Electric Ireland announces 29% price hike from October 1
Electric Ireland is to increase electricity prices by 29 per cent for customers from October 1, 2022, it has been confirmed.
It is the second increase from May 1, 2022 for customers of the third largest electricity supplier in the north, and will see the typical credit meter and keypad (PAYG) customers’ bills rise by almost £275 per year.
Electric Ireland said it is raising tariffs due to unprecedented increases in international energy market prices and their impact on wholesale gas prices.
Residential electricity bills will rise by 26.7 per cent and gas bills will rise by 37.5 per cent with effect from October 1, 2022.
Pat Fenlon, Executive Director, Electric Ireland said: “This continues to be a very challenging time for customers, and an unprecedented time in the energy industry with increases to wholesale gas prices in excess of 700% over the last 12 months and 200% since June 2022 alone.
He continued: ‘It is with considerable reluctance that we are increasing electricity and gas prices again for our customers, which is necessary given the continuing increases in wholesale energy prices, particularly gas. To put that into context, this time last year wholesale gas prices for winter were circa. GBP£1.15 per therm, and as of last week, this winter’s prices were circa. GBP£7.70 per therm."
Raymond Gormley, Head of Energy Policy at the Consumer Council, said: “This news will adversely impact all Electric Ireland customers who are already experiencing financial pressures on their household budget especially with the severe cost of living crisis that we are experiencing.
“Consumers who are struggling with their energy bills should contact their supplier directly for help and information. We would encourage all consumers to think about ways they can reduce their energy costs. Switching payment option, changing billing method or switching supplier can save some money.”
The Consumer Council’s website (www.consumercouncil.org.uk/energy) has a free independent energy price comparison tool which empowers consumers to compare all electricity and gas tariffs across Northern Ireland in one place. Electric Ireland have confirmed that as part of their licensing agreement, there will be no exit fee applied to customers who switch to another supplier before April 30, 2022.
Raymond continued: “In the short term, the Consumer Council has been working in collaboration with Government departments, The Utility Regulator, energy suppliers and third sector organisations, to try to put in place immediate support and advice to help those in energy crisis as the problem of high energy prices will impact many households this winter and beyond.”
In the longer term, this situation shows the importance of the Department for the Economy’s Energy Strategy Action Plan, that aims to tackle affordability and move us away from our dependence on fossil fuels and set us on the path to a more sustainable energy future.”
Consumers can also get in touch with the Consumer Council for free independent advice by calling Freephone 0800 121 6022 or by emailing [email protected]