29/07/2024

Utility Regulator Publishes New Research On Energy Hardship

The Utility Regulator's new report, 'Energy Hardship: Consumer Lived Experiences', examines how domestic electricity and gas consumers in Northern Ireland are coping with high energy costs.

Conducted by Perceptive Insight for the Utility Regulator, this research marks the first time the Regulator has undertaken such a study. It provides a crucial evidence base to enhance Electric Ireland's consumer protection efforts and support domestic consumers facing or at risk of energy debt.

Participants involved in the research had experienced being in debt with their energy supplier, regularly running out of energy on their prepayment meter or had significantly reduced their energy usage to levels below their daily living needs because of difficulties paying for their energy.

Key findings from the report include:

• For the majority of consumers interviewed, they had experienced changes in their circumstances (for example marriage breakdown, job loss or health issues) that had resulted in having to manage on a lower income.

• Others had specific energy needs such as relying on medical equipment that use a lot of electricity. Some had illnesses or disabilities which required their home to be heated to certain temperatures.

• Overall, the majority of participants were already doing all they could to cut back on energy costs and were tightly managing their budgets, just to get by.

• Many participants had adopted harmful coping strategies in an attempt to reduce their spending on electricity or heating. These included skipping meals or drastically reducing their energy use to levels below their daily living needs.
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• All participants have experienced a negative impact on their quality of life, physical or mental health.

Sinead Dynan, Head of Consumer Protection at the Utility Regulator, said:

"This research has provided a better understanding of the real life experiences of electricity and gas consumers who are struggling to pay their energy bills. The findings have provided a glimpse into the stark reality some consumers are dealing with, which further highlights why our consumer protection work is so vitally important. This research will help shape our work and strengthen our expectations of the service that electricity and gas suppliers provide.

"There is help available if you are worried about paying your electricity or gas bill. We would encourage you to contact your supplier in the first instance, to make them aware of your circumstances, and discuss the options available. In addition, there are a number of agencies who can provide free and independent advice to households, including Advice NI, Christians Against Poverty, the Consumer Council and Money and Pensions Service’s MoneyHelper.

"As an organisation, we are committed to supporting all consumers who are struggling or at risk of electricity or gas debt. We will continue to work with government, electricity and gas suppliers, consumer bodies and the wider energy industry to identify further measures that can be put in place to support energy consumers."

The interviews were carried out between November 2023 and January 2024 with 42 participants from across Northern Ireland. Sixteen participants took part via in-depth interviews and 26 completed a semi-structured questionnaire.

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