Landlords may get rebates for energy efficiency

REBATES for landlords who make their rented properties more energy efficient are suggested by a state advisory body as a use for revenue generated by the controversial carbon tax.

Under the scheme, up to €1,500 per property would be returned to landlords who upgrade their properties and rent them to welfare recipients and other people receiving rent allowance.

The carbon tax, which will soon be levied on solid fuels like oil and coal as part of the country’s commitment to tackling carbon emissions and climate change, is expected to cost the average household an extra €246 per year, netting the Government more than €500 million annually.

As low income households will be disproportionately hit by the tax, the Combat Poverty Agency has suggested a range of ways to redistribute the revenue raised to help those most affected.

In a submission to the Commission on Taxation, the agency says €200m of the extra revenue should be spent increasing social welfare payments and fuel allowances.

A further €210m should be used to reduce the lower rate of VAT and keep bus and rail fares stable by increasing subsidies for public transport.

It says the final €100m should go on energy-efficiency measures to improve heating systems and insulation in older and poorer quality housing.

The Commission on Taxation is to make its final recommendations to the Government on how the carbon tax should be administered within a year at the latest.