A price hike in domestic electricity prices to help drive down energy costs in the industrial sector has not been ruled out by the ESB.
Speaking at the MacGill Summer School in Glenties, Co Donegal, ESB Chief Executive Padraig McManus guaranteed that such pricing moves would not happen this year, and would have to be looked at over an extended period of time.
Fine Gael Energy Spokesperson Simon Coveney told the MacGill Summer School that energy generators get carbon credits for free from the Government, but charge the full price for those credits when billing customers.
He said that between 2008 and 2012 the Government is giving 'carbon credit allowances' for free to all power generators, but they charge customers the full value of carbon emitted during generation.
Mr Coveney called for carbon charges to be removed from electricity bills until 2012, when all generators will have to pay for carbon allowances under the EU carbon trading mechanisms.
He said the average electricity bill for families and businesses in 2008 had a 10% increase directly attributed to carbon charges, even though there is no added cost for electricity generators attached to carbon credits.
Households paid in excess of €220m extra last year for carbon charges on their electricity bills.
Mr Coveney said this is carbon tax by stealth.
He added that the cost of doing business in Ireland is too high and costs jobs every day and he called for stake holders in the sector to prioritise cuts in Irish energy costs.
