Energy company Airtricity is to increase its gas and electricity prices over the next couple of months, blaming a significant increase in the cost of wholesale energy.
Airtricity said electricity prices would rise by 12.3% from 1 September, while gas prices go up by 21.2% from 1 October.
Standing charges for electricity will also rise by 12.3%, but gas standing charges will be unchanged. Standing charges are fees paid to other companies for use of their network.
Last month, the energy regulator gave Bord Gáis permission for a 22% increase in gas prices from 1 October. Bord Gáis has also raised its electricity prices by 12%.
Airtricity said that, as a result of the rises, a typical electricity customer would pay an extra €2.53 a week, while those using both gas and electricity would pay an extra €5.45 a week.
Chief Executive Kevin Greenhorn said the company had done its best to absorb the increased costs of energy, but could no longer do so.
‘Airtricity has sought to lead the way in price reductions and bring competition to the Irish electricity and gas market,’ Mr Greenhorn said in a statement.
‘It gives us no pleasure to announce our first price increase since joining the mass domestic market in 2008,’ he added.
A spokesperson for ESB Electric Ireland said the company is reviewing prices at present and it doesn't envisage any announcement on price increases in the coming weeks, but it didn't rule out an increase in prices after 1 October.
The spokesperson added there are clear upward pressures in the current environment and ESB Electric Ireland was doing everything to mitigate any change and defer any increase as long as appropriate.
The Saint Vincent de Paul has called on the Government to publish its Energy Affordability Strategy.
A spokesperson for St Vincent de Paul also said the Energy Regulator needs to make sure there are enough pre-payment meters so people can budget for their energy costs, while energy companies need to ensure there are budgetting schemes available for their customers.
