ELECTRICITY BILL SHOCKER

Consumer group calls for action over energy company stitch-up

HOUSEHOLD electricity bills have gone up by an average of nearly 10% this year, according to minister for energy Álvaro Nadal.

Sr Nadal made the revelation when answering questions in a parliamentary commission on Wednesday.

According to the minister, the average consumer will pay €835 for the whole of 2017, which is €76 more than last year.

He blamed the price hike on ‘ poor weather conditions’ for producing energy from renewable sources such as wind power and a greater reliance on natural gas and coal-fired power stations, which are more expensive.

Sr Nadal noted that 2016 had been a very good year for renewable energy production, which brought down costs for households.

The minister said he was ‘relatively optimistic’ about next year but underlined that once again ‘it would depend on the weather’ and the price of fossil fuels.

Consumer association FACUA said they feared this would be a very hard winter for people on low incomes.

“Once again they will have go without heating their homes or could even be cut off because they are unable to pay the bills,” noted an association spokesman.

He criticised the Partido Popular government, which has ‘failed to take action over the unjustified rise in bills’.

“Users are victims of an oligopoly which, instead of producing competition, merely speculates with energy prices,” he lamented.

FACAU called on the government to intervene in the sector to periodically set a ‘reasonable’ price for consumers.

They should also reduce IVA (VAT) on electricity, currently running at 21%, ‘which is completely inappropriate for an essential service’.