Bord Gáis turnover up 12 per cent

Bord Gáis turnover grew by 12 per cent to €1.51 billion last year, according to its  annual report for 2010.

Profit before tax was relatively unchanged at €120 million, the company said.

The company revealed it has unidentified consumer debts of €26.4 million for 2010.

Bord Gáis warned householders that significant hikes in gas bills are likely by the end of the year The company warned that Irish consumers are paying about 26 per cent less than the European Union average and that it would be seeking to increase charges this year.

Industry experts suggested the price hike would be substantial although it would not wipe out the large fall in costs since 2009.

Bord Gáis said prices came down 8 per cent in 2010 taking the total reductions over two years to 25 per cent.

"International wholesale energy prices remain a concern and this will put increasing pressure on prices throughout 2011, said chief executive John Mullins.

“Another key challenge facing the company this year is that Bord Gais is the only regulated provider in the gas sector, and as such, faces considerable constraints in terms of its ability to compete on a level playing field. This needs to be addressed urgently.”

An application on a price hike is to be made to the Commission for Energy Regulation ahead of a decision in October.

By the end of 2010, Bord Gáis had approximately one million customers, including 460,000 electricity customers.

PA