Manx electricity prices set to drop 5% in April

Electricity tariffs are due to drop from 1 April

Electricity prices on the Isle of Man are set to drop by 5.1% from April after a fall in the price of wholesale gas, Manx Utilities has said.

The government-owned utilities provider had previously outlined plans to increase bills by 5.7%.

A spokeswoman for the firm said the drop represented “cost reductions being passed back to customers”.

While the tariff reduction is set to save customers £50 on average, 5.7% rises on electricity standing charges and water and sewerage rates are still set to be implemented.

The firm said a £42m loss outlined in its audited financial statements for the year ended 31 March 2023 had been lower than the expected deficit of £50m.

The organisation remained “on schedule” to repay bonds on water and electricity infrastructure projects that are due in 2030 and 2034 “despite £20 million being withdrawn during the financial year to avoid further customer increases to tariffs”, it added.

A spokeswoman said the firm would continue to review the wholesale energy costs, and would be “engaging with independent external specialists” to update its pricing strategy.

“This will ensure tariffs continue to remain as low as possible for its customers whilst still meeting its financial obligations to maintain essential services,” she added.