Costs on the up

Eastside

Is it me or are other people finding it ridiculous that electric Ireland can implement another increase in prices?! Where is this going to stop? I'm in business myself and I find my prices are going down in order to stay competitive regardless of the fact petrol, electricity etc is on the up, iv had to soak up some of the costs, I simply cannot pass on the increases to customers if I want to stay in business. Why exactly cant electric Ireland try this? Why can't our energy companies actually become competitive?? Its a disgrace that this is happening while those at the top of electric Ireland continue to enjoy fab salaries, and all electric Ireland employees get discounted electricity, not sure of the discount but it's a good one. When I say electric Ireland employees by the way I don't mean the people in the call centres I.e. Customer service dealing with general billing queries, price packages, services etc, those jobs are outsourced for minimum wage in recent years, so that must be a big saving right there, why not farm out a few more positions and save the normal working person the added burden of yet another increase, just a thought!!!

Electric Ireland: David

Hi Eastside,

I understand your frustration. We regret that we have to increase our prices at this time. We are very aware of the financial pressures that our customers face and we will continue to work closely with organisations such as MABS and the Society of St Vincent de Paul. We will also continue to offer the Household Budget Plan which enables customers who are in genuine financial difficulty to avail of discounts of up to 6% against standard electricity unit rates.

The price change announced last Friday is due to a combination of factors. The increase in regulatory approved network costs accounts for over two thirds (3.6%) of the overall increase, and the increase in the PSO levy accounts for a further sixth of the overall 5.9%. We have managed to keep the remainder, which is due to the impact of the weak Euro on our wholesale energy costs, to a minimum.

Eastside wrote:

I'm in business myself and I find my prices are going down in order to stay competitive regardless of the fact petrol, electricity etc is on the up, iv had to soak up some of the costs, I simply cannot pass on the increases to customers if I want to stay in business.

These are difficult challenges that you face, and we don't wish to compound these difficulties. We offer a number of business price plans, and tools and facilities for account management and energy efficiency (e.g. see our Office Energy Expert), to ensure you have your energy costs under control.

If you need specific help/advice regarding your account, please feel free to send us a PM.

Hope this helps.

Thanks,

David.

Eastside

Hi David,

Thanks for your reply an clarification. I still however can't understand why our energy companies aren't more competitive and why if these charges are being dumped on consumers the energy companies don't reduce their unit rates by something in order to ease the burden on people. As I said earlier, soak up some of the costs and make some internal cuts.

As for price plans and discounts I looked a while ago at these for my residential house and they wernt great if you dont go with direct debit, this isn't an option at the moment as I bought a house with electric heating, which means my winter bills are up to 700/800 euro which is crazy. Im planning on putting in a new heating system next year so then maybe direct debit would be an option.

I just think that utility companies and the government need to stop dumping all this on the normal person. I feel so sorry for anyone trying to survive on social welfare in this country or any older person trying to get by on the state pension when I look at the cost of everything.

EI: Una

Hi again Eastside,

Do you have a standard 24-hour meter or a Nightsaver? Also, here is a link on our website with tips on how to maximise energy efficiency.

Regards,
Una

Heroditas

Eastside wrote: »

Hi David,

Thanks for your reply an clarification. I still however can't understand why our energy companies aren't more competitive and why if these charges are being dumped on consumers the energy companies don't reduce their unit rates by something in order to ease the burden on people. As I said earlier, soak up some of the costs and make some internal cuts.

As for price plans and discounts I looked a while ago at these for my residential house and they wernt great if you dont go with direct debit, this isn't an option at the moment as I bought a house with electric heating, which means my winter bills are up to 700/800 euro which is crazy. Im planning on putting in a new heating system next year so then maybe direct debit would be an option.

I just think that utility companies and the government need to stop dumping all this on the normal person. I feel so sorry for anyone trying to survive on social welfare in this country or any older person trying to get by on the state pension when I look at the cost of everything.

Approximately 60% of the electricity price is based on the raw energy used to
generate it, i.e. gas-powered power plants etc
About 30% is based on the transmission and distribution of that electricity - e.g. the pylons and sub-stations
The remainder is the cost associated with the supply company, i.e. their systems, staff costs etc.
If energy prices such as coal, oil and gas go up by 10-15%, there's not a lot that can be done by the likes of Electric Ireland to minimise that cost.
They could get rid of all of their staff and it would still barely impact on the cost to give you electricity.