ESB introduces arrears plan

All ESB Electric Ireland customers who are in arrears on their accounts are to be offered the opportunity to save up to 6 per cent on their bills under a new price plan.

The decision could benefit some 150,000 people, Minister for Enterprise Richard Bruton said.

The recently deregulated and rebranded company came in for criticism last week when it excluded customers whose accounts were in arrears from its new price plans.

Customers who had their accounts in good order were offered savings of up to 14 per cent on electricity and up to 17 per cent if they bought gas from the company.

Social welfare recipients in arrears who entered payment plans could also take advantage of discounted rates, but others in arrears could not.

The announcement prompted Minister for Communications, Energy and Natural Resources Pat Rabbitte to request that ESB Electric Ireland examine how customers on social welfare that were making an effort to clear their arrears might be facilitated.

This afternoon ESB Electric Ireland announced that electricity, gas and dual customers can now qualify for the Household Budget Price Plan, which offers a minimum of 4 per cent discount.

General manager Liam Molloy said the company had “responded to the Minister’s concerns and the views of our customers”.

Labour Party TD for Dublin South East Kevin Humphreys welcomed the move but said ESB Electric Ireland could have done more.

“I do have a concern that that the 6 per cent discount on offer is far below the 14 per cent on offer to other customers, a difference of 8 per cent,” he said.

“While I understand that the prospect of a greater discount will act as an incentive to customers to get out of arrears, the fact that they are being penalised to the tune of 8 per cent will actually make it more difficult to achieve this.”

The National Consumer Agency, which met with ESB Electric Ireland amid concern over vulnerable consumers being excluded by the company, said it was delighted by the development.

“Today’s move offers those consumers an incentive to take control of their debts, with the added prospect of accessing even better electricity prices once their debts are completely cleared,” the chief executive Ann Fitzgerald said.

Mr Bruton said he was happy ESB Electric Ireland had responded to calls made by him and others to reconsider their decision, which, he said, denied those most in need of access to cheaper electricity.