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Energy watchdog defends comment Energy watchdog faces MLA critics
(about 4 hours later)
The utility regulator is to defend his comments that the new hikes in electricity and gas bills were justified. The utility regulator has been criticised by MLAs for approving large gas and electricity price increases.
Iain Osborne will give evidence to members of the Enterprise Trade and Industry committee at Stormont later. Iain Osborne had said the rises were justified, but regrettable.
Committee member Alasdair McDonnell said there were serious economic and industrial consequences to the rises. He told the the Enterprise Trade and Industry committee that he understood the anger, but that he and his staff had saved consumers up to £15m.
"It is causing an awful lot of stress and worry, and people will be choosing between heating and eating." 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".
Electricity charges will rise by a third, while gas bills are set to go up by almost a fifth.Electricity charges will rise by a third, while gas bills are set to go up by almost a fifth.
The increases have been blamed on the cost of wholesale fuel.The increases have been blamed on the cost of wholesale fuel.
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.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.
An increase in cold weather payments from £8.50 to £25 a week, announced by the prime minister, will apply Northern Ireland.
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".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.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.""We spend a considerable amount of time and apply our expertise to make sure that the level of the increase is justified."