Isle of Man gas customers face fresh price hike

The latest hike will take the average annual household bill up to £677

Gas prices on the Isle of Man are to climb by 43.9% from September as prices across global energy markets continue to soar.

Manx Gas chief executive Jox Cox claimed the increase "could not be avoided" due to disruption caused by Russia in the wholesale supply of gas.

She admitted the hike, which follows a 58% rise in April, would be "incredibly difficult" for customers.

The Manx government said it would look to help those "most affected".

Treasury Minister Dr Alex Allinson said "a range of options for more targeted support" were being considered, with an announcement expected in October.

The hike will see Manx Gas domestic customers' bills rise by an extra £677 per year on average, with the new rate to be charged on use from 1 September onwards.

Ms Cox said the firm takes its "duty of care to our customers very seriously", and will continue to offer payment plans and other support.

The Communications and Utilities Regulatory Authority (CURA) approved Manx Gas's request to raise tariffs after reviewing information provided by the firm and market data.

The island's energy regulator said prices for winter 2022 were currently much higher than assumed when tariffs were last set due to a "significant increase in forward gas commodity prices".

It has been compounded by a reduction in the gas supplied to Europe by Russia, it added.

CURA has stressed the increase will not see Manx Gas make a greater profit and said the changes were "solely due" to the increased cost of wholesale gas.