Householders are set to escape increases in electricity and gas bills in the New Year, it was revealed today.
Bord Gáis and the ESB both indicated the 5 per cent price hikes that they applied for last month are no longer needed.
The proposed increases are expected to be scrapped by the industry regulator due to falling global fuel costs.
The Commission for Energy Regulation (CER) said it will announce its decision on any price changes to utility bills on December 1st.
“We are monitoring the movement of international oil and gas prices all the time, and this will be taken into account when we make our decision,” said a spokesman.
ESB secured a 17.5 per cent increase in August, while Bord Gáis was allowed to raise its tariffs by one-fifth in September.
“Since the price application made last month, gas prices have continued to fall,” said an ESB spokeswoman.
“In that context, there may not be the necessity for electricity price increases but the final decision rests with the regulator.”
Bord Gáis also said gas bills were unlikely to go up. “The decision is up to the regulator but the indications are that price increases won’t now be required due to falling international gas prices,” said a spokeswoman.
Earlier this month, a cross-party group of TDs voted in favour of a price freeze in an effort to help struggling businesses and householders.
Yesterday, energy experts warned Taoiseach Brian Cowen that Ireland was vulnerable to a global oil shock.
International Energy Agency (IEA) chief economist Fatih Birol told the Government that the era of cheap power was over and alternative technologies are needed when he presented the agency’s yearly report.
PA