Ireland's 600,000 gas customers will soon see an 8% price cut which should save the average household over €50 per year. Bord Gáis announced the price cut today following approval from the energy regulator. The lower unit prices will take effect from February 1st.
Today's announcement marks the third price cut from Bord Gáis in less than a year bringing gas unit rates down by 25% since May 2009.
With these lower unit prices, the average annual Bord Gáis bill will be €684 down from €737. The standing charge for Standard Tariff customers remains unchanged at €68.
Although Bord Gáis's price cut comes too late to help customers during the current cold snap, they have been broadly welcomed. However the Consumer Association of Ireland did point out that prices in Northern Ireland are still as much as 39% cheaper than in the Republic. Defending Irish gas prices, Bord Gáis stated that NI customers pay only 5% VAT on home energy whereas their counterparts in the Republic pay 13.5%.