Flogas ups residential electricity prices by 7% from next month
For a residential electricity customer, the changes will mean an increase of around €10.51 a month, €126 annually.
It will take effect from 25 August.
Residential natural gas customers are unaffected by the change.
The company defended the increase, pointing to the hike being its first price increase in three years. Flogas had reduced its rates
by 15% last year
.
Sean O'Loughlin, managing director of Flogas Energy, said the increase was in part due to increase in netowrk charges which are set by the Commission for Regulation of Utilities to maintain netwworks.
Advertisement
'While we understand that any price change can be challenging for our customers, this announcement reflects a 21% increase in network charges introduced in October 2024, with further increases anticipated in October 2025,' he said.
'We will support affected customers through our customer service team as much as possible and have a range of options, including payment plans, budget plan and pre-payment meters. We would ask any Flogas customer who is facing financial pressure around their energy bills to contact us,' O'Loughlin added.
Flogas said it encourages all customers to ensure they are on a discounted contract, and where they have a Smart meter installed, to switch to a Flogas Smart Tariff.
Market analysts Bonkers said that while wholesale energy prices have reduced since the height of the energy crisis caused by the war in Ukraine in 2022, they still remain high. It noted that wholesale prices remain around 80 to 90% above the level they were at before the war broke out.
'On top of this, costs for the upkeep of the electricity grid in particular keep on rising,' Darragh Cassidy of Bonkers said on the increases.
'Around 30% of the price we pay for our electricity and gas goes to Eirgrid and ESB Networks, and Gas Networks Ireland for the upkeep of the electricity and gas networks respectively.
'Households don't see these charges on their bills as they're incorporated into the unit rate as well as the standing charge that we all pay. But these costs have been increasing over the past few years.'
Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article.
Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.
Learn More
Support The Journal
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Irish Examiner
a day ago
- Irish Examiner
Minister wants to see 9% Vat rate on energy maintained in budget
The lower 9% Vat rate on gas and electricity should be retained in the upcoming budget to avoid further hiking energy prices for consumers, energy minister Darragh O'Brien has said. The lower rate was originally introduced in 2022 as part of a major cost-of-living package from the Government, with Vat falling from 13.5% to 9%. Speaking yesterday, Mr O'Brien said the reduction in the Vat rate was a 'very important' measure on affordability, and he wanted to see it extended into 2026. However, he said any decision to retain the rate would be made as part of the budget process. The Tax Strategy Group has estimated the total cost of retaining the lower Vat rate is €193.3m — €58.2m for gas and €140.1m for electricity. In previous years, the cut has been extended six months at a time, with the most recent extension coming in April. Each six-month extension has provided estimated savings of €26.60 on electricity and €20.28 on gas for consumers for the duration of the period. Price increases The modest savings have been dwarfed, however, by price increases introduced by the major utility companies. A number of energy providers have again opted to increase their rates in recent months, with Flogas confirming a hike in variable electricity charges by 7% from next month. This is expected to increase bills for Flogas electricity customers by €126 annually. In April, SSE Airtricity hiked electricity bills by 10.5% and gas bills by 8.4%, the latest in a spate of increases since the Russian invasion of Ukraine. Mr O'Brien said the prices for energy have 'levelled off' after a spate of surges in recent years, but conceded that Ireland's energy costs remain too high. Households here pay nearly 30% more for electricity than the EU average, costing approximately €350 more annually. Gas prices are approximately 10% above the EU average. Irish householders are paying the third-most expensive prices for electricity in Europe, behind only Germany and Denmark. The Dáil has heard that there are more than 300,000 people in arrears on their electricity bills, while more than 175,000 are in arrears on their gas bills. The minister for energy said this increase was a matter for concern, and anyone in arrears should enter into an arrangement with their provider. Energy Affordability Taskforce Mr O'Brien met with the recently-established Energy Affordability Taskforce on Thursday, and said an interim report would be provided to the Cabinet ahead of the budget in October. However, he ruled out the prospect of energy credits making a return, saying there was a very significant cost associated with the measure. 'That was €3.5bn and that was in the teeth of the cost-of-living crisis, particularly post the outbreak of the war in Ukraine,' Mr O'Brien said. He said the costs for one-off payments were very significant, and reduced the amount of money the Government could funnel into medium- and long-term measures to make energy more affordable.
