GEL’s electricity tariffs are to rise on 01 July 2023 after approval was granted for a 13% revenue increase by the States Trading Supervisory Board (STSB) and follows an application made earlier this year.
The primary standing charge will increase from £30 to £49.50 per quarter.
For the average usage customer on the standard or economy tariffs, both without electric heating, the total impact of these changes is a rise of around £200 per year per household.
We understand that this comes at a time when the cost of living is increasing for everyone, but we cannot delay much needed investment and upgrading of the network, along with the requirement to maintain the security of electricity supply to the Island. To ensure we meet the level of investment required, we will continue to finance this through additional debt as well as the increase in tariffs.
The other factor which is having a significant effect is the escalating cost of generating locally and importing electricity which has arisen from the market volatility caused by the Russian invasion of Ukraine, coupled with inflation at levels not seen for 30 years. This has pushed up our investment and running costs beyond previously anticipated levels.
In determining the tariff application, the STSB commissioned independent tariff and efficiency benchmarking reviews. It also considered the results of a public consultation carried out by Guernsey Electricity earlier in the year.
The benchmarking reviews found that electricity bills locally were currently among the lowest in the British Isles and Guernsey Electricity performed well compared to their counterparts in Jersey and the Isle of Man.
We understand that this increase will impact on our customers depending on consumption, so to help customers understand increase on their own bills, Guernsey Electricity will be providing a tariff calculator on our website in June.
We would also encourage Islanders who may have concerns paying their bills to contact the Customer Services team and discuss support options such as a tailored payment plan. They can be reached on 200700 or customer@electricity.gg
