Ireland Has EU's Highest Household Electricity Prices, Averaging €480 Above EU Average

Ireland has the highest household electricity prices in the European Union, according to new Eurostat research. At 40.42 cents per kilowatt-hour (including VAT and levies), prices are almost 40% above the EU average of 28.96 cents, costing the average household approximately €480 more annually. Germany ranks second at 38.66 cents, followed by Belgium at 34.99 cents. The lowest prices are in Hungary (10.82 cents), Malta (12.82 cents), and Bulgaria (13.55 cents).

PrepayPower announced an 8.8% increase in electricity prices and a 10.6% increase in gas prices from June 1, adding an estimated €168 annually for electricity and €171 for gas for an average household. Daragh Cassidy of Bonkers.ie attributes Ireland's high prices to a dispersed population, high network upkeep costs, rapid population growth, increased data centers, and reliance on expensive emergency gas generation. Over 40% of Ireland's electricity comes from gas, a key factor cited by ESRI researchers. Cassidy notes that countries with cheaper electricity often use more hydro and nuclear power, and Ireland's older, smaller power plants lack efficiency.

Taoiseach Micheál Martin suggested Ireland seriously consider nuclear energy for its future mix, alongside renewables like onshore and offshore wind. Ireland's isolation limits cheaper electricity imports, with only two interconnectors to the UK. A new interconnector with France, expected in 2028, may improve access to cheaper French electricity. Cassidy does not foresee significant short-to-medium term changes, noting that while renewables help, their grid investment and storage costs are passed to consumers, and their intermittent nature increases system costs.