Island Energy, the provider of energy to households on the Isle of Man, has announced it does not plan to alter its current charging structure, which includes standing charges.
This announcement follows the UK Autumn Budget, where Chancellor John Healy revealed plans to remove standing charges—fixed daily fees applied regardless of energy consumption—from household gas bills in England, Scotland, and Wales. The costs previously covered by these charges will instead be redistributed to the unit rate of energy consumption.
Island Energy stated that any proposed changes to its charging model would require consultation with the Communications and Utilities Regulatory Authority (CURA) on the Isle of Man. A spokesperson for the company cautioned that while removing standing charges might benefit some customers, it could lead to increased costs for others.
"The cost currently covered by the standing charge would instead be recovered through the unit price of energy," an Island Energy spokesperson explained. "This means customers who use less energy could save money, while those who use more could see their bills increase."
Island Energy Group serves approximately 40,000 domestic, commercial, and industrial customers across Guernsey, Jersey, and the Isle of Man. The company emphasized that any shift in its charging structure would necessitate the explicit support of the community, the relevant regulator, and the government.
CURA has been contacted for comment regarding the matter.