate with you directly to advise that it has been applied and provide your final balance.  If you are in credit then this communication will contain a cheque for any credit balance on your account. 


Does the credit carry over to the next bill if I don’t need it all on this bill? 

The credit will appear on your bill and be allocated to either current or future usage depending on your account balance at the time of allocation. 


What if I have a PAYG meter? 

Arrangements have been put in place for customers using hardship PAYG meters, around how you will receive the credit. Some meters will have to the credit applied in multiple instalments over a number of days but we will be communicating directly with affected customers in advance of the credit being applied. 


What if I pay my landlord for my electricity? 

For operational reasons the scheme can only credit the domestic electricity account holder. In cases where a tenant is not the account holder, the expectation is that the landlord will pass the credit on to the tenant. 


I am due to move house / apartment, the account is in the name of “the resident” do I get the credit? 

You should contact us to activate your account as soon as practically reasonable upon your purchase/rental of a property. If the account activation is requested in advance of the fund allocation date, the credit will be automatically applied to your account. 


My house isn’t ready yet, the account is not in my name it is in the name of the builder how do I get the credit? 

For operational reasons the scheme can only credit the domestic electricity account holder. Only the account holder who is registered to the MPRN at the time of each effective date will receive the credit, each MPRN will only receive a credit of €183.49 (exc. VAT) per instalment, you may want to discuss this with your builder if the date is of concern to you. 


What is the implication in the reduction in the VAT on the Electricity costs emergency benefits scheme?

In line with Ireland’s VAT legislation, the rate of VAT that is applicable is the rate in force at the time of issuing of the bill. The credit of €183.49 (exc. VAT) as set out in Section 5(2) of the Electricity Costs (Domestic Electricity Accounts) Emergency Measures Act 2022, is being made to each domestic electricity account from April and remains the same.”


Are there additional supports available to help with electricity/heating costs? 

Yes. The Department of Social Protection has a number of supports available including: 

Fuel Allowance 

Households Benefits Package 

Exceptional Needs Payments (SWA)