Inflation only rises in water and power charges proposed

Manx Utilities five-year Pricing Review to go before Tynwald

Inflation only increases will be applied to wastewater and water prices for domestic customers over the next five years.

That's if Tynwald approves Manx Utilities' Pricing Review for 2025-2030 which will placed before the court at this week’s sitting.

The MU wants the sewerage rate for the financial year starting on 1 April 2025 to be 270.7 pence in the pound.

Further increases, at the prevailing rate of inflation, would then be implemented on 1 April 2026, 1 April 2027, 1 April 2028, 1 April 2029 as measured by the Consumer Price Index to the September of the preceding year. 

It's also proposed that electricity prices will also increase by inflation only but be subject to adjustments for significant changes in energy costs.

MU’s annual report shows a small deficit reflecting that the authority's finances have begun to stabilise after high wholesale energy prices during the peak of the energy crisis in 2022/23.

However they remain double what they were before the crisis.

A statement from Manx Utilities added: "Manx Utilities is aware of the financial pressures its tariffs put on customers and will continue to monitor energy prices and keep tariff levels under review; while also progressing feasibility work on energy decarbonisation schemes, plans for wastewater treatment in Peel and Garff, and working on its Water Resources Management Plan.

"An evaluation undertaken by ECA considered the economic tariff levels required to meet the costs of providing services. 

"This work identified that electricity standing charges are significantly lower than those in the UK and do not cover the cost of maintaining a connection to a customer however Manx Utilities is conscious of the impact that standing charges have on customers who consume low volumes of electricity and therefore increases have been limited for standing charges to match inflation."

MU adds further work is also proposed in respect of a potential social tariff – something which will be considered ‘over the next few years’ as part of a pricing review.  

You can view the annual report HERE.