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Govt always looking to reduce energy costs, says minister

A single heat pump or compressor unit outside a modern house
The Tánaiste said he was looking to address structural issues around energy costs

Minister for Energy and Climate Darragh O'Brien has said the Government is always looking to do more to make homes more energy efficient and to reduce costs for people.

He was responding to confirmation that Tánaiste Simon Harris has asked officials in his department to examine measures that would make households less dependent on fossil fuels.

Mr O'Brien believes that electrifying the country is good for climate and good for people's pockets.

The minister said he is specifically looking at new grants for businesses to make them more energy efficient.

The Tánaiste has asked officials in the Department of Finance to develop further measures to help households with rising energy costs.

On Saturday, Mr Harris indicated that the Government is looking at once-off supports to help people become less reliant on fossil fuels, including initiatives that would allow people upgrade heating systems at their own pace and switch to more efficient vehicles.

He has now confirmed his department will seek to implement supports "with a particular focus on the structural costs that Irish people face regarding energy and electricity costs", as the Coalition grapples with how to cushion the rising cost of living for householders.

His comments come as Sinn Féin continues to push for an emergency budget with more one-off supports as well as cuts to the Universal Social Charge and the removal of carbon tax on home heating oil and green diesel.

Minister for Climate, Environment, Energy and Transport Darragh O'Brien
Darragh O'Brien said he was looking at new grants for making businesses more energy efficient

The Labour Party has also called for immediate assistance for PAYE workers.

Mr Harris last week ruled out such a mini budget in the short-term but added that he could not rule out further cost-of-living supports down the line.

"We have to do more to help people with energy costs in Ireland," he said, just over a fortnight on from the announcement of a €750m fuel crisis package.

"I am now asking officials in my department to work on options as to what Government can do further and to work with colleagues across Government - not just to help in the here and now, but to permanently and sustainably make progress.

"So, I am asking officials to examine whether there are additional practical supports we can introduce to help people upgrade their home heating systems, including hybrid heat pumps or lower-emission fuels like HVO (Hydrotreated vegetable oil)", he added.

Officials will examine measures such as targeted grants, accessible financing and investment in retrofitting, renewable energy and the electricity grid.

Mr Harris said making progress on energy affordability would be a key priority for him as part of wider efforts to address the cost of living.

The cost of living is likely to be on the political agenda again this week amid the continuing uncertainty around the war in Iran.