The Council of Ministers and Manx Utilities held talks before the 30% phased rise in electricity prices was agreed.

The announcement about the price rise was made first thing yesterday morning and in the Manx Independent.
Soon afterwards gas consumers were warned they’d have to pay even more too.

Talking about the electricity price rise, Chief Minister Alfred Cannan MHK said: ‘The energy markets have been volatile for some time and even more so following Russia’s invasion of Ukraine. There is uncertainty around how long the conflict will last and what longer-term consequences there may be.

‘The Council of Ministers has worked with Manx Utilities in the best interests of the island to determine a way forward that reflects the increased cost of generating electricity, but which also reduces the impact of such a sharp price rise

‘‘Phasing the increases in this way will buy some time to allow government to better understand the longer term implications for the energy markets and to consider what broader economic support may be required for our community.

‘The Council of Ministers is now urgently considering the impact of these difficult price rises.

‘We are committed to building a secure and sustainable future for our island, and in doing so, now supporting those who will be hardest hit by a significant increase in the cost of living.’

Chair of Manx Utilities Rob Callister MHK said: ‘The board has been mindful of its responsibility to ensure it can cover the cost of providing electricity from the revenue it receives from electricity bills. With such a significant rise in global gas prices, there has been a need for difficult decisions around passing on cost increases to consumers.

‘I am pleased the board has been able to work with the Council of Ministers to explore how to cushion consumers from such a stark rise in prices, although I am in no doubt that these price rises will cause difficulty for some.’

Treasury Minister David Ashford MHK said: ‘This price rise ... will bring a substantial increase to the cost of living pressures being felt across the community. I expect to update Tynwald in April on the Treasury’s assessment of the impact of this situation and any action considered necessary at that time.’