'No change' for Irish customers despite Bord Gáis owner cutting prices in UK 

The fall in UK prices was attributed to government budgetary measures, with a spokesperson saying there was "no such incentives" for suppliers to in Ireland drop prices

Bord Gais' parent company, Centrica, which also owns Whitegate power station, said that it will introduce lower prepayment prices for UK customers from the 1st of April, making it the cheapest option to buy energy in Britain.

Bord Gáis has said that they have no intention at this time of reducing prices for customers in Ireland despite plans by its parent company to cut fees across its UK market.

Multinational energy firm Centrica, which owns Bord Gáis in Ireland and British Gas in the UK, said this week that it will introduce lower prepayment prices for UK customers from the 1st of April, making it the cheapest option to buy energy in Britain.

Speaking to the Irish Examiner, a spokesperson for Bord Gais said that the company had no plans in the short term to lower prices and that price cuts in the UK reflected updates in the nation's budget which "incentivised the company to reduce energy fees."

The spokesperson added that the Irish government had no such incentives for the energy company to lower prices for customers.

"Energy prices on wholesale markets have shown extreme increases and extreme volatility since late 2021 and this has forced price increases for consumers across all energy suppliers," the company said. "The recent downward fluctuation in wholesale energy prices is not reflected in current customer prices and won’t be for some time."

In Autumn 2022, Bord Gáis introduced substantial price hikes that saw the average residential electricity bill rise by 34% or €48.25 per month, with the average residential gas bill surging by 39% or €43.80.

Implemented last October, the changes marked the company's fifth price hike in two years, impacting Bord Gáis' 525,000 residential and business customers.

Speaking at the time, Managing Director of Bord Gáis Energy, Dave Kirwan said, "there is no precedent for the current energy crisis and consumers and businesses across the globe are grappling with very challenging increases in the cost of living."

Mr Kirwan added that the company "deeply regretted" the price hikes, attributing them to a surge in wholesale prices that Bord Gáis could not absorb on its own.

Despite wholesale prices falling by over 40% in January 2023, the company's gas and electricity prices remain unchanged, with leading suppliers including Bord Gáis saying that consumers could wait up to two years for retail prices to reflect changes in the wholesale market due to energy suppliers buying in bulk.

Controlling over 41% of Ireland's residential gas market, Bord Gáis' retail business reported a loss last year, attributing its performance to higher bad debt and falling demand due to warm weather.

Despite Bord Gáis' performance, 2022 earnings at parent company, Centrica, which also owns Whitegate Power Station in Cork, tripled to £3.3bn (€3.7bn), up from £948m (€1.07bn) in the previous year.

Last week, Centrica's chief executive, Chris O’Shea received his first bonus in four years, taking a pay package worth £4.5m (€5.1m) for 2022.

"Chris successfully navigated challenging regulatory and political issues, continuing to build capability and promote a performance and delivery culture whilst delivering shareholder value through new investment opportunities and portfolio shaping," the company’s annual remuneration report said.

The pay package includes a bonus worth £1.4m (€1.59m) and a 2.3m long-term share bonus on top of an annual salary of £790,000 (€896,000).