30-Second Overview
From 1 October 2024, electricity suppliers in Ireland will charge significantly more due to increased regulated grid fees and the return of the PSO levy. Businesses face a rise of about 1.5 c/kWh during daytime and 0.9 c/kWh at night. These charges are mandatory and not profit-driven - they support grid upgrades, renewable energy integration, and Ireland’s energy transition. While unavoidable, smart efficiency measures and competitive tariffs can help offset the impact.
Note: The latest Electricity Electricity Regulatory Charges for 2025/26 has been approved and replace the Regulatory Charges for 2024/25 on 1 October 2025.
Understanding the 2024/25 Increase in Electricity Regulatory Charges
Every year, the Commission for Regulation of Utilities (CRU) reviews Ireland’s electricity regulatory charges, also known as non-energy charges or pass-through charges. These are updated annually on 1 October and remain in effect until 30 September of the following year.
For 2024/2025, the CRU has approved a sizable increase in these charges, which will affect all electricity consumers because suppliers are legally required to pass them through at cost, without any profit margin.
Key Facts About the Increase
- Effective Date: 1 October 2024.
- Impact on Rates: +1.5 c/kWh to daytime electricity rates & +0.9 c/kWh to nighttime rates.
- Reason for Increase: Higher costs for upgrading and maintaining the electricity grid; Infrastructure upgrades to support microgeneration and greater renewable energy integration; New offshore wind farm interconnection projects; and, Improved interconnection with Europe.
Where the Money Goes
The revenue from regulatory charges goes directly to ESB Networks and EirGrid to fund the development, operation, and maintenance of Ireland’s electricity grid.
Link to Ireland’s Renewable Targets
This increase reflects the cost of achieving Ireland’s renewable energy and carbon reduction goals. As renewable generation and microgeneration grow, significant investment is needed in grid infrastructure—and that cost is shared among electricity users, typically in proportion to their energy usage.
PSO Levy Reinstatement
From 1 October 2024, the PSO levy is also being reinstated, adding a further fixed cost to electricity bills. Full details on the PSO levy can be found in our PSO Levy 2024/2025 Guide.
How Much are Regulatory Charges Increasing by in 2024/2025?
The table below shows the approximate impact of increased electricity transmission and distribution charges, based on average usage profiles. The exact figure will differ slightly between users.
Electricity Pass Through Charges (non-energy)
GP / DG5 Meter Category
| Meter Category | 2023 / 2024 pass-through charges (cent per kWh) |
2024 / 2025 pass-through charges (cent per kWh) |
Increase (cent per kWh) |
|---|---|---|---|
| 24 hour rate | 11.86c | 13.27c | + 1.41c |
| Daytime rate | 13.37c | 14.90c | + 1.53 |
| Nighttime rate | 4.75c | 5.65c | + 0.9c |
LVMD / DG6 Meter Category
| Meter Category | 2023 / 2024 pass-through charges (cent per kWh) |
2024 / 2025 pass-through charges (cent per kWh) |
Increase (cent per kWh) |
|---|---|---|---|
| Daytime rate | 9.16c | 10.67c | + 1.51 |
| Nighttime rate | 6.58c | 7.50c | + 0.92c |
Unfortunately, electricity suppliers must pass through changes in regulatory costs to electricity customers. The suppliers are simply collection agents for regulatory charges via customer bills and do not take any profit on those charges.
The only way to counter the charges is to use less electricity with energy-efficient practices and by making sure that you are on the best electricity deal in the market. Our energy experts can review your electricity bills and make sure that you are on the best possible electricity plan.
What are Electricity Regulatory Charges?
There are two main components to the electricity regulatory charges:
- Transmission of system charges: These are charges for building, maintaining and operating the electricity transmission network. The charges provide the required funds to Eirgrid (who operates the transmission system) and ESB Networks (as the owner of the electricity grid). This is the national electricity grid, the high voltage wires that carry electricity from one part of Ireland to another, and interconnectors with electricity generation assets such as power stations and onshore or offshore wind farms.
- Distribution use of system charges: These are charges for building, maintaining and operating the electricity distribution network. The charges provide the required funds to ESB Networks, who operate local electricity distribution networks. This includes local electricity substations, low-voltage electricity wires that bring electricity to buildings, and the electricity metering system.
The network companies responsible for electricity transmission and distribution are ESB Networks and Eirgrid.
The CRU reviews budgetary requests from the network companies each year. Additional allowances are approved where the CRU considers they are needed, are in line with government objectives, and will provide a benefit to the consumers.
Why are Electricity Transmission & Distribution Charges Being iIncreased?
The electricity grid must be invested in, expanded and modernised on an ongoing basis to provide a secure and uninterrupted electricity supply. With no investment, the electricity assets would deteriorate, resulting in blackouts. There would be an inability to connect new buildings and businesses, with severe economic implications to both national productivity and employment.
Ireland is going through an unprecedented change in our demand for electricity. This includes:
- Normal economic expansion with businesses growing;
- Large electricity demand coming from data centres;
- Commercial and domestic microgeneration requiring the ability to export back to the grid;
- Domestic customers are placing more demand on the grid as fossil fuel heating systems and transport are replaced with electric alternatives such as heat pumps and electric cars.
Specifically, the increased cost is due to transmission charges being increased by 38% with the revenue requirement set at €1.4 billion. Distribution charges are being reduced by 5% this year, with the revenue requirement set at €1.1 billion.
The CRU decision papers are available but clicking DUoS 2024/2025 charges and TUoS 2024/2025 charges.
How Utilityfair Can Help you Reduce Business Electricity Costs?
Electricity regulatory charges are unavoidable. However, you can reduce your total electricity bill by securing a more competitive electricity supply rate. That's where Utilityfair comes in. You can quickly compare rates from all suppliers in one place, completely free. No more wasting time phoning each supplier individually or waiting on hold. We will:
- Analyse your meter type and usage profile.
- Compare fixed, flexible, and tracker tariffs.
- Identify any hidden charges and unbundled costs.
- Monitor your contract expiry so you're never auto-rolled to expensive rates.
👉 Ready to Start Saving?
Fill out our enquiry form, click the link below or call 01 547 0999 to speak with a Utilityfair energy expert to start saving.
Frequently Asked Questions
Electricity regulated charges (also called "pass-through" or "non-energy" charges) are costs approved by the CRU to maintain and develop the electricity grid. These charges are included in your electricity bill but do not generate profit for suppliers.
The increase is due to higher costs for grid upgrades, supporting renewable energy projects, connecting offshore wind farms, and expanding interconnectivity with Europe. These changes align with Ireland’s renewable energy and carbon reduction goals.
In 2024/2025, daytime electricity rates will increase by 1.5 cents per kWh, while nighttime rates will rise by 0.9 cents per kWh. The impact varies depending on your meter category and usage.
The revised charges will apply from October 1, 2024, and remain in effect until September 30, 2025.
Yes, by using energy-efficient practices, reducing consumption, and ensuring you’re on the best available electricity plan. Fill in our enquiry form or give us a call on 01 547 0999, and we will help identify cost-saving opportunities.
Regulatory charges are rising - not your supplier’s profit. These increases fund essential grid improvements and renewable generation support.
No - they’re mandatory. But you can mitigate costs by improving energy efficiency and switching to competitive tariffs.
Improved renewable generation output and market price shifts mean less subsidy is needed, reducing the PSO levy cost.
No - suppliers simply pass through regulated charges and do not take any markup.