Energia confirms double-digit October electricity price rise

Energia says higher electricity bills are 'unavoidable' as system operator and network charges climb, with no change to gas prices

The company said these price changes apply only to electricity, with no change to Energia gas prices.

Energia will raise electricity prices by 10.9% and smart meter electricity prices by 12.1% from next month, the company announced on Tuesday, adding up to €205 a year to the average household’s annual bill.

The energy firm said these "regulatory approved non-energy charges, which are applied to electricity suppliers, are required to recover the costs of ensuring security of supply, addressing network constraints and investing in the electricity grid".

It said this expenditure is needed to "ensure reliability, efficiency and decarbonisation of the electricity supply in Ireland".

From October 9:

• Energia electricity customers will see their average annual bill rise by 10.9%, adding €3.94 per week.
• Dual fuel customers will see their annual bill rise by 6%, adding €3.92 per week.
• Smart meter electricity plan customers will face a 12.1% increase, adding €3.73 per week.
• Smart meter dual fuel plan customers will see their annual bill increase by 6.2%, adding €3.71 per week.

For those on a smart tariff, the increase will add around €194 a year to the average electricity bill. For those on a standard tariff, the increase will be around €205.

The company said these price changes apply only to electricity, with no change to Energia gas prices.

“We are always reluctant to increase our prices, and we work hard to offer our customers the very best value possible. Over the last three years, we have absorbed several increases in system operator and network costs and have decreased our prices twice," Energia's managing director of customer solutions, Gary Ryan, said on Tuesday.

“This price change is directly linked to increasing system operator and network charges associated with addressing network constraints, maintaining system security, and investing in the grid which support the required broader enhancement of the electricity network and market operation across Ireland."

He said the scale of cumulative charges has had "a significant impact on our current customer price structures, making this price change now unavoidable".

“While we naturally welcome such overall investment to support the development of the electricity network and ensure security of supply; it does increase costs for electricity suppliers and customers. As such, we would encourage the Government to further its direct exchequer investment in the network to not only enhance it but also offer electricity users pricing stability."

Mr Ryan urged customers experiencing difficulty with bills to "engage with us so we can continue to provide ongoing support".

"We partner with St Vincent de Paul, MABS, Alone, as well as other charities and urge customers to always contact us to find a solution," he added.