Manx Gas: Customers to get £58 rebate in the New Year

Gov't strikes new deal to cut infrastructure costs

Thousands of Manx Gas customers will get a rebate in the New Year of at least £58.

It follows an agreement by Government to adjust the loans it holds with Manx Utilities.

Manx Gas customers were told to expect a rebate of £93 on their bills in November 2020 - something that seemed to fall by the wayside after plans for voluntary regulation were scrapped.

This new arrangement however, means Manx Gas will pay £700,000 less each year to Manx Utilities for infrastructure payments and so, now, a rebate can be given from £1.4m in savings due over the next two years.

That initial saving will be passed on to customers in full, a point, government says, which was fundamental to the deal.

The credit will be paid to all domestic and business customers, but those who have not been billed for any units of gas in the year to the end of November 2021 will not receive anything.

Government says its own accounts are excluded from the rebate.

After the New Year (1 January 2022) the rate of interest will be at a reduced level, which will be tracked by the Communications and Utilities Regulatory Authority.

Cabinet Office Minister Kate Lord-Brennan MHK said: ‘The forthcoming rebate will be welcomed by gas customers after the recent news that prices will rise due to pressure on energy costs being felt across the globe.

‘Isle of Man Government has worked hard to put in place a mechanism which will see Manx Gas’s outgoings reduce, in order that the resultant saving is passed directly to those affected.’

Jo Cox, CEO of Islands Energy Group, the parent company of Manx Gas, said: 'We are delighted to have worked alongside Isle of Man Government to bring this rebate to our customers.

 'At a time of unprecedented and ongoing volatility in the global gas markets, it’s important that the funds go directly to people who are experiencing an impact to their cost of living.'

In October gas prices rose by 27.5 per cent due to a global hike in wholesale costs, with the effect of that rise expected to hit wallets this month.

The rebate will appear on bills from February as a standard credit.

Mrs Cox adds: 'If anyone is worried about their bill this winter, we would urge them to get in touch with us on 644440 so that we can discuss affordability plans and direct them to any additional help that may be available.'