Middle East conflict sparks 8.98% (£7 a month) winter price hike for Derry gas customers
A senior staffer at firmus energy has said the prolonged conflict in the Middle East has precipitated a new 8.98 per cent price hike for Derry gas customers as winter approaches.
Sharleen Winning, Head of Regulation at firmus energy Supply, said: “We cannot ignore the impact the situation in the Middle East is having on the cost of energy, and unfortunately this has left us with no option other than to increase our tariffs. We have held off for as long as we could in the hope of a resolution that would lead to a reduction in the global wholesale prices.”
firmus energy – one of the North’s largest suppliers of natural gas – announced the tariff increase of 8.98 per cent for its Ten Towns customer, including those in Derry and Limavady, on Friday.
A 12.5 per cent hike for its Greater Belfast customers is also due to take effect imminently.
The gas supplier said the increases were due to the increased cost of gas on the global energy markets caused by the prolonged conflict in the Middle East.
The Ten Towns new tariff will be effective from October 1 and equates to an extra £7 per month on the average bill for customers in this network area. For customers in the Greater Belfast network the new tariff will be effective October 8 and equates to an extra £12 per month.
“As Northern Ireland’s largest gas supplier by volume, we want to provide the best value possible to all our customers and we have demonstrated that when we are in a position to reduce tariffs, we do so without delay, and we hope to be able to do so again, once the global markets allow this,” said Ms. Winning.
The announcement by firmus comes in the wake of significant rises in global oil and gas prices consequent to the United States-Israel war against Iran that was launched in February.
The International Energy Agency (IEA) has said ‘the disruption to oil and gas flows through the Strait of Hormuz and attacks on energy infrastructure across the region have major implications for energy security and affordability – and for the world economy’.
Earlier this year Fatih Birol, the IEA's Executive Director, said the combined impacts amount to ‘the greatest threat to global energy security in history’.
"The war in the region that began on 28 February has impeded energy trade flows through the Strait, creating the largest supply disruption in the history of the global oil market. Global gas markets have also been affected; about 20% of the world's supply of liquefied natural gas (LNG) moved through the Strait in 2025,” the IEA said.
The price rises for local gas customers in Derry will take effect in four weeks.
Firmus energy advised customers seeking to switch to natural gas for instant heat and constant hot water, or to get advice on their bills or direct debit payments should contact the firmus energy Supply’s locally based Customer Services team on 0330 024 9000 or via [email protected].
For free and independent advice on how to save energy please contact NI Energy Advice Line on 0800 111 4455.