Mulcahy calls for further cut in oil price

The Regulator and energy companies have been called on to explain why electricity bills have not been reduced for customers in light of continued significant falls in gas and oil prices.

Fine Gael Seanad spokesperson on Communications, Energy and Natural Resources, Senator Tony Mulcahy has pointed out that prices at fuel pumps throughout Ireland had only shown modest reductions in comparison to the dramatic fall in crude oil prices since mid-2014.

“Far too often we see companies using any hike in gas and oil prices as an excuse to raise fuel prices and electricity bill and therefore, it is only right that they be questioned as to why bills are not reduced when such prices drop,” said Senator Mulcahy.

“Crude oil prices have now fallen below 50USD a barrel, which is approximately one third of the value in June 2008 (144.54USD). While motorists and haulage firms have benefited from lowered diesel and petrol prices, garage forecourts and oil companies have ultimately only introduced slight reductions in prices. The bottom line is that the significant fall in gas and oil prices is not being reflected in reductions in electricity bills or at the petrol pumps.

“Any reduction in electricity bills or fuel prices would provide a tremendous boost the economy and would help reduce overheads for households and businesses, as well as motorists,” he added.