Gas supplier to increase prices

Firmus supplies 4,000 domestic customers

Gas supplier Firmus Energy has announced a 20% price increase for customers in Northern Ireland.

The company supplies gas to 4,000 domestic users in 10 local towns and cities.

Firmus said that it has not increased prices for three years, but it was unable to protect against increases in the wholesale price of gas.

It said that the increase would mean most of their domestic customers would pay �1.50 a week more on average.

The company said it would protect vulnerable domestic customers over winter by deferring the rise for elderly, disabled or chronically ill customers registered on their firmuscare scheme until March.

'Huge volatility'

General manager Mark Prentice said they had capped their prices until the end of 2008.

"Over the last three years our prices have remained flat through a time of huge volatility in wholesale prices," he said.

He said on 1 February small commercial tariff prices will increase by 31.5%, "reflecting the increase in wholesale gas costs over the last three years".

"We will next review our gas prices in September to both ensure that our customers benefit if wholesale prices continue to fall and to maintain our price promise against oil," he said.

Kathy Graham of the Consumer Council said they welcomed the company's "commitment to help older customers".

"All energy companies here should adopt and build on creative approaches to do more to help their customers who struggle to keep warm and well," she said.

Firmus operates in Londonderry, Limavady, Ballymoney, Ballymena, Coleraine, Antrim, Craigavon , Banbridge, Newry and Armagh.