Dublin’s power prices highest in EU, despite recent drops
According to a recent analysis commissioned by the energy authorities in Austria and Hungary, Dublin’s power prices continue to be the highest in Europe for residential power consumers, even if monthly energy prices have been down. According to a survey by energy advice firm VaasaETT, Irish households paid roughly 42.75 cents per kWh (including taxes) in December, which is almost twice as much as the average of 23.79 cents paid by homes in the EU27.
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Dublin’s power prices are 50% higher as compared to those in 2021
The findings indicate that consumers in Dublin are still paying almost 50% more for electricity compared to two years ago. Based on the estimated average yearly use of 4,200 kWh of energy by homes in the Republic, Dublin residents incur an excess of €796 in annual electricity costs compared to their EU counterparts.
According to the research, SSE Airtricity’s announcement of a second price decrease in three months is what caused the 3% monthly decline in December. Effective from February 1st, this reduction accounts for a significant 12.8% for electricity customers and an 11.5% fall for gas customers. According to experts, other electrical companies might decide to cut back on service in response to this action.
An initial move in this direction has already been taken by Yuno Energy, the newest power provider in the State, which announced an 8% decrease in the fixed rate for its electrical services for new clients. Prior to the budget, other household electricity providers disclosed their intended annual price reductions. Additionally, the first of three government energy credits is scheduled to subsidise December bills.
The report’s authors do, however, emphasise that Dublin’s power prices for homes were still 47% higher last month than they were in December 2021, even after subtracting subsidies. There was a noticeable increase in costs after Russia’s invasion of Ukraine, which rocked the world’s energy markets.
A number of providers, such as Bord Gáis Energy and Flogas, implemented fresh price cuts to their gas tariffs in the run-up to Christmas in an effort to combat the rising cost of energy. As a result, prices dropped by 8%. The report suggests that additional cuts are expected in the upcoming months. Even with these reductions, the end-user price—which includes the most recent ones—remains significantly more than the average for Europe and is 72% higher than it was in December 2021.
As Dublin grapples with persistently high electricity prices, the energy market dynamics remain a focal point for both consumers and policymakers. The ongoing efforts by providers to lower prices, coupled with government subsidies, are seen as steps in the right direction, yet the city’s residents continue to bear the brunt of elevated electricity costs in comparison to their European counterparts. The evolving energy landscape and market responses will undoubtedly be closely monitored in the coming months to assess the impact on Dublin’s standing in the EU capitals’ electricity price rankings.
