ISLANDERS pay less for electricity than comparable jurisdictions despite a lack of competition in Jersey, according to a market review by the Jersey Competition Regulatory Authority.
But the JCRA recommended that Jersey Electricity should make it easier to switch between tariffs.
And the competition watchdog warned that prices could go up, for example due to changes to wholesale supply, decarbonisation initiatives or increased investment.
The JCRA review found that, despite a lack of competition, Jersey Electricity did well compared to “similar organisations” elsewhere.
Prices rose by 7.5%, above the current rate of inflation, at the start of this year following what Jersey Electricity described as “turmoil” in the international energy markets.
The new year price rise adds around £2 to the existing weekly electricity bill of around £27 for the average Jersey household.
In its latest review, the JCRA compared prices in Jersey with those in Guernsey, the Isle of Man, Great Britain, Malta and France. Only Malta had lower prices, the report found.
And despite there being cheaper tariffs available, the majority of domestic consumers (52%) and business consumers (92%) were on the general tariff, the report found – though more people had switched tariffs, so the number was reduced by 6% between 2018 and 2023.
Tim Ringsdore, chief executive of the JCRA, said: “The study shows that Jersey’s electricity prices compare well relative to other jurisdictions, but the sector faces ongoing challenges and uncertainty.
“We have set out forward-looking recommendations to improve consumer outcomes and help reduce market uncertainty, and look forward to seeing these being taken forward. We will monitor developments in this market and this will support our future review of the market.”
