Wholesale energy prices rise 8%

The Bord Gáis Energy Index of wholesale energy prices rose 8% in July, the biggest monthly increase since Feb 2012, as oil prices rose on supply concerns and expectations of additional economic stimulus measures to battle global weaknesses.

Along with rising fuel commodity prices, the ongoing weakness of the euro played a significant role in the monthly rise in the index. As a result, it now stands at 144, an increase of 4% on Jul 2011.

Power trader at Bord Gáis Energy, John Heffernan, said: “Despite the global economic backdrop, wholesale energy prices increased in July, with gains recorded in the wholesale price of oil, gas, coal and electricity. In July we saw the vulnerability of fuel commodity prices to threats in global supplies or supply failures.