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ENERGY COSTS TO RISE FOR SME’s

As if things weren’t bad enough for SMEs. From this week, gas suppliers are deregulated and free to set their own rates for energy to businesses. In the short –term this is likely to lead to price increases for small and medium sized businesses says the Sunday Business Post.  Bord Gais has just increased prices for these business customers by 21.72% while its competition, Flogas, Airtricity and ESB Electric Ireland are also increasing their prices by a similar amount to SMEs. New players to the Republic such as Phoenix Energy, the North’s largest suppliers of gas, plans to target small and medium sized businesses in Ireland soon.

Energia has the biggest share of the SME market – by volume of gas – with 42% of these business customers. Bord Gais has the highest number of SME customers with a market share of 55%. Although international gas prices remain high, shopping around for a supplier may save small and medium sized companies money in the future.

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