Ruling reduces electricity bills by £10

Published Tuesday, 15 April 2014
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A ruling from the Competition Commission on electricity price controls means that customers in Northern Ireland will see annual bills reduced by £10.

Ruling reduces electricity bills by £10
NIE has welcomed the announcement. (© Getty)

The commission stood by its tough price control for Northern Ireland Electricity on the costs the supplier can charge for use of the local transmission and distribution network.

This typically accounts for 20% to 25% of domestic customers' bills.

It said the effect of the determination will be that domestic customers' annual bill will be reduced by £10 by the end of the new price control period in September 2017.

Professor Martin Cave from the Competition and Markets Authority, which published the determination on Tuesday morning, said: "We believe the new price control will give NIE better incentives to be more efficient whilst investing in the network, which will ultimately benefit customers and also provide a robust framework for future price controls and regulation."

NIE has welcomed the new price controls.

A spokesperson said: "A key aspect of the Commission's determination is the closer alignment of the regulatory framework and reporting arrangements with those applied by Ofgem.

"NIE fully supports this change which should facilitate future price control reviews. We now look forward to working closely with the Utility Regulator in implementing the Commission's decision."

Aodhan O'Donnell of the Consumer Council said: "Consumers will be pleased that this process is finally coming to an end and take some comfort that bills will be £10 lower by 2017.

"The cost of energy is the number one concern for domestic and business consumers who expect the lowest possible price for their electricity but also need assurance that the lights won't go out.

"Consumers should be reassured that NIE's spending plans have been scrutinised not only by the NI Regulator but also by the Competition Commission."

© UTV News
Comments Comments
Mags in Lisburn wrote (250 days ago):
£10 - total insult! And why do we have to wait 3 years for such a mean saving?
nicki in co Antrim wrote (250 days ago):
whoop de doo. A whole £10 I spend near £800 a year if not more and I'm out all day. so I save about 1% a year. considering they went up almost 20% a few months back its laughable. Come on give us at least 25% then it would be less of a joke
Stevie in Bangor wrote (250 days ago):
Ah, this must be what the Tory Government meant when they privatised NIE in 1992, by saying it would result in 'downward pressure on prices'. We all are so lucky that Private companies have consumers interests at heart. Now what can I spend my £10 on?
Matt in Belfast wrote (250 days ago):
Save £10 per year. I will now be able to buy that new Porsche with this whooping savings by 2017. Love how they are making it out to be such a great thing for customers. It is merely £10 per year.
James in Derry wrote (250 days ago):
Wow!!!!!!!!! Can't wait till 2017
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