SSE Airtricity has announced a massive 43 percent increase in gas prices, affecting around 190,000 consumers.
A typical customer will experience an increase of roughly £1.02 per day as a result of this tariff adjustment.
This hike will take effect on July 1, 2022, and will affect all SSE Airtricity home and small business customers.
The average home gas bill will rise by £373 to £1,243 per year as a result.
Why is this?
The reason for this was cited as Instability in the global energy markets.
Over the past year we’ve seen wholesale gas prices reach astronomical prices because demand for gas increased as the Covid pandemic eased, and because the war in Ukraine has threatened supplies from Russia.
This all was triggered due to last year’s cold winter in Europe which placed a strain on supplies, and as a result caused stored gas levels to be far lower than normal.
Another factor was due to the hot weather in Asia, more gas was consumed for air conditioning, and Russian gas exports to north-western Europe were likewise decreased.
This all had a knock-on effect on the world’s energy supply.
Andrew Greer, SSE Airtricity general manager said: “We understand energy prices are a serious concern for families across Northern Ireland and know this is not the news our customers want to hear.
“The cost of purchasing natural gas has remained at its highest level in over a decade and at times in recent months, it has hit record highs. Following our last price announcement, we had hoped for some market improvements; however, the war in Ukraine has intensified the energy crisis and compounded the issues facing all energy suppliers today.”
What support is there for customers?
It was announced that In October, all homes in England, Wales, and Scotland will receive a £400 one-time reduction on their fuel bills. This replaces an earlier idea to deduct £200 from bills, which would have had to be returned over a five-year period.
More than eight million low-income households receiving Universal Credit, tax credits, pension credit, and other means-tested benefits will get an additional £650 payment.
The payments, which are intended to help with high increases in energy bills, would be partially funded by a temporary 25% tax on oil and gas companies’ rising profits, according to the government.
The government is also doubling the Household Support Fund to £500m. This money is given to local authorities in England to support vulnerable families.
If you are struggling with this price hike, it is also worth reaching out to your supplier directly to see if there is any other additional support they can provide.
Andrew Greer added: “We would encourage any customer who is having difficulty with their energy costs to please contact us, and we will work with you to find a solution together. Meanwhile, we will continue to watch markets closely and will pass on reductions as soon as we can.”
SSE Airtricity has pledged a £1 million donation to a charity that assists people who are struggling with the cost-of-living crisis.
Eon Launches Energy Efficiency Assessment Drones
Eon Energy and Nationwide Drones have partnered to launch drone and laser scanner-led house ‘health assessments,’ promising to be able to check solar, heat pump, and insulation compatibility in under an hour.
Eon’s drone pilot home assessors have begun surveying walls, floors, and ceilings with body-worn mobile laser scanners and thermal analysis, with findings coming with aerial 4k resolution photos and high-resolution shots of a property’s roof and surrounding area to measure a home’s capacity for the right assets it needs.
Experts at Eon then use an in-house programme to analyze the photos and data and offer the most cost-effective energy efficiency options for the customer’s home, such as solar panels, air source heat pumps, and insulation.
According to their website, this is beneficial as it speeds up the process of assessing suitability for a range of technologies and energy efficiency measures quicker and more efficient than measuring by hand using laser or tape.
The data is then stored rather like an energy passport, removing the need for subsequent visits to the same property if further improvement work is later carried out.
What has Eon said about this?
Speaking on their website, Michael Lewis, CEO of Eon UK said: “This is in effect a home and energy health assessment, done by drone in under an hour and giving an inside-out image of all the areas where we can improve energy efficiency and make homes more comfortable for customers, as well as helping to reduce bills and carbon emissions.”
“Something like 19 million homes across the country are in urgent need of improvement but we know homeowners can often be left confused by the range of energy saving options. Our eye in the sky drone technology gives an accurate and speedy assessment of the most suitable and sustainable technologies.”
What do usual home and energy health assessments look like?
An evaluation may help you figure out how much energy your home uses, where it’s inefficient, and which problem areas and solutions you should prioritie in order to save money and enhance your home’s comfort.
A home energy specialist may use equipment such as blower doors, infrared cameras, gas leak and carbon monoxide detectors, moisture metres, and non-toxic smoke pens in addition to a room-by-room evaluation of the property.
How can they reduce your bills in the long run?
The amount you may save depends on a variety of factors, but depending on your energy use, households can save anywhere from 5 to 30% on their annual expenses.
Audits aren’t only about saving money; many people seek the help of experts when they want to improve their environmental impact and reduce their carbon footprint.
UK Approves Plans for Shells North Sea NG Field
Shell Energy’s Natural Gas field in the North Sea has gained final regulatory approval.
Speaking through a statement on twitter, Business and Energy Secretary Kwasi Kwarteng said: “Jackdaw gas field – originally licensed in 1970 – has today received final regulatory approval.
“We’re turbocharging renewables and nuclear, but we are also realistic about our energy needs now.
“Let’s source more of the gas we need from British waters to protect energy security.”
Shell has said they are pleased with the decision and intend to proceed with the field’s development, noting that it has the potential to provide 6.5 percent of the UK’s gas supply “at a time when UK energy security is important.”
This all fits in with the UK’s current energy plans, as the UK government looks to boost domestic energy production with gas prices soaring following Russia’s military action against Ukraine and the COVID pandemic.
Released on the Governments website, the British energy security strategy stated how North Sea projects are to play a part in the country’s energy supply:
In meeting net zero by 2050 we may still use a quarter of the gas that we use now. So to reduce our reliance on imported fossil fuels, we must fully utilise our great North Sea reserve use, the empty caverns for CO2 storage, bring through hydrogen to use as an alternative to natural gas and use our offshore expertise to support our offshore wind sector.
As a result of our plans, the North Sea will still be a foundation of our energy security but we will have reduced our gas consumption by over 40% by 2030.
Plans for the gas field were previously turned down due to environmental concerns in October of last year, but Shell resubmitted a revised plan to the Offshore Petroleum Regulator for Environment and Decommissioning in March.
The revised proposal alters how natural gas is processed at the Shearwater hub, where the Jackdaw field will be connected: instead of eliminating all naturally occurring CO2 from the gas offshore, part of it will be transported to the St Fergus terminal and treated onshore.
The gas field is estimated to have reserves of 120 million to 250 million barrels of oil equivalent, with Shell planning to begin production in the second half of 2025.
Greenpeace, on the other hand, feels the permit acceptance is illegal and is considering legal action.