The Society of St Vincent de Paul (SVP) says energy price increases over the winter months could force low income households to go without heat and light.

In addition to increases last month by two companies, SVP says other suppliers will increase their rates in December and January.

These also follow significant hikes in gas and electricity prices in August.

Over a 12 month period, this equates to roughly €300 more a year for the average dual fuel bill.

The charity says this means an increase in fuel allowance, announced in Budget 2019, would be "completely wiped out."

However SVP welcomes that Electric Ireland recently announced a hold on any price increases over the coming months.

While an announcement that PrePay Power will also delay their price increase has also been welcomed, SVP is urging other providers to follow these examples.

Caroline Fahey is head of social justice at SVP: "For many thousands of people that SVP supports, opening a utility bill is a major source of stress and these price increases are really going to hit struggling households hard, as so many are already finding it difficult to make ends meet.

"It also means that the increase in the fuel allowance in Budget 2019 will be completely wiped out by the latest hikes".

Pay-As-You-Go 'poverty premium'

SVP recently carried out a price comparison of the main suppliers, and found that Pay-As-You-Go (PAYG) customers can pay anywhere between €103 and €274 extra per year based on standard electricity consumption.

"The uptake in PAYG hardship meters has significantly reduced the number of disconnections among customers in financial difficulty, which is obviously positive.

"But PAYG customers are often subject to a 'poverty premium' as they cannot avail of online offers or discounts for using direct debit or online billing", Ms Fahey says.

She also says that there is also a practice whereby retail outlets surcharge top-ups, adding additional unnecessary charges to these customers.

"Another downside is that when households have greater control over their energy spend, they are more likely to go without.

"The reality is that because a €20 top-up is going to go a lot less further than this time last year, self-disconnections are likely to increase".

It is estimated that 28% of people in Ireland experience energy poverty and in 2017, SVP spent over €4m helping households with fuel costs and utilities.

Data from Eurostat shows that amongst EU peer countries, Ireland has the second highest rate of households who cannot afford to adequately heat their home and the highest percentage of utility arrears.

A report published in August also shows that Irish consumers are being forced to pay more for gas and electricity than other EU countries.