Electric Ireland gives customers €50 credit and foregoes winnings

The state-owned Electric Ireland is to forego profits from the electricity business for private households in the coming year and give customers a loan payment.

This is rare good news for struggling households, who have been hit by a string of double-digit price increases this year.

According to Electric Ireland, each existing electricity customer will be given a €50 credit and the Electric Ireland Hardship Fund will be increased by €2m to €5m.

It comes after a similar recent announcement by competitor SSE Airtricity and continued criticism of the profits of Electric Ireland’s parent company ESB.

The ESB saw its gains soar in the six months to the end of June as energy prices soared.

Profits, including a one-time gain from what is known as “extraordinary volatility” in global commodity markets, rose to €390.3 million from €128.4 million in the prior year.

Much of the profit came from generating deals.

In June, ESB said its generation and utility companies must operate separately.

It had said higher profits from ESB’s generation business could not be used to offset Electric Ireland’s costs.

Now it is forgoing profits from its residential electricity business.

Around 1.1 million customers will benefit from a €50 credit given to every existing Electric Ireland electricity customer and Electric Ireland’s Hardship Fund will be increased to €5 million.

Electric Ireland Executive Director Pat Fenlon said: “2022 has been a very challenging year for energy customers, primarily due to the increase in international gas prices.

“We recognize the pressure customers are facing this winter and in light of these exceptional circumstances, Electric Ireland is forgoing profits from its residential electricity business. Electric Ireland residential customers can expect a €50 credit each new year.”

He said the increase in the company’s hardship fund will help ensure the fund is accessible to those most in need of support during the winter months.”

Mr Fenlon said: “We are committed to helping any of our customers who are experiencing financial difficulties.

“As always, we encourage any Electric Ireland customer who is having difficulty paying their electricity bill to contact us and we will work with them to put in place a manageable payment plan.”

Last month, SSE Airtricity announced that it will forego all profits this fiscal year as it supports its domestic customers during the cost of living crisis.

SSE Airtricity provides energy to more than 700,000 homes and businesses across the island of Ireland.

In the past few weeks, electricity customers have received the first of three 200-euro credits on their bills.

And all electricity customers are entitled to a refund of their bills as a result of the regulator’s decision to reduce the public service obligation (PSO).

The PSO is paid by all electricity customers in Ireland and is designed to support the renewable energy sector.

Due to high wholesale prices, renewable generators do not need a subsidy this year.

Households will receive a payment of €89 next year.

And VAT on energy bills has been reduced from 13.5 to 9 percent.

Electricity bills have more than doubled over the past two years to around €2,000 per household over a year due to a series of price increase announcements.

https://www.independent.ie/business/personal-finance/latest-news/electric-ireland-to-give-customers-a-50-credit-and-forgo-profits-42229583.html Electric Ireland gives customers €50 credit and foregoes winnings

Fry Electronics Team

Fry Electronics.com is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – admin@fry-electronics.com. The content will be deleted within 24 hours.

Related Articles

Back to top button