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Belfast Live
Belfast Live
National
Jonathan McCambridge

Energy bills NI: Half of households in fuel poverty, regulator estimates

Soaring energy bills are likely to have led to fuel poverty rates in Northern Ireland of 50%, the utility regulator has warned.

Economy Committee chairwoman Caoimhe Archibald described the figure as "startling", as MLAs were briefed on recent price rises in the energy sector.

Utility regulator John French is responsible for regulating the gas and electricity markets in Northern Ireland.

Read more: We went to petrol stations in each part of Belfast to find the cheapest

He told the committee that average annual household energy bills in the UK and Ireland were currently around the £1,900 mark.

He said: "Prices for GB, Ireland, Northern Ireland are in and around the same amount.

"The reasons behind that are historic gas prices.

"Yesterday the market was about £2.36 per therm, the unit in which gas is measured in. It is currently trading this morning around £2.45.

"Gas prices historically have always been around 50p per therm, but we saw it rise up to £8 per therm.

"There are prices but also significant volatility, the movements are quite high. There is increasing volatility which is hard for the market to predict."

Mr French added: "We are probably back to high levels of fuel poverty.

"There hasn't been a proper survey but we are probably looking at levels of fuel poverty in Northern Ireland on these current fuel prices of in and above 50%.

"Consumers are really struggling at this point in time."

Ms Archibald asked: "Just to clarify, did you say that you would estimate that currently there are possibly 50% of households in fuel poverty?

"That seems really, really high. Given the level of people's incomes that are going towards heating their homes I guess it isn't probably a huge surprise, but that figure is still startling."

Mr French said: "The Housing Executive does a house condition survey periodically.

"To supplement that, they produced a ready reckoner where you take the house condition survey and add in the fuel prices and it roughly gives you an estimate of levels of fuel poverty.

"If you run that through, it is in and around 50%.

"The last time fuel prices were anywhere near this, 10 or 12 years ago, we were experiencing mid-40s-percent fuel poverty levels, so fuel poverty must be, in terms of households, must be in and around the 40% to 50% mark."

DUP MLA Peter Weir said it was a "sobering statistic".

He added: "Is there any intervention you feel you would like to be in a position to make" but are limited to do so.

Mr French responded: "We will look at their purchasing strategies, we will look at how they run their business."

Read more: NI home heating oil prices could be set to fall, fuel company says

Read more: Belfast Council calls for release of £300m to help those struggling with bills

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