Firmus Energy has announced its gas price will fall by about a fifth from April in what will be the second decrease this year.
The move reflects the fall in wholesale gas prices, which have been falling since the end of last year and are now about £1.10 per therm.
Firmus Energy has about 110,000 customers across Northern Ireland.
It previously cut its prices by about a fifth back in January.
Customers in the Ten Towns network area, which includes Antrim, Armagh, Ballymena, Coleraine, Craigavon, Londonderry and Newry, will see prices fall by 18.84%.
Those in Greater Belfast, which includes Lisburn, Bangor, Larne, Comber, Newtownabbey and Carrickfergus, will see prices fall by 22.43% from April.
That will save customers in the Ten Towns £335 a year and those in Greater Belfast £433 a year on average, according to Firmus Energy.
Its chief executive Niall Martindale, said: “We previously committed to our customers that as soon as market conditions allowed us to lower our prices we would do so.
“We recognise the wider cost-of-living challenges within the communities we serve and at Firmus, we are working hard to make positive change for our 110,000 loyal and valued customers.”
The government is subsidising energy bills through the Energy Price Guarantee, which reduces the amount people can be charged for each unit of gas by 3.893p/kwh until the end of March.
The BBC understands that the Chancellor Jeremy Hunt is expected to extend the Energy Price Guarantee for another three months.
An announcement is expected to be made on that in the chancellor’s budget next Wednesday 15 March.
Firmus Energy’s price decrease is a result of a review undertaken in January by the company and the Utility Regulator, in consultation with the Department for the Economy and the Consumer Council for Northern Ireland.
Utility Regulator chief executive Kevin Shiels said: “We are also aware that any change in the level of support provided through the UK government’s Energy Price Guarantee scheme would impact the final tariff customers pay.
“If the Energy Price Guarantee discount changes, Firmus Energy will adjust their tariffs accordingly and advise their customers.”
The Consumer Council for Northern Ireland warned that if the government was to reduce the support in the Energy Price Guarantee scheme it would mean that Firmus Energy customers’ bills would not fall by as much as announced on Tuesday.
Raymond Gormley from the Consumer Council said he anticipated that the government would reduce the support it would offer.
He said that gas bills were higher than last year and advised anyone struggling to pay to contact their supplier for help.
Source – BBC News
