Regulator publishes paper on ESB price rise

The electricity regulator today published a consultation paper on the 8 per cent price rise sought by the ESB.

The electricity regulator today published a consultation paper on the 8 per cent price rise sought by the ESB.

In a statement today, the Commission for Energy Regulation (CER), said it would make a final decision on the price rise on September 1st.

The CER said it would also make a decision on a fuel cost variation element being sought by the power provider. This mechanism, if introduced, would allow the ESB to adjust electricity charges on a two-monthly basis to reflect fluctuations in fuel costs.

According to the CER the price raise being sought by the ESB is in response to fossil fuel rises. The ESB claims is expects a revenue shortfall of €196 million over and above the revenue anticipated in the proposed price rise.

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The CER stressed that should the price of fuel fall, the ESB must ensure the variable element of the bills should result in benefits for consumers.

A decision on second price rise of 4.5 per cent sought by the ESB will be made by the CER in January.