THE AVERAGE household may enjoy savings of €53 per annum if a proposal by Bord Gáis Energy to lower prices by an average of 8 per cent from February is implemented.
The proposed price drop, which has been submitted to the Commission for Energy Regulation (CER), will apply to residential and small and medium enterprises and will take effect from February 2010.
Managing director of Bord Gáis Energy David Bunworth said the reduction was possible due to low gas costs on international energy markets. “Stable wholesale prices mean that Bord Gáis is able to pass on savings to customers in the form of an interim price reduction,” he said.
“It is understood that the price cut is possible due to a drop in wholesale costs and the euro’s continued strong performance against the Sterling.
“Customers are getting considerable value just at a time when they need it most,” Mr Bunworth added.
Minister for Communications, Energy and Natural Resources, Eamon Ryan welcomed the proposed price cut.
“This is good news for the Irish consumer and the competitiveness of the Irish economy,” Mr Ryan said.
If this cut is implemented, customers will see a cumulative price reduction of more than 25 per cent following price cuts in May and October 2009. The cuts follow price increases in gas bills of 20 per cent last September.
The proposed reductions are subject to the approval of the CER and a final decision is expected from the commission in January for implementation from February 1st, 2010.