Help 'limited' on fuel bill hikes

Northern Ireland consumers' electricity bills are to rise by a third

The Northern Ireland administration will only be able to offer limited help to people hit by the current rise in fuel prices.

Electricity bills will rise by a third, gas by almost a fifth.

There have been calls for the NI Executive to do more to help, but Finance Minister Nigel Dodds said their options were restricted.

"These fuel prices are driven entirely by international increases in gas and wholesale oil prices," he said.

"But nevertheless, all of us (in the Executive) have got to look at ways we can try and deal with this."

Meanwhile it has been revealed that grants for home insulation which had come to an end in Northern Ireland are to be reinstated within the next couple of weeks.

Prime Minister Gordon Brown has announced a series of measures to help people with rising fuel bills. Most will not apply to Northern Ireland but an increase in cold weather payments from �8.50 to �25 a week will.

Noel Williams from the Energy Saving Trust says more money has been found from the levy on electricity bills in NI to help with loft and cavity wall insulation.

Earlier, the utility regulator was criticised by assembly members for approving the large gas and electricity price increases.

We don't approve proposals for price rises without extensive scrutiny Iain Osborne utility regulator

Iain Osborne had said the rises were justified, but regrettable.

He told the Enterprise Trade and Industry committee that he understood the anger, but that he and his staff had saved consumers up to �15m.

Mr Osborne said he did not believe energy companies were "swinging the lead" and he realised it was a "really difficult situation for NI households".

The rise in electricity bills, set to add almost �150 to the average bill, follows a 14% increase in July, while the 19.2% rise in Phoenix gas prices comes after a 28% increase just four months ago.

Consumer Council spokeswoman Eleanor Gill said although they accepted bills must go up to cover rising costs of wholesale energy, "these price rises are truly shocking for consumers and people will struggle to cope".

However, Mr Osborne said: "We don't approve proposals for price rises without extensive scrutiny.

"We spend a considerable amount of time and apply our expertise to make sure that the level of the increase is justified."

The Office of the First and Deputy First Minister said that they had been working to help the most vulnerable.

They said the Department for Social development has already increased spending on fuel poverty to almost �36m this year, through the Warm Homes scheme and the Housing Executive's Heating Replacement scheme.

In a statement they said they were "fully aware that households are facing pressures" on many fronts and have been engaged in a series of meetings with various sectors to discuss the current economic slowdown.

"As part of this process of ongoing engagement they will shortly meet with representatives from the energy suppliers, to discuss this particular issue. Further meetings are also planned with business groups, trade unions and the social and voluntary sector," they said.

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