The annual PSO Levy is now €80.30, but there are two obvious ways to offset the cost.
Your next electricity bill is going to look a little bit different.
And unfortunately, it’s likely to be higher than the last one for most people.
For starters, temperatures are falling and evenings are getting darker, meaning you’ve probably been using a bit more electricity at home over the last few weeks. So, that’ll bring your bill up.
On top of this, the PSO Levy is going to be higher than it was on your last bill.
But don’t worry, there are some things you can do to offset the looming bigger bill and even save over €200 in the process.
PSO Levy increase
The PSO Levy supports renewable energy generation in Ireland and is paid by all electricity customers in Ireland.
And on Saturday, the annual cost of the levy increased by €12.10 to €80.30, including VAT (yes, this is one of those taxable taxes). So, your bills will cost an extra €1.01 every month, even before you use a unit of electricity.
Now, nobody likes price increases, but the good news is that there are two ways to offset the increase.
1 – Reduce your consumption
One way to lower your electricity bill by €12.10 a year is to lower your consumption by a few units every month.
If you’re on standard rates (85% of you are!), one unit of electricity costs 17.17 cent. So you’ll need to lower your monthly consumption by about 6.5 units every month to offset the PSO Levy increase.
So, here’s what one unit of electricity looks like:
- Electric shower: 7-10 minutes
- Kettle: 5 uses
- Tumble dryer: 20-40 minutes
- Washing machine: 70-100 minutes
- Dishwasher: 70-100 minutes
- TV 28”: 4-6 hours
So, if you take three fewer showers, let your clothes dry naturally instead of using a tumble dryer twice and spend an evening reading a book instead of watching TV every month, you should be able to cancel out the PSO Levy increase.
2 – Switch suppliers and lower your bills by up to €206
Although it’s smart to always keep an eye on your consumption and to try to keep those long showers and unnecessary kettle-boilings to a minimum, it can be tough to manage, especially if you live in a busy household.
But that’s ok, because there’s another way to offset the PSO Levy increase, and save a lot more that just €12.10 by doing so.
I’m talking about switching suppliers of course.
You see, there’s a bit of an energy price war underway at the moment and on the day before the PSO Levy was increased, Energia and SSE Airtricity announced new big discounts – the biggest we’ve ever seen here at bonkers.ie, in fact.
If you haven’t switched suppliers in the last year, you’re almost certainly on standard rates now, meaning you could save up to €206 by changing electricity suppliers today.
It is, quite simply, the easiest and most cost-effective way to offset the PSO Levy increase.
How much hassle is it to switch?
If you haven’t switched suppliers because you think it’s a lot of hassle to do so, let me put your mind at ease.
The process can be completed entirely online and you don’t even have to speak to your existing supplier or even your new one. We take care of the awkward conversations for you!
You simply carry out a comparison on our Compare Electricity page, enter your MPRN, a recent meter reading and some personal details and we’ll take care of the switch for you.
The PSO Levy increase isn’t going to be welcomed as good news by many people, but by looking at the bigger picture, you’ll see that prices are falling and discount offers are at an all-time high for those who choose switch.