Power NI and SSE Airtricity announce changes to energy tariffs in Northern Ireland

Energy bills are set to increase for some consumers in Northern Ireland from 1 July, despite companies announcing cuts to tariffs.

On Friday, Power NI said it would reduce tariffs by of 7.1% while SSE Airtricity says it will reduce its gas prices by 12.2%.

The reductions will, however, be offset by the end of the UK Government's Energy Price Guarantee (EPG).

The EPG was introduced in Northern Ireland in November 2022, with the level of support partially reduced in April 2023.

From 1 July 2023, the support will drop from roughly £454 per year for the average household to £0.

Friday's announcement means Power NI customers will see an extra £49 added to a typical yearly household bill, while SSE Airtricity gas customers will pay roughly £134 more per year.

Power NI announced a 7.1% cut to its energy prices for domestic customers, which reflects a third successive tariff reduction this year.

However, the company says the cut is "unfortunately offset by HMG's decision to reduce / remove the Energy Price Guarantee support scheme, meaning there will be an overall increase of 5.1%".

This means the average bill for a Power NI customer paying for direct debit will rise from £965.76 to £1015.04.

Meanwhile those on pre-payment metres will see their average bill increase from £941.44 to £989.76.

William Steele, Director, Power NI Customer Solutions, said: “As prices have continued to fall, Power NI has welcomed another chance to further reduce its underlying unit prices for customers, with our third tariff reduction of the year.

"Despite this good news, the decision by the UK Government to remove its Energy Price Guarantee support means that unfortunately customers will see an overall increase of 5.1% in prices." Mr Steele continued: “We continue to work closely with our charity partners and other key stakeholders to ensure the most vulnerable in our local communities get the help they need. If anyone is worried about paying bills, please contact us directly, we are here to help. "Power NI is continuing to work with customers and charity partners across Northern Ireland that are impacted by increasing costs."

The news of an increase from Power NI comes as Northern Ireland's largest supplier of natural gas, SSE Airtricity, announced it will reduce its regulated natural gas prices by 12.2%.

The 12.2% reduction will come into effect from 1 July 2023 and will apply to all domestic and small business customers supplied by the utility.

The end of the UK Government Energy Support Scheme, means SSE Airtricity gas customers who pay by direct debit will see their average annual bill rise from £1266 to £1400.

Likewise, those using pre-payment metres will see prices rise from £1244 to £1380.

Andrew Greer, SSE Airtricity General Manager (NI) said: “I’m pleased to be sharing this good news with our customers today and to be delivering on our promise to reduce our prices as soon as it was possible to do so.

"We know energy costs are a primary concern for customers across Northern Ireland and the last 18 months have been a difficult period for everyone who is trying to manage the impact of the cost of living crisis. “We are hopeful the improvements in wholesale prices will continue and that market conditions stabilise to levels that are more sustainable for suppliers and consumers. SSE Airtricity is fully committed to continuing to reduce prices as and when it is possible to do so and will continue to work with our customers to provide the support and service, they need.” For free and independent advice on how to save energy can contact NI Energy Advice Line on 0800 111 4455 or the Consumer Council on 0800 121 6022.

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