Green levy to cause Irish prices to rise

• 13 years ago (2010-06-15)
• David Flin

North America 998

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Experts have said that a proposal to pay for green energy incentives and supports for peat-fired power plants could add €40 a year to Irish consumers’ electricity bills and significantly increase industries’ costs. Every year, the Irish Commission for Energy Regulation imposes a public service obligation charge on all its electricity users to pay for incentives for renewable energy.

The charge was dropped in October 2009 for 12 months, but the regulator estimates that the incentives now cost €195 million a year, and proposes adding a new charge to cover this. This would increase domestic bills by an average of €40 a year.

The energy consultants McKinnon Clarke said that those that will be hit the hardest will be large industrial users, who could face rises of €30,000 a year. One of the company’s consultants, Sandra Quinn, said that such customers will also lose credits paid to large energy users.

A spokesman for the regulator said that the increase was currently just a proposal, and that no final decision had yet been made.