CRU Energy Monitoring Report 2023

The CRU has published the 2023 Energy Monitoring Report, this provides information on the latest market data on competition and pricing and encourages consumers to switch or renegotiate with their supplier to receive the best value.

• Active customers who switched to the best available discount tariff or renegotiated every year for the last 4 years could have saved €946 on electricity, €775 on gas or €2,018 on their dual fuel costs.
• The average price decrease for domestic customers was 10.5% for electricity and 12.5% for gas for a standard pricing plan between 2022 and 2023.
• Consumer switching rates were robust in 2023, with 12% of electricity customers and 14% of gas customers switching supplier during the year.
• 21% of electricity and 26% of gas customers renegotiated their contracts with their current supplier, a 3.5% and 21.4% increase from 2022 in electricity and gas respectively.

Switching

Switching levels are a key indicator of competition and supplier activity within the retail market and an opportunity for customers to make savings. Switching rates were robust in 2023, with 12% of domestic electricity customers and 14% of domestic gas customers switching supplier during 2023. In 2023, active customers who switched or renegotiated every year for the last 4 years could have saved €946 on electricity, €775 on gas, or €2,018 on their dual fuel costs.

Price Decreases

The wholesale price of gas in 2023 was 53% lower compared to the average price in 2022, which saw historically high increases due to global demand and the impact of the Russian invasion of Ukraine. The wholesale price of gas was 16% lower compared to 2021.

Wholesale electricity prices were 44% lower in 2023 compared to 2022 and 7% higher than the average price in 2021. Estimated Annual Bills (EABs) decreased by a weighted average of 10.5% in electricity and 12.5% in gas, as a result of the decrease in the cost of wholesale gas and electricity during that period.

With the decrease in wholesale electricity costs suppliers announced price reductions in electricity in 2023. The first price decreases were announced in autumn.

Arrears and Disconnections

At the end of 2023, 11.3% electricity and 22.6% of total gas customers were in arrears. 0.9% of domestic electricity customers and 0.5% of domestic gas customers were on payment plans in 2023.

Customer disconnections due to non-payment of account were 1,487 for electricity and 1,643 for gas compared to 2,498 electricity and 990 gas disconnections in 2022. This represents a decrease in the electricity market of 40% and an increase in the gas market of 66%.

This represents 0.05% of all electricity and 0.2% of all gas customers being disconnected in Ireland. The decrease in numbers of disconnections in 2023, can be attributed to the extended disconnection moratorium that was in place from 1 December 2022 to 31 March 2023, as well as a further moratorium from 1 December 2023.