What Are Electricity Network Charges?

Electricity network charges represent fees for maintaining Ireland's physical power infrastructure, including power lines, poles, substations, and control centres spanning the entire country. These charges cover two primary categories:

  1. Transmission Use of System (TUoS) Charges — High-voltage transmission networks managed by EirGrid and ESB Networks
  2. Distribution Use of System (DUoS) Charges — Lower voltage local distribution systems

What Are Electricity Network Charges Used For?

Revenue from these charges funds:

  • Maintenance and repair of infrastructure
  • System operations and monitoring
  • Network upgrades and modernisation
  • Capacity expansion for growth
  • Integration of renewable energy sources
  • Security of supply infrastructure

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How Are Electricity Network Charges Calculated?

The Commission for Regulation of Utilities (CRU) oversees the calculation through a five-step process:

  1. Revenue proposals from EirGrid and ESB Networks
  2. CRU review and approval
  3. Charge setting based on approved revenue
  4. Customer categorisation (residential, business, industrial)
  5. Supplier pass-through to customer bills

Network charges function as "pass-through" costs where suppliers collect regulated fees without profiting from them.

Why Are Electricity Network Charges Increasing in Ireland?

Key factors driving increases include:

  • Ambitious renewable energy integration: Wind power expansion requires significant grid upgrades
  • Geographical challenges: Ireland is an island nation with a dispersed population
  • Aging infrastructure: Much of the grid requires modernisation
  • Rising electrification demand: Electric vehicles and heat pumps are increasing load
  • Inflationary pressures: Rising costs for materials and labour
  • Security of supply requirements: Ensuring grid reliability costs more

How Do Electricity Network Charges Affect Your Bill?

Network charges typically represent 25% to 40% of total electricity bills. They appear as fixed daily charges or per-unit consumption fees, often listed separately as TUoS and DUoS line items on your bill.

Network charges are regulated by the CRU and are the same regardless of which electricity supplier you choose. Switching suppliers can save you money on the energy portion of your bill, but network charges remain constant.

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This is a free call from Ireland. Selectra agents can assist you with comparing and switching energy providers on weekdays between 9 am and 5.30 pm.

How Can I Lower My Electricity Bill?

While network charges are fixed, you can reduce the energy portion of your bill:

Appliance Usage

  • Use washing machines and dishwashers with full loads at lower temperatures
  • Air-dry clothes instead of using tumble dryers
  • Batch-cook to maximise oven efficiency
  • Use microwaves or air fryers for smaller meals

Phantom Energy Prevention

  • Unplug devices when not in use
  • Utilise power strips to control standby power

Home Efficiency Improvements

  • Insulate attic and walls
  • Seal draughts around windows and doors
  • Install LED bulbs
  • Deploy smart thermostats

Smart Habits

  • Boil only the water you need
  • Take shorter showers
  • Utilise off-peak electricity plans with smart meters
  • Switch off lights when leaving rooms

Frequently Asked Questions About Electricity Network Charges

Electricity network charges typically represent 25% to 40% of your total electricity bill. They appear as fixed daily charges or per-unit consumption fees, often listed as TUoS and DUoS line items.
No, network charges are regulated by the CRU and remain the same regardless of which electricity supplier you choose. Switching suppliers can save you money on the energy portion of your bill, but network charges stay constant.
Key factors include ambitious renewable energy integration requiring grid upgrades, aging infrastructure needing modernisation, rising electrification demand from electric vehicles and heat pumps, and inflationary pressures on materials and labour.
TUoS (Transmission Use of System) charges cover the high-voltage transmission networks managed by EirGrid and ESB Networks, while DUoS (Distribution Use of System) charges cover lower-voltage local distribution systems.