Derry Daily
  • News
  • Entertainment
  • Sport
  • Features
  • Courts
  • Business
  • Health
  • Politics
  • Jobs
Saturday 17°CSunday 18°C

Derry Daily Derry Daily Derry Daily

  • News
  • Entertainment
  • Sport
  • Features
  • Courts
  • Business
  • Health
  • Politics
  • Jobs
Derry CityEnvironmentNews

Households in North facing further gas price hike

written by cassoscoop August 17, 2022
ShareTweet

THE North’s energy regulator has warned that households will face further gas prices rises in the coming weeks.

The region’s two suppliers, SSE and Firmus, last increased their prices at the start of July.

The price of gas on global markets has surged in the last two months.

Russia has reduced its supplies of gas to Europe, increasing competition for gas produced in other countries.

Next week the UK is expected to take delivery of a shipment of gas from Australia.

It comes as on Tuesday inflation hit double digits at 10.1 per cent.

The regulator, John French, warned that households will face further gas price rises of up to 30% in the coming weeks.

“Just as a rule of thumb, we have seen prices more than double, 60% of the final bill is wholesale prices,” he told BBC Radio Ulster’s Good Morning Ulster.

“We are looking unfortunately at the moment, if we do the calculations today, you are looking at increases in gas at around 30% from 1 October.”

Mr French said it is an “awful picture where energy prices have gone” and wholesale prices had “got worse over the last six weeks”.

“We are doing everything we can to help consumers in terms of trying to make the market more efficient,” he added.

“We are working with the Chancellor to try and get the support out sooner, but the underlying problem is the wholesale market has just risen to levels that have never been experienced historically – if you go back 20, 30 years, you have never seen the price rises we have seen in the last 12 months.”

The North of Ireland’s energy market is regulated separately from the rest of the UK.

Suppliers can announce price increases as and when they need to, as long as it is approved by the regulator, who scrutinises their costs.

In Great Britain the energy price cap is announced twice a year meaning cost increases are passed on in two huge chunks.

However, GB is now moving closer to the NI model with a plan for the cap to be reviewed every three months.

The Treasury is setting up a joint taskforce to explore how households in Northern Ireland can receive a £400 discount on energy bills this autumn.

Chancellor Nadhim Zahawi met Stormont ministers on Monday to discuss the issue.

Households in Great Britain will start receiving the money from October.

Stormont politicians have called for the same timetable in Northern Ireland, but there are complications due to the lack of a fully functioning executive.

The North of Ireland is also in a different energy market to the rest of the UK.

Following a virtual meeting on Monday, the Treasury said the new taskforce would be made up of officials from the UK government and Stormont ministers.

Mr French said a “workable” plan had been put forward to the Chancellor and Northern Ireland government departments in relation to the discount on energy bills.

He said he had spoken with energy companies last week and “they believed they could get it out in a reasonable time, weeks rather than months”.

“It is now down to both the UK government and Northern Ireland government to decide the governance around that mechanism,” he said.

“If we keep this simple, we can get the money out quickly.

“It is a very different market here in Northern Ireland, we have got six suppliers compared to the 300 in GB, so some of the governance mechanisms they are trying to do, in my opinion, are gold plated, we need to get this money out quickly, we need to get this money out simply.

“There is a simple mechanism to do that and we are just hoping the Treasury will back that.”

Mr French is hopeful that people will receive their payment before Christmas.

“You have to look at all the different companies’ IT systems, but all being well it could be this side of Christmas that the monies go out and hopefully a lot sooner than that,” he said.

Households in North facing further gas price hike was last modified: August 17th, 2022 by cassoscoop

Tags:
Derry Cityenergy regulatorfirmusgas price hikeHouseholds in North facing further gas price hikeinflationJohn FrenchNORTH OF IRELANDsse
ShareTweet
cassoscoop

LEAVE A COMMENT

You may also like

Drink-driver charged to court over Derry collision

3 hours ago

Funeral of mother and daughter killed in...

7 hours ago

Man arrested over Class C drugs seizure...

7 hours ago

Boyce hat-trick sends Derry City into seventh...

11 hours ago

Dance company loses appeal over 100% annual...

13 hours ago

Unmissable music events coming to the Abbey...

1 day ago

Derry priest faces seven more child sex...

1 day ago

New leaflet to help older people beat...

1 day ago

Man charged with possessing indecent images of...

1 day ago

Loving mother and daughter killed in Donegal...

1 day ago

Keep in touch

Facebook Twitter Email

Features

  • Sun, sea, spectacular views, historical charm and fabulous food. Tunisia of course

    April 5, 2024
  • Magical trip to see Santa from Belfast

    December 20, 2023
  • DD Travel Feature: Cork’s amazing The Montenotte Hotel

    April 18, 2023
  • Derry cancer survivor Noeleen McMorris reveals importance of awareness

    July 25, 2022
  • Competition! Win tickets to Northern Ireland v England Women’s Euro 2022 match

    June 17, 2022

Courts

  • Drink-driver charged to court over Derry collision

    July 5, 2025
  • Derry priest faces seven more child sex charges

    July 4, 2025
  • Man charged with possessing indecent images of children

    July 4, 2025
  • Two men in court after £1.2m cannabis find near border

    July 3, 2025
  • Two charged over huge cannabis haul seized in North West

    July 3, 2025

Donegal Daily

    Read More

    • News
    • Sport
    • Courts
    • Jobs
    • Features
    • Business
    • Politics

    Information

    • Contact Us
    • About
    • Advertise WIth Us
    • Privacy Policy
    • Disclaimer
    • Terms & Conditions
    Derry Daily

    © 2025 Derry Daily. All rights reserved.


    Back To Top

    We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.OkPrivacy policy