Energy crisis hits home

Damien Maher

Local people are feeling the pinch as the cost of heating their homes continues to increase and the price of solid fuel and gas has spiralled in the last six months, writes Damien Maher.

Many pensioners and people who rely on core social welfare payments are struggling to cope and there are calls for more support from government. The final €200 of the €600 energy credit will be paid next month and people are concerned about how they are going to cope after that.

Martin Perry of Grange Village, Mullingar, fears prices will continue to rise and people could be paying as much as €50 for a 40kg bag of coal next year. “I remember getting a deal off Sean Tone (Coal Bunker, Mullingar) a year ago and 10 bags of coal cost me €220. It now costs €380 for the same deal,” he told the Westmeath Examiner.

“It’s getting to a situation where people will not be able to afford fuel. Smokeless coal is getting much too expensive.” The price of logs has increased from €3.20 to €6.50, while a bag of fire logs that cost €3.50 last year has risen to €5. A bag of wood pellets that was €6.50 has almost doubled and now costs €11.50.

“I think it will go to €50 for a bag of coal in a year’s time unless something changes,” said Mr Perry, who insists pensioners and people relying on social welfare need more help.

“The government should be giving us more support. We got some alright in the form of the energy credit, but we don’t know what’s going to happen after March. We will need more help,” he said.

Mr Perry feels the emphasis on reducing our carbon footprint is having an impact in terms of cost and suggests that traditional methods of heating the home can’t simply be cast aside.

“People will have to be able to go back to the bog and harvest their own turf for the winter months. It will not be possible to buy fuel if the prices continue to increase,” he said.

The energy crisis is not the only thing that’s proving costly and Martin referred to the increase in electricity, refuse charges and the price of everyday essentials like bread, butter and milk.

Shortage

Sean Tone, owner of The Coal Bunker in Grange Village, has been supplying fuel for the last 30 years in Mullingar and he has never witnessed anything like the current crisis and there are a number of factors causing significant price increases for customers, including the carbon tax and the impact of the war in Ukraine.

“Solid fuel is being priced out of the market; the cost of an ordinary bag of coal has doubled in a year. A bale of briquettes has increased by €3 in the last year. The carbon tax (now €48.50 for a tonne of coal), a global shortage and the price of shipping are major factors,” he explained.

“Germany have opened up their power stations and are using their own coal, so that can’t be imported any more. You can’t get it from China either. There’s a big global shortage.”

The price of a bale of briquettes has increased by as much as €3 in places in recent months and is close to €10 depending on where you buy it. Sean Tone is selling bales for €8.50, but it’s more expensive in shops and supermarkets. A bottle of gas will cost €34, up €7 in a year. It’s frustrating for Mr Tone and his local business as he is not in control of prices.

“Briquettes increased by €1 in January, for example, and some people are paying €10 or more in supermarkets,” he noted.

The special deals The Coal Bunker was providing, such as 10 bags of coal for €220, are no longer possible: “The margins are smaller and the cost of delivering has increased. Diesel may have fallen slightly in price in the last month, but it’s still high, and the cost of insurance has risen, too.

“I’m trying to keep the costs as low as possible because I have a lot of pensioners who come here for their fuel each week. I try and give them a good deal, but I can see it’s getting expensive for them and some customers are now rationing their coal,” Sean explained.

People are restricting their use of fuel and will certainly struggle if the predicted cold weather arrives in the coming weeks.

“They’re only lighting the fire when they need to. If the Beast From The East came again, people would freeze to death in their own homes. Winter is not over yet and any severe cold snap is going to be really tough for old people. Gone are the days when a neighbour will bring you a bag of coal – they just don’t have it nowadays,” he said.

“It’s all budget for people now. There was a time when everyone lit the fire in the morning, now they are waiting until the children come home from school. I get a lot of calls from people looking for fuel in the evening, from around 6pm.

“It’s a serious crisis and it will only get worse next year if this war doesn’t end.”