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UFU warn against peak electric charges in NI

The Ulster Farmers’ Union (UFU) has called on Northern Ireland (NI) authorities not to follow the Republic of Ireland (ROI) and introduce surcharges on using electricity at the peak of the day. The Commission for the Regulation of Utilities (CRU) in ROI proposed the introduction of a tariff between the peak times of 5:00pm to 7:00pm.

Commenting UFU dairy committee chair Kenny Hawkes said, “A tariff on the use of electricity between 5pm – 7pm would be financially damaging to dairy farmers across NI if it were to be introduced in a similar fashion to the proposal in ROI. Those specific hours in the evening is when most dairy farmers do their second milk of the day and its not a option for them to change this. Milking twice in the space of 24 hours, seven days a week, is the norm with the first milk happening in the early morning.

“The proposed charge in ROI is to encourage electricity customers to manage their usage between these hours to lessen the demand on the national grid and the risk of blackouts this winter. However, farmers, and especially dairy farmers, cannot not rearrange their farming day to avoid peak use of electricity as milking times are best suited to the dairy herd and milking system.

“Last week, UFU senior dairy policy officer attended the latest meeting of the CBI NI Energy Forum. The consensus was that there is no likelihood of black outs here despite having an ‘all-island’ electricity grid. The dynamics do differ between NI and the ROI in terms of energy use.”

Aside from