Power NI cuts tariff but bills to rise 14% as support scheme is reduced
Northern Ireland’s largest electricity supplier has announced it is to reduce its tariff price.
However, consumers will see their bills rise because the UK Government’s Energy Price Guarantee (EPG) support scheme is also being reduced.
The Consumer Council said the changes, which will impact more than 474,000 households, will see an annual credit bill increase by around £119 a year, while those with prepayment meters will see a rise of £116.
However, the company said a reduction in the EPG scheme of 10.33p per unit would see tariffs increasing by 14%.
William Steele, from Power NI, said: “A decrease in wholesale energy prices has enabled Power NI to again reduce its underlying unit price.
“However, the recent change by the UK Government to its Energy Price Guarantee means that a lower level of scheme discount will be applied to all electricity bills.
“Unfortunately, this means customers will see a 14% increase in prices.
“We understand that some customers may be worried about paying bills.
“We would ask for any concerned customers to contact us directly and we will help you.”
Peter McClenaghan, director of infrastructure and sustainability at the Consumer Council, said: “It is welcome news that wholesale energy prices are coming down, allowing Power NI to announce a second price reduction for its customers so far in 2023.
“However, as this is happening at the same time as changes to the level of the Energy Price Guarantee, consumers’ bills will increase.
“This strange situation is happening because the additional back-dated EPG support consumers here were receiving is ending.
“The additional support had been provided because the EPG was introduced later in Northern Ireland.
“We know from our pulse survey that most consumers in Northern Ireland are still really worried about home energy prices.
“We urge anyone who is struggling to pay their energy bills or top-up their meters to contact their supplier directly for help and support.”