CHARGES FOR reconnecting electricity or gas are to be halved to ease the hardship faced by thousands of householders unable to pay their energy bills, the energy regulator has confirmed.
The measure, which will take effect from January for 12 months, will cut almost €100 off the current cost of reconnection to electricity and gas supplies. The Commission for Energy Regulation has decided to go ahead with the change, despite opposition from the utility companies.
Last month, The Irish Timesreported the commission's proposal that energy suppliers such as the ESB and Bord Gáis pay half the cost of disconnection and reconnection charges, with householders paying the other half. It has decided to implement this proposal and is also reviewing the level of charges. Lower rates will be announced later this month.
More than 2,000 electricity customers a month are being disconnected because of non-payment of bills and 300 gas meters are being locked each month.
At present, it costs an electricity customer €86 plus VAT to have their supply disconnected, and €88 to be reconnected.
Both charges must be paid before supply is restored. The charge for disconnection and reconnection of gas supply is €61.74.
The commission is also changing the code of practice on disconnections to make it more difficult for utilities to disconnect householders with genuine payment difficulties. Suppliers will have to contact customers successfully at least four times, two of which are in writing, before a disconnection occurs. They must give at least 10 days notice, instead of seven as at present, and they must use “plain English” in all correspondence.
It has also warned suppliers not to introduce administrative charges or other fees to recoup the revenue lost.
