Trade unions joined together today to call for the Energy Regulator to rescind a 20 per cent increase in electricity prices amid falling fuel costs.
David Begg, the general secretary of the Irish Congress of Trade Unions, said the Commission for Energy Regulation (CER) was not taking into account the possibility of a drop in fuel prices.
Mr Begg wrote to the commission asking that the rise be replaced with a fuel variation charge on bills. Under the charge, the amounts added to the standard domestic electricity bill would vary depending on the oil prices at the time.
In a letter to Tom Reeves, chair of the commission, Mr Begg said many people would find it hard to understand why there were no measures included to allow for the possibility of a drop in fuel prices.
In recent weeks, oil prices have fallen from a high of $73 per barrel to the current price of $62.
Mr Begg said: "This volatility in the primary fuel source would seem to suggest that some more flexible system for price variations would be better.
"In the past, the concept of a fuel variation charge was adopted by the ESB - it has the advantage of being fair to the electricity producer, while being transparent to the customer."
Mr Begg made the request after a meeting of the Congress Executive Council saw unions express concerns the 20 per cent rise could undermine pay increases secured under the latest social partnership agreement, Towards 2016.
Earlier this month, the commission said it approved the rise due to spiralling fuel costs.
The CER said the average electricity bill for a home for two months will increase from €126 to €150, €12 a month, from the start of next year.
This comes on top of the 34 per cent increase in gas prices due in October. Ibec claimed the total energy bill for Irish business has increased dramatically from €3 billion in 2003 to €4 billion in 2006.