Electric Ireland has hiked its gas and electricity prices for the second time in three months.
The company this afternoon said it would increase its residential electricity prices by 9.3% and its gas prices by 7%.
The increase will come into force from next month.
The company already increased its prices two months ago – hiking its electricity price by 9% and its gas by 7.8%.
In a statement, the company said the latest increase is due to “unprecedented increases in wholesale energy costs.”
It said they will add €9.02 to the average monthly electricity bill and €4.85 to the average monthly gas bill.
Discounts
Daragh Cassidy from Bonkers.ie told Newstalk the increases are no great surprise.
“It is not great news for energy customers,” he said.
“Since the start of the year we have had over 30 price hike announcements. Electric Ireland has made one already earlier this year and now today they have announced that they are raising prices for the second time this year.”
He said customers should shop around for better prices.
“What people need to remember is that the way the energy market works is all the suppliers compete really, really heavily and aggressively for new business,” he said.
“So, they do that by offering great discounts to people who switch and that discount usually lasts for one year. Some of those discounts can be maybe 30% to 40% off the standard rate so it absolutely still pays to switch.”
Homes
The Electric Ireland changes will affect around 1.1 million electricity customers and 145,000 gas customers.
The company’s Executive Director Marguerite Sayers said the increase is “necessary to offset the unprecedented rise in wholesale energy costs this year.”
"We appreciate that energy price increases combined with other bills may put some households under financial pressure as we move into the colder winter months,” she said.
“We would urge any customer who has difficulty in paying their bills to engage directly with us, or with The Society of St. Vincent de Paul or MABS with whom we work in such circumstances.
"Alternative options available to all Electric Ireland customers are flexible payment plans, such as the Equaliser Plan, which enables customers to spread energy costs across the full year by paying a similar amount each month or taking a payment holiday.”
Energy
Other energy suppliers, including SSE Airtricity and Bord Gáis Energy, have also increased their prices this year.
It comes after EirGrid, the State-owned company which operates the national high voltage electricity grid, warned that Ireland faces energy shortages for the next five winters.
The Government has said it does not expect rolling blackouts this winter; however, the Environment Minister Eamon Ryan has admitted things will be ‘tight’ while new renewable energy systems are delivered.
