Beat the Price Increases and Save Money on Electricity in 2026
Don't let rising electricity costs catch you out. Call Selectra today for expert advice on switching providers and finding the cheapest deal on electricity. Prices shown include recently announced price increases and cashback offers.
Variable Rate
Fixed Rate
32% Discount
As we move into 2026, many Irish households are asking the same question: will our electricity bills finally return to pre-crisis levels, or are further increases on the horizon? After a rollercoaster few years in the energy market, the outlook for 2026 is a mixed bag of stabilising wholesale costs and rising regulatory charges.
At Selectra, we’ve analysed the latest data from the Commission for Regulation of Utilities (CRU), EirGrid, and the top Irish suppliers to bring you this comprehensive forecast.
Here is everything you need to know about electricity prices in Ireland for 2026.
Electricity Bills Costing You Too Much in 2026?
Talk to us here at Selectra and we can help you make the right choice and save money!
Call Today to Switch Energy Providers and Save On Your Energy Bills
We're currently closed but please leave us your number and we'll give you a free call as soon as we're open!
Entering the first quarter of 2026, Ireland remains one of the most expensive countries in Europe for domestic electricity.
While wholesale gas prices have stabilised significantly since the 2022-2024 energy crisis, retail prices have been slow to follow suit.
| Metric | Average Cost (Jan 2026) |
|---|---|
| Unit Rate per kWh | 36.34c |
| Average Annual Bill (Standard 24hr) | €1,817.12 |
| Cheapest Unit Rate | 28.80c (Community Power) |
| Cheapest Annual Bill | €1,299.52 (Yuno Energy) |
Note: Estimates are based on a standard, 24-hour urban meter with average annual consumption of 4,200 kWh.
Despite wholesale energy costs levelling off, several "hidden" factors are pushing bills upward.
The CRU recently approved a massive investment framework known as Price Review 6 (PR6). Over the next five years, up to €18.9 billion will be spent to modernize the Irish grid.
While this is essential for connecting more renewable energy and preventing blackouts, it comes at a cost to the consumer.
Residential customers can expect to see an increase in the "network charges" portion of their bill, adding an estimated €29 to €101 per year depending on consumption and meter type.
The CRU has mandated that the national grid requires an €18.9 billion overhaul to handle the influx of offshore wind and the massive demand from data centres.
The Irish government’s plan to reach a carbon tax of €100 per tonne by 2030 continues. On May 1, 2026, the carbon tax on gas and solid fuels will increase to €71 per tonne.
While this doesn’t apply directly to electricity-only customers, it will significantly impact those on Dual Fuel plans, adding roughly €20-€30 to the average annual gas bill.
Ireland still relies on natural gas for approximately 50% of its electricity generation.
Because the Irish market is small and at the "end of the pipe" in Europe, we are more vulnerable to global gas price spikes caused by geopolitical tensions.
If international gas prices rise in late 2026, Irish electricity suppliers are likely to pass those costs on quickly.
In a significant move for the cost of living, the government confirmed in Budget 2026 that the 9% reduced VAT rate on electricity and gas will stay in place until December 31, 2030.
Without this extension, bills would have jumped by nearly 5% overnight.
By June 1, 2026, the five largest suppliers (Electric Ireland, Bord Gáis Energy, SSE Airtricity, Energia, and PrePayPower/Yuno) must offer Dynamic Price Plans.
These tariffs change every 30 minutes based on real-time wholesale market prices.
Unlike standard "Time of Use" plans, which have fixed peak and off-peak hours, dynamic tariffs track the EirGrid wholesale spot market.
This represents the biggest shift for Irish consumers since market deregulation.
| Feature | Standard Smart Plan | Dynamic Price Plan |
|---|---|---|
| Price Logic | Fixed day/night/peak rates. | Changes every 30 minutes. |
| Savings Potential | Moderate (approx. 10–15%). | High (up to 40% if automated). |
| Risk Level | Low; prices are predictable. | Higher; prices can spike during low wind. |
💡 Smart Automation
To truly benefit from dynamic pricing, households should look for "smart" appliances or EV chargers that can automatically trigger when rates drop below 10c per kWh during high-wind periods.
