Here is how much the energy regulator says people can save by switching gas or electricity suppliers

Irish consumers who failed to switch gas or electricity suppliers over the last four years have paid almost €1,700 more than they needed to, according to the energy regulator.

The annual report of the Commission for Regulation of Utilities (CRU) reveals that only a quarter of customers either switched providers or negotiated better deals with their existing provider in 2018, with the majority missing out on major savings in utility bills.

Active customers who switched or renegotiated every year for the last four years could have saved €704 on gas, €1,097 on electricity or €1,696 on their dual fuel costs. The regulator said that savings made through switching suppliers or negotiating with a current supplier could help customers beat recent prices increases.

Seven suppliers announced energy price rises in the past few months, citing higher wholesale prices. On average the wholesale price of both gas and electricity was 33% higher in 2018 compared to 2017, with much of this increase occurring towards the end of the year.

This was the predominant factor in seven suppliers announcing energy price increases in 2018. Overall, in 2018, customer electricity prices increased by 5% and gas prices by 13%.

While the report describes the switching rate as “robust” only 14% of electricity customers switched supplier last year. The figure for gas customers was 20%. This is the highest annual gas switching rate recorded to date. Of total switches, 29% were dual fuel switches.

The figures represent an eight-year high in gas switching rates and a seven-year high in the switching rate for electricity. When customers who sought and received better deals from their existing providers were added, 24% of electricity customers and 29% of gas customers paid rates lower than the standard tariff last year.

The regulator said the relatively higher rates of switching could be attributed to its implementation of new consumer protection measures. These include an annual prompt where suppliers must tell customers who have been on the same energy tariff for three years or more of other energy offers and savings that may be available to them.

Suppliers are also now required to give customers 30 days’ notice prior to the end of a fixed-term contract.

Urging consumers to negotiate better deals, the Commissioner with responsibility for the Retail Markets, Aoife MacEvilly said: “We are pleased to see that some of our regulatory measures appear to be helping customers be more active, including the new 'Estimated Annual Bill' which helps compare offers and the '30-Day Notice' reminders when your current deal is about to expire."

"In total 24% of electricity customers and 29% of gas customers looked for a better energy plan in 2018 through either switching supplier or renegotiating with their current supplier. The CRU also asked customers to switch on to their rights, savings and safety through our #Switch On campaign and we hope to continue this in 2019.”