Electricity Prices Inflated by North - South Links
25 August 2011
Statement by TUV leader Jim Allister MLA:
“News that hard pressed consumers will be hit with a massive 20% hike in the price of electricity later this year - after a huge hike in 2008 - will shock many families which are already feeling the pressure of the economic downturn.
“However, it is important to remember a point which is ignored by many of those who will fain sympathy with the public when it comes to this issue. One of the reasons for the runaway price of electricity in Northern Ireland was the creation of the single electricity market on the island of Ireland, which Nigel Dodds championed when DETI Minister, followed, most significantly, by the sale of NIE to the Republic's semi-state ESB. I warned at the time Northern Ireland consumers would be bled dry the deeper ESB and the Republic got into decline. As a mere subsiduary of ESB, Power NI is serving its master's interests. Its name change does not disguise its true affinity.
“Prior to the Assembly recess I asked the DETI Minister Arlene Foster a series of questions relating to the price of electricity in the Province. I established that customers in Northern Ireland pay more than any other part of the United Kingdom. Additionally, I pressed her on what plans she had to oversee a reduction in the cost of electricity.
“I also had it confirmed that “there was a trend towards convergence (in NI/GB prices) in the period immediately prior to the introduction of the Single Electricity Market (SEM). However, in the post-SEM period, there has been a divergence once again.” It also revealed that since 2008, domestic electricity prices have generally been lower in Northern Ireland than in the Republic. Now, however, we are heading towards closing that gap.
“While the electricity network in Northern Ireland is tied ever closer to that of the bankrupt Republic people will continue to see price hikes like that announced today. Will we shortly see a network induced increase courtesy of ESB which now holds monopoly control in that area? It is about time that politicians started to pay more attention to the needs of customers than the Belfast Agreement’s ever expanding all-Ireland agenda.”
