Share Energy announces 12.6% electricity price hike ahead of winter

Sustained rises in wholesale energy costs due to ongoing conflict in the Middle East have contributed to a decision by Share Energy to increase its 24 hour electricity tariff by 12.61 per cent in October.

Under the tariff increase, which will become effective on October 1, a typical Share Energy credit customer or prepayment customer will see their annual electricity costs rise by around £129 per year.

Damian Wilson, CEO of Share Energy said: “We know our customers will be disappointed by this announcement, and we fully empathise with them. However, even with these unfortunate increases, Share Energy still offers some of the most competitive rates available in NI.”

Mr. Wilson said the company remains committed to sharing half its profits with its customers.

However, he pointed to the tumultuous geopolitical back drop of the past number of years and the impact of conflict in Ukraine and the Middle East on energy prices.

“Over the last two years, the energy market has faced one external shock after another. Throughout that period, we've worked hard to shield our customers from the full impact, absorbing costs where we could and delaying increases for as long as it was responsible to do so.

“Unfortunately, we have now reached the point where the combined impact of wholesale energy costs and regulated network and system costs is simply too significant for us to continue absorbing.

“This isn't a decision we've taken lightly,” he acknowledged.

The Share Energy CEO called on the Government to urgently address the local electricity sector’s over-reliance on gas, describing that as the sector’s ‘Achilles’ heel’.

“We came into this market to offer Northern Ireland customers a genuine alternative and better overall value. That mission hasn't changed. And when the costs of supplying electricity fall, we will, of course, look to reflect that in the prices our customers pay,” he said.

Share Energy is contacting affected customers directly with details of the new prices and the support available to customers who may have difficulty paying their energy bills.

Raymond Gormley, Head of Energy Policy at the Consumer Council, said: “This is very unwelcome news for around 41,000 Share Energy consumers.

“This increase has been driven by the continued volatility in wholesale energy costs, caused by geopolitics in the Middle East. I suspect some of the other unregulated suppliers may follow suit and increase their tariffs,” he said.

Raymond urged anyone who is struggling to pay their electricity bills or top-up their prepayment meter to get in touch with their supplier for help and advice.

“We would encourage consumers to think about the way they pay for their energy and see if they can reduce their energy costs. Being on a standard tariff and paying on receipt of a bill is the most expensive way to pay for your electricity. Switching payment option, changing billing method, or even switching supplier may save you money,” he added.

The Consumer Council’s website has a free independent energy price comparison tool which empowers consumers to compare all electricity and gas tariffs across Northern Ireland in one place: Energy Price Comparison Tool | Consumer Council

For consumers who do not have internet access or would like additional support in checking energy tariffs, call the Consumer Council team on 0800 121 6022 or email [email protected].