But while unit prices will go up by between 5% and 7%, depending on how much a customer uses, the fixed standing charge will rise by only 3%, which the STSB said reflected GE’s acknowledgement of the ‘significant concern’ raised by customers following increases in recent years.
The tariffs will see domestic low-rate units increase by 7% from 12.26p to 13.12p, while normal rate units will go up by 5% from 26.45 to 27.77.
In the 15-month trading period to December 2024, the utility had revenues of some £91m. and made a pre-tax profit of £799,000.
GE managing director Alan Bates said the utility appreciated that nobody liked to see prices rising but it wanted to be transparent about the reasons – the need for further investment in the power station and the rising cost of supplying power to the island.
‘We already spend around £12m. a year replacing equipment as it reaches end of life, but we need to keep investing even more money in upgrading our electricity infrastructure to prepare for the future,’ he said.
‘In 2026 we expect to spend around £15m. on capital investment.’
He pointed out that the typical domestic customer, with electric heating, would see an overall rise in their bills of about £3 per week, while domestic customers without electric heating would pay about half that.
‘We have worked to keep this price rise as low as we can,’ said Mr Bates. ‘We continue to run the business as efficiently as possible and to reduce costs wherever we can – we saved over £500,000 across a range of areas in the 15-month period ending 31 December 2025, and we will continue to seek out efficiencies to help limit future tariff rises.’
GE initially asked to increase revenues by 6% but STSB turned this down after completing an assurance process and acknowledging the ongoing affordability pressures being faced by islanders.
Keeping the level of increase to the cost of living would have risked much higher rises in future, and so 5% ‘struck the right balance’, the board said.
Key to the request was GE’s plan to invest more than £150m. between now and 2030, with one third to be spent on the existing network infrastructure.
But the company is also preparing for major projects that will need investment before the end of the decade, including the replacement of one of the cable links to the European grid and – if approved by the States – the installation of a new cable interconnector directly between the island and France.
‘The board is satisfied that GEL’s proposed capital investment programme supports the delivery of reliable and resilient electricity services, to meet the island’s current and future needs,’ STSB said.
It also expected that customers would benefit from £2m. in efficiency savings realised by 2028, after it renewed its target for GE’s cost reductions.
If customers are worried about the cost of their electricity bill, they can contact GE’s dedicated team who can help with a range of support options, including introducing a payment plan. GE works with charities and other local groups to share guidance on energy efficiency and to help anyone who may be struggling.
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