SSE Airtricity has announced its fifth price increase for household gas and electricity from 1 October, with prices set to rise by 37% for dual fuel customers.
The company cited "continuing volatility" in global energy markets and "ongoing market uncertainty" resulting from the war un Ukraine for the move, which will see 35.4% added to the average monthly electricity bill and 39% to the average gas bill.
SSE estimated that customers would pay an extra €1.62 per day for electricity, €1.40 per day for gas, and €3.02 per day for both.
The decision will impact around 250,000 electricity customers and 85,000 gas customers, and over the course of a full year the price hike would add €600 to the average electricity bill and €500 to the average gas bill.
"We know this news will be disappointing for our customers. It was hoped market volatility would ease, but the global energy crisis continues to impact gas and electricity costs for all energy suppliers," said Klair Neenan, managing director of SSE Airtricity.
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“However, we are acutely aware of the impact this has for households and are working hard to help where we can."
Some 60,000 financially vulnerable customers eligible for SSE's "price promise" will have their electricity costs capped at May 2022 levels until next March through a €25m support fund, and the company said it would donate €1m to a household assistance charity.
“SSE Airtricity has a longstanding commitment to working with our customers. Our customer support fund is aimed at helping customers experiencing financial difficulty through the current cost of living and energy crisis," Neenan said.
“As always, we encourage any customer who is having difficulty with their energy bills to contact us. We will work with them to find a solution together, including flexible payment plans, budget plans, and different payment methods such as pay-as-you-go options.
“While it is difficult to know when wholesale prices will begin to improve, we are committed to reducing our prices as soon as we can.”
Reacting to the announcement, Darragh Cassidy, head of communications at Bonkers.ie, said: "Price increases of this frequency and this magnitude are clearly unsustainable. And more price hikes from other suppliers later in the year, including SSE, are almost a certainty.
“Since the start of last year, some suppliers have announced even bigger price hikes that have added over €2,500 to households’ annual gas and electricity bills. It’s astronomical.”
“The Government needs to decide now how it plans to help households over the coming months. Is the temporary reduction in VAT being kept? Is another energy credit going to be paid? Is the Government going to place a windfall tax on energy companies - and if so, how would this even work when many are headquartered overseas?”
(Pic: Getty Images)
