The wholesale prices of oil and gas have been falling for several months now – and this is one of the reasons that Bord Gais Energy have announced upcoming price cuts to Gas and Electricity.
The reductions come into force on the 16th March 2015 and will apply to new and existing customers . The standard gas unit rates will fall by by 3.5% and standard electricity unit rates will be cut by 2.5% .
As you can see from our energy price comparison pages - people who switch energy suppliers can currently get better prices than Bord Gais from other suppliers.
We have calculated that for someone using the national average amounts of gas and electricity – that the upcoming Bord Gais price cuts will still not make them the cheapest for switchers.
For example the best Bord Gais dual fuel offer for new customers would currently end up costing €2027 over 1 year. When the above reductions are applied – this figure would drop to €1973 – but there are cheaper deals available from ALL the other energy suppliers.
These price cuts are just bringing Bord Gais Energy charges closer to it’s competitors.
Bord Gais Energy had the biggest majority of gas customers in Ireland for many years but prices had to be agreed by the Energy Regulator. To allow them to break away from price regulation – they had to reduce their number of gas customers to below 55% of the total . This target was met in July 2014 – and now they can charge whatever they want. (deregulation happened just in time for the sell off to Centrica)
More here about the sale of Bord Gais Energy (if you didn’t realise the government sold it to Centrica last year.)
What are the Cheapest Options For Switching Both Gas and Electricity ?
January 22nd 2015:
All price comparisons are based on “average” usage of 13800 Kwh of Gas and 5300 kwH of Electricity a year .
At the moment you will get the best prices if you switch to separate suppliers for your gas and electricity .
The lowest priced combination for the usage given above is to switch to Energia for gas (using the online promo code SAVE307) and to SSE Airtricity for your Electricity (with €35 cashback online) .
This combination will work out at €1029 for electricity and €847 for gas – a total of €1876 in year one. This beats the best dual fuel offer by €50 .
The lowest price deal for directly switching both fuels to one supplier is by switching online to Energia where you can use a special promotional code (“SAVE307″) to get an extra 1% discount off their rates. This would result in a total cost of €1926 in the first year for someone using the amounts above.
SSE Airtricity’s bundle comes with €35 cashback (online only) . This would work out at €1934 in the first year.
Electric Ireland’s dual fuel bundle would cost €1949 in year one for the same usage .
To get these lower prices with any of the suppliers you have to pay by direct debit and have online billing.
The main message is – if you are have never switched and are still on Electric Ireland’s or Bord Gais’ standard rates – then switching provider can save you significant amounts of money. Even staying with the same supplier and going with payment by direct debit and electronic billing can get you a reduced price.
Figures were calculated to the nearest euro Jan 22nd 2015 using published tariffs and standing charges on suppliers websites and including VAT, the PSO Levy on Electricity and Carbon Tax on Gas.
The prices given are for new customers only .
You could obviously save even more money on your electricity bills by cutting energy use . For example – switching any halogen downlighters to Gu10 LED Low Energy Bulbs (Savings as much as 90% compared to Halogen 50 watt!)
Insulating your home can also cut your energy bills – see our article about grants for insulation.
Currency Exchange Rate Update : January 23rd 2015
1 GBP = 1.335 EUR 1 EUR = 0.749 GBP
The Pound has continued to increase in value against the EURO in recent months and this week the EUR/GBP exchange rate weakened to a new 7-year low .
Further falls are possible after UK data came in better than expectations and as the markets continue to reel from yesterday’s European Central Bank (ECB) policy announcement.
After the announcement by the ECB that it would soon launch a massive monetary stimulus programme worth €1 trillion the Euro fell against all of its most traded peers and more falls are forecast.
Back in January 2007 Sterling was at a high of nearly €1.54: by January 2009 it was near to parity with the euro, with a pound worth just €1.02.
The Euro is also doing badly against the US Dollar – on January 22nd the value of the euro slipped to $1.13, lower than the rate at which it was introduced on January 1st 1999
With so much uncertainty in the currency markets at the moment , a Currency Broker can let you fix an exchange rate as much as 12 months in advance of your transfer. For good deals on large amounts of currency exchange – for personal money or for businesses – see our page on how to get the Best Exchange Rates
You might also be interested in this information about Transferring Money from Ireland to the UK