Irish Independent
2 days ago
- Irish Independent
Record numbers in arrears on energy bills as families ‘forced to prioritise buying groceries'
Figures obtained by Sinn Féin MEP Lynn Boylan show 301,000 households were in arrears on their electricity bills in May. Ms Boylan said this was a record. Another 175,000 domestic gas customers are behind on their bills. Small firms are also struggling to keep up to date with their bills. A total of 27,400 small firms were in arrears on their electricity bills in May, according to the figures provided to Ms Boylan by Energy Minister Darragh O'Brien. Ms Boylan said food-price inflation meant families were being forced to prioritise buying groceries over paying their energy bills on time. The number in arrears on electricity bills was up 64,000 on the total for April, according to calculations based on figures from the Commission for the Regulation of Utilities (CRU). 'This is the highest number of households in arrears ever, at 301,379. The previous high was April 2025, at 300,653,' Ms Boylan said. The Government will pretend like this is all outside their control, but it's not Last week, Flogas announced a 7pc hike in its electricity prices from next month, with more suppliers expected to follow. SSE Airtricity has already announced price rises. The CRU said network charges for households would be going up, but it has also emerged they are going down for data centres. 'While families struggle, energy suppliers like Flogas continue to jack up energy prices while also raking in eye-watering profits,' Ms Boylan said. Flogas does not report profits directly, but its parent company, DCC plc, recorded profits of €714m in the year to March. ADVERTISEMENT 'The Government will pretend like this is all outside their control, but it's not,' Ms Boylan said, adding that the CRU was preparing to increase household network charges and cut them for data centres. It remains far too high for households She said t he Government could easily intervene to prevent that, as happened in 2009 with the Large Energy User Rebalancing Subvention. 'The same goes with the PSO [Public Service Obligation] Levy. It might be coming down slightly, but it remains far too high for households,' she said. Ms Boylan also said households were shouldering a disproportionate amount compared with data centres. Last week, Flogas said its electricity prices would go up by 7pc from August 25. Standing charges and unit rates will both rise. For a typical residential electricity customer, this will mean an increase of around €126 per year, or €10.51 a month. There is no change to its domestic gas prices. Flogas blamed its price hike on the decision by the CRU to increase network charges. The CRU increased network charges by €100 on the average annual bill this year, with much of the money raised from this to be used for investment in infrastructure. Daragh Cassidy, of price-comparison site said more suppliers will probably increase their prices. He said wholesale energy prices had decreased since the height of the energy crisis in 2022, but costs for the upkeep of the electricity grid kept rising.
The Irish Sun
2 days ago
- The Irish Sun
From €285 cash boost to social welfare change – Full list of August money changes
THERE are set to be a number of major money changes coming in this month as thousands of Irish households are to see huge benefits. Households across the country should be aware of a number of 2 There are set to be a number of major money changes coming in this month Credit: Alamy In August, there are changes being made to the social welfare payment schedule as the August bank holiday weekend hits. AUGUST BANK HOLIDAY Due to And any The Department of Social Protection said in a customer notice: "Monday 4 August is a Bank Holiday and as a result, any social welfare payments due to be in your account on Monday 4 August will now be paid on Friday 1 August instead. READ IN MORE MONEY "Payments will be paid as normal on Tuesday 5 August. "All Intreo Centres and Branch Offices will be closed on Bank Holiday Monday 4 August. "Intreo Centres and Branch Offices will reopen on Tuesday 5 August." BACK TO SCHOOL CLOTHING & FOOTWEAR ALLOWANCE The Most read in Money There is no need to apply for this payment as the majority of those in receipt of it will get it automatically paid. If you are not in receipt of an , you can submit an application for the scheme online at . New online application system opens for €360 or €180 Domiciliary Care Allowance applications Families will receive €160 for children aged between four and 11 and €285 for those aged between 12 and 22. Those aged between 18 and 22 must be returning to full-time second-level education in a recognised Payments for the scheme started on Monday, July 14, and continue to be open during August and September. ENERGY BILLS Irish households across the country are set to be hit with another Flogas has announced an increase of approximately 7 per cent in its variable charges - the company's first price increase in three years. The company said its residential natural gas customers are unaffected by the price hike. Customers will pay an extra €10.51 a month for electricity, a total of €126 a year. Flogas currently has 43,500 residential electricity customers at variable rates. The company said its residential electricity customers on fixed rates are also unaffected by the change. The rates come into effect from August 25, 2025. 2 There are changes being made to the social welfare payment schedule as the August bank holiday weekend hits Credit: Getty
