Despite a spate of energy price increases last year, there’s still value to be had by switching supplier. Start the New Year off right with significant savings on your energy bills!
It’s not unusual to want to make some changes to your life once the New Year comes around, but one thing we rarely hear about is people wanting to save money on their gas and electricity costs.
Unsurprisingly, saving money on your energy bills isn’t one of the most exciting New Year’s resolutions you could think of, we’ll admit, but it certainly is one of the easiest to achieve!
And with plenty of people in Ireland still overpaying for their energy, despite countless price increases throughout last year, there’s no better time to change that than in January.
Here’s why you should switch your energy supplier in 2022.
1. Rising energy costs
The rising cost of energy was one of the biggest news stories last year, a certain virus aside, and looks likely to continue to dominate political discourse in 2022, unfortunately for consumers’ pockets!
The way the energy industry works is very straightforward: suppliers purchase gas and electricity ahead of time to make sure demand from customers is met. If the wholesale price of energy increases or decreases then those respective costs or savings should be passed on to consumers.
However, in Ireland we still rely heavily on natural gas, as burning it accounts for around 50% of the electricity we use. And with the price of natural gas reaching a new record high of €5.04 a therm in the days leading up to Christmas, the current outlook isn’t positive for prices. This is one of the many reasons why suppliers here have been implementing massive price hikes, likely to continue into the new year.
From price increases implemented last year alone, some customers will be paying around €1,300 more for powering and heating their homes in 2022, which, needless to say, is an enormous amount of money. However, it’s still possible to save on your energy costs by switching to a better deal and offsetting the cost of rising prices.
…which brings us onto our next reason why you should switch in 2022!
2. Treat yourself to big discounts
One positive about the energy market for customers in Ireland right now is that there is still plenty of choice and value to be had, with a total of 13 energy suppliers still operating here.
And despite so much volatility in the market, businesses are still battling it out for new customers. This of course means big discounts on offer for new customers!
Discounts of up to 41% are currently available for those looking to switch, with a wide range of single and dual fuel deals available for energy switchers to choose from.
However, these discounts generally only last 12 months, the length of a normal contract, and after such time customers will be moved on to the suppliers’ more expensive standard rates, unless you make sure to switch again.
Many customers will have switched last year but felt no need to do so this year as they may not have seen a difference in their yearly energy outgoings. This is especially true if you haven’t received a winter bill yet as you may not have seen just how expensive your energy has become. This is why it’s important to make sure you’re paying the lowest rates possible for your energy usage at the beginning of 2022.
So, despite prices increasing, you’ll still be able to save a large chunk of change on the cost of your energy bills in 2022 simply by moving supplier.
See how much you could save by conducting a free energy comparison here on bonkers.ie.
3. Electricity credit not affected
Back in December the Government announced it would be giving energy customers nationwide a one-off €100 electricity credit to help reduce the financial impact of the energy crisis.
The good news for electricity switchers is that your new switch in 2022 won't have any impact on you receiving the credit. This is because under the new measure households won't be required to apply, rather the credit will be taken directly off your bill by your existing supplier, whoever that may be!
So, if you switch in January your new supplier will arrange for the credit to be deducted from your bill.
However, because new legislation is required to enact the scheme, households likely won't see the credit until at least February or March. Regardless, if you switch you needn't worry.
4. You could be out of contract
As we mentioned above, the standard energy contract in Ireland usually lasts for 12 months, after which time you’ll be moved to a supplier’s more expensive standard rates. This is unless a supplier has a specific retention deal in place of course.
Long gone are the days where energy companies reward customers for their loyalty. In fact, it’s the opposite. In short, the longer you’re with a supplier once your contract expires the more you’ll pay.
Energy companies rely on consumers’ inactivity when it comes to switching. Frankly, this is how they make their money, with many of a company’s most loyal customers keeping them in profit.
For this reason it’s advisable to make sure you switch every year, or whenever your existing contract is up. So, if you haven’t switched in more than one year, there’s no better time than the beginning of a new year to start saving some extra money on your bills!
5. Have a smart meter? Switch to a smart meter tariff
The ESB was busy last year rolling out smart meters to customers across the country, having confirmed that more than 500,000 smart meters were successfully installed in customers’ homes, farms and businesses by year end.
If you already have a smart meter installed but haven't gotten around to switching to a smart tariff yet, it might be well worth your while to consider doing just that.
Smart tariffs, or so-called time-of-use tariffs allow customers to avail of cheaper electricity at different times of the day, thereby saving you money. What's more, smart meter customers can choose a tariff that's best tailored to their energy needs and usage habits, with more and more choice in plans coming on stream from suppliers in 2022!
However, there are already plenty of smart tariffs to choose from for smart meter customers with the likes of Electric Ireland, Bord Gáis Energy, and Pinergy all offering a range of options.
For more information, here's a blog post we wrote on everything you need to know about smart tariffs.
6. We make switching simple!
At bonkers.ie we’ve been helping energy customers in Ireland for over a decade to make sure you get the best tariff to suit your needs. It’s what we do!
We’re accredited by the Commission for Regulation of Utilities (CRU) as an independent and impartial provider of energy comparisons, and have been for the last eight years in a row - so you know you can trust us to get you the best deal this new year!
It’s super easy to compare and switch gas and electricity suppliers on bonkers.ie. Whether it’s a single or dual fuel deal you’re looking to switch to, you can compare deals from all suppliers using our range of free comparison tools.
What’s more, our most up to date figures show that we saved the average energy customer who switched on our site around €570 on their energy bills!
So what are you waiting for? It’s time to save some hard-earned money on your energy bills in 2022 by comparing and switching on bonkers.ie!
Energy is just one household bill you could save on this year. Did you know that you can also compare deals and prices for broadband, insurance and banking products on bonkers.ie?
Helpful switching information
We know how much work is required in switching your bills every year, that’s why as well as making switching for consumers even easier, we have plenty of helpful articles and guides to help you along your switching journey.
- It’s always good to be prepared when changing your energy provider. Here’s our guide on what you’ll need to hand when making the switch.
- When switching, there’s more to consider than price. Have a look at our guide on 7 things to consider when switching energy supplier
- Never get confused about taking an energy reading again with our guide on how to read your gas and electricity meter.
- Already switched supplier? Read our article on 10 ways to heat your home for less.
Keep up-to-date with the latest energy-related news, tips and tricks by reading our gas and electricity blogs and guides for more information.
Have you switched? Let us know!
Have you switched and saved on your energy bills this new year? Let us know in the comments below.
You can also reach out to us on social media with any questions you may have about the switching process. We’re on Facebook, Twitter and Instagram.
