Anxious wait on gas hike decision

A NORTHSIDE residents’ association’s members are

“appalled

? that Bord Gáis Energy is seeking a 7.22 per cent increase in the price of gas for domestic users.

Austin McCoy, chairperson of Lorcan Estate Residents’ Association, Santry, hit out at the proposal.

Bord Gáis Energy said it has made its submission to the Commission for Energy Regulation (CER) as part of the annual review process of its regulated residential gas tariffs.

A final determination on gas prices will be made by the CER by the end of August.

Mr McCoy told Northside People:

“We are appalled that this increase could be introduced.

“It comes on top of the residential household tax and we’ll soon have the water charges coming hot on the heels of this.

“It’s going to hit everybody but especially the senior citizens. In our estate of 470 houses, the vast majority of residents are senior citizens and our members are very concerned.

“The increase they (Bord Gáis Energy) are proposing is quite excessive.

?

Mr McCoy pointed out that the size of the bills was weather dependent.

“We don’t know what kind of a winter is in store,

? he stated.

“We had two very bad winters there back to back, the year before last, and if we get anything like that again it’s going to be very tough for our senior citizens.

?

Mr McCoy added:

“We would be looking for some sort of alleviation or a means tested waiver for people who are on the State Pension if the increase is pushed through.

?

Vincent Quinn (76), from Cromcastle Court, Coolock, said pensioners were getting hit from every direction.

“The Government are not considering the most vulnerable people in society,

? declared Mr Quinn.

“It’s mostly the vulnerable who are suffering all the time. Elderly people like myself are now saying:

‘What are we going to live on? We’re not able to live.’

?

Age Action, the older people’s charity, has warned that if the price hike is granted, it will cause further hardship for many older people this winter.

“Some older people are still paying off large fuel bills which were run up during the cold spring,

? Age Action spokesman Eamon Timmins said.

“If gas prices rise by a further 7.22 per cent it will leave an increased number of older people having to choose between food and fuel in the coming months.

?

In its pre-Budget submission, Age Action highlighted the impact of the cumulative effect of successive austerity budgets on older people.

“While the State Pension has not increased since 2008, in the intervening period the price of gas has risen by 25.9 per cent,

? added Mr Timmons.

Age Action believes the Government must act to protect the most vulnerable if the price increase is granted.

A spokeswoman for Bord Gáis Energy said its submission is based on a strict regulatory formula which assesses the costs of selling gas to customers and determines the applicable tariff.

“In accordance with this regulatory formula, Bord Gáis Energy has submitted for a 7.22 per cent increase in residential gas tariffs from October 1,

? she told Northside People.

“The CER has now commenced the review process and is expected to make a final decision on this by the end of August following a public consultation and a detailed review of Bord Gáis Energy’s costs.

?

The spokeswoman said the main driver for the proposed increase is the rise in transmission costs, which are expected to increase by up to 38 per cent from October 1.

“Transmission and distribution (T&D) costs account for approximately 40 per cent of the retail tariff and are industry-wide costs, affecting all suppliers,

? she stated.

“The CER will make a final decision on the applicable T&D costs in the coming weeks.

“Additional factors affecting the tariff include ongoing upwards pressure on future wholesale gas prices and increases in supply costs largely relating to the implementation of regulatory requirements.

?

Bord Gáis Energy said it recognises that price increases have an impact on customers, particularly in these difficult times.

It said it was committed to keeping prices as low as possible and working with customers to help them to manage their bills.

“We offer payment plans, Pay As You Go meters and our Level Pay payment option that allows customers to improve budgeting by spreading their energy payments over the course of the year,

? the spokeswoman added.