If you have a smart meter and can run your heavy appliances when wind energy is high and demand is low, you could pay significantly less than the national average unit rate.
The Public Service Obligation (PSO) levy , which supports renewable energy, has been reduced for the 2025/26 period.
As of December 2025, it sits at roughly €1.46 per month for households, a 27% drop from the previous year. This small saving helps offset the rising network charges mentioned above.
Despite the market stabilizing, the "loyalty tax" remains a significant issue in Ireland.
Data from 2025 showed that over 50% of Irish households are currently on "Standard Variable Rates" because they haven't switched in over 12 months.
Most Irish suppliers offer a discount (often 10% to 25%) that is applied to their unit rate for the first 12 months only.
Our recommendation for 2026: Treat your electricity like your car insurance. If you have been with the same provider since January 2025, you are almost certainly overpaying.
Even if the market average stays high, you don't have to pay the "Standard" rate.
Here are the three best ways to lower your bill this year:
In the Irish market, loyalty does not pay. Most "New Customer" discounts expire after one year, often jumping from a 20% discount to the standard rate.
Switching providers in 2026 can save the average household up to €423 per year.
If you have an ESB Smart Meter, 2026 is the year to use it.
Beyond the new dynamic tariffs coming in June, existing " Time of Use" (ToU) plans offer "Free Electricity Saturdays" or very cheap night rates for EV owners.
Moving just 20% of your energy use to off-peak hours can slash your bill.
With electricity prices remaining stubbornly high (averaging 3.5x higher than 1996 levels), the "payback period" for solar panels has dropped significantly.
In 2026, a typical solar installation in Ireland can pay for itself in 5 to 7 years, especially with the continued SEAI grants and zero-VAT on installations.
With grid electricity prices remaining high, 2026 is seeing a record number of Irish households turning to microgeneration.
Generating your own power is no longer just a "green" choice; it is now one of the most effective ways to hedge against future price hikes.
In a major win for homeowners, the government confirmed that the SEAI Solar PV grant will remain at a maximum of €1,800 for 2026.
Additionally, the 0% VAT rate on the supply and installation of solar panels continues to save households thousands on upfront costs.
The Clean Export Guarantee (CEG) allows you to sell your surplus solar energy back to the grid.
In 2026, the rates offered by suppliers have become increasingly competitive.
| Supplier | 2026 Microgen Export Rate (per kWh) |
|---|---|
| SSE Airtricity | 32.0c (Active8 Premium) |
| Pinergy | 25.0c |
| Energia | 20.0c |
| Electric Ireland | 19.5c |
| Bord Gáis | 18.5c |
| Yuno Energy | 15.89c |
💡 Selectra Pro Tip
Under current Irish law, the first €400 of income earned through the CEG is completely tax-free until at least 2030.
A major reason for the "stable" outlook toward the end of 2026 is the Celtic Interconnector. This 575km undersea cable is expected to begin full commercial operation this year.
Direct Access to France: Ireland will no longer be solely reliant on the UK for energy imports.
Cheaper Nuclear/Solar: During periods of low wind in Ireland, we can import low-carbon energy from the French grid at a lower cost.
Export Potential: When Irish wind production is at its peak, we can export surplus energy, which helps subsidize the cost of the PSO levy for everyone.
So, will electricity prices go up in 2026? The answer is yes and no. You will likely see the fixed portion of your bill (standing charges) increase by roughly €30 to €50 over the year due to necessary grid investments.
However, the unit rate you pay for each kWh is expected to remain relatively stable or even decrease slightly by the end of 2026 as the Celtic Interconnector comes online and renewable capacity increases.
Ready to see how much you could save with solar or a cheaper tariff?
Call Selectra today on (01) 913 1771 for a free energy comparison and start saving on your 2026 bills!
Read More Of Our Guide Articles
The services and products mentioned on this website may only represent a small selection of the options available to you. Selectra encourages you to carry out your own research and seek advice if necessary before making any decisions. We may receive commission from selected partner providers on sales of some products and/or services mentioned within this website. Our website is free to use, and the commission we receive does not affect our opinion or the information we provide.
Looking for Lower Energy Bills in 2026?
