The news follows recent moves from Energia and Flogas and will put pressure on many households this winter.
Two more energy suppliers have announced electricity price increases, adding further pressure to households already struggling with the cost of living.
From 12th October, Bord Gáis Energy will raise its electricity unit rates by 13.5% and its standing charges by 12% for its 370,000 customers. The company says its micro-gen payment — the rate paid to customers with solar panels for exporting electricity back to the grid — will remain unchanged.
For the average customer the hike will add around €218 a year to their electricity bills, which isn't an insignificant amount of money.
Pinergy is also set to raise its standard electricity unit rate by just under 13%.
Both suppliers have pointed to higher network charges as the main reason behind the hikes.
The timing could hardly be worse. New figures from the energy regulator show that more than 183,000 households — or 26% of residential gas customers — are now behind on their bills, the highest number ever recorded.
Energy prices surged in recent years as the fallout from Covid was then followed by the war in Ukraine. While wholesale costs have since eased, bills remain far higher than before the crisis, and the recent increase in network charges has added yet more strain.
But in slightly better news, Bord Gáis is keeping its gas prices unchanged for now.
Due to continued increases in network charges, the higher cost of doing business and the impact of wholesale energy market pricing, we’re regrettably announcing a price increase for electricity customers. However, I can confirm that there is no change to gas prices for our 270,000 gas customers and that our gas standing charge remains the lowest in the market. Bord Gáis Energy will continue to compete strongly in the Irish energy market and pass on savings whenever possible. We offer a wide range of discounts and bundles to help customers manage their bills. We’re also investing significantly in the transition to renewable energy in Ireland, which we believe will ultimately lead to greater stability in energy prices for our customers in the future.
Catherine Lonergan, Director of Customer and Commercial at Bord Gáis Energy
What households and Government can do
The most effective step for households is to shop around and switch to a better tariff.
With no energy credits expected in next month’s Budget, it’s more important than ever to make sure you’re on the best plan possible.
Even now, switching can still save you hundreds of euro a year on your energy bills.
If you're on a smart tariff, you should also see if you can move some of your electricity use to cheaper times of the day, while anyone struggling to pay their bills should contact their supplier early to see what support is available. Bord Gáis is keen to point out the help, support and flexible payment options it can offer its customers.
Organisations such as MABS and Saint Vincent de Paul also continue to provide invaluable help and advice.
There is also a role for the Government. Network charges are climbing because of the huge investment needed in the electricity grid over the coming years. While some of this must inevitably be paid for by consumers, more direct financial support and subvention from the State is also essential. Ministers should also commit to keeping the reduced VAT rate of 9% on energy bills in next month’s Budget. Adding further costs through tax at a time when prices are already rising would be the wrong move.
The bottom line is that electricity is getting more expensive again. Households can take steps to cushion the blow, but Government action is also needed to keep bills under control.
Switch and save on your energy bills
Electricity is getting more expensive yet again. And gas prices remain high. Yet households can take steps to cushion the blow.
If you’re looking to combat rising energy bills, then switch supplier!
Even though prices are rising, switching can still save you big money as you'll benefit from a new customer discount.
Head over to our energy comparison page to review the options available to you. Whether you’re looking to compare electricity, gas, or dual fuel deals, bonkers.ie can help you switch and save.
