Iberdrola Ireland will hike gas and electricity prices next month

Gas and electricity supplier Iberdrola Ireland was the latest to announce double-digit price increases.

From May 5, it will increase the price of gas by 11 percent and the price of electricity by 24 percent for average customers.

The change will increase the household’s average monthly gas bill by €12 and the household’s average monthly electricity bill by €33, the company said.

Customers with discounted plans will continue to receive their current discount tier, including discounts for paying by direct debit and receiving the paperless invoice, if applicable.

Iberdrola Ireland chief Sean O’Loughlin said the price increases were in response to “unprecedented conditions” in the global energy market.

The new tariffs will come into effect on May 5, 2022.

Gas and oil prices in wholesale markets have skyrocketed over the past year, and this accelerated after the Russian invasion of Ukraine, which raised doubts about the security of Europe’s energy supply.

Speaking in Brussels last night, Finance Minister Paschal Donohoe said Ireland would support “stronger measures” against Russian gas exports as EU countries quarrel over an energy embargo. However, he insisted it was “a national point of view” and that EU unity was of paramount importance.

“The Irish government has made it clear that we support stricter measures regarding exports of gas and other forms of energy from Russia,” Mr Donohoe told reporters after a meeting of the euro-zone’s 19 finance ministers in Luxembourg on Monday.

“We appreciate that there are many different views on this issue across the European Union and we have seen so far that maintaining a unified and coherent stance on sanctions enforcement is a real source of strength.

“And the Taoiseach and other members of the government expressed our support for considering how measures could be strengthened in the future.”

Mr Donohoe said economic growth in the eurozone will “slow down” in 2022 due to the war in Ukraine and several rounds of sanctions against Russia.

EU ministers will intensify sanctions talks on Tuesday after reports of massacres of civilians by Russian troops in the town of Bucha, near the Ukrainian capital Kyiv, emerged over the weekend. The EU and Ukraine are investigating whether the incidents constitute war crimes.

Mr Donohoe said the images were “terrible” and the EU was “appalled”. “We are ready to step up sanctions and support for the people of Ukraine,” he said.

On Tuesday, the 27 EU ministers are to discuss further sanctions.

EU economic chief Paolo Gentiloni said the EU must “strengthen our unity and step up our response”. He said EU growth will remain positive in 2022, although the bloc will “cut” its next economic forecast, due to be released on May 16.