Published Tuesday, 15 April 2014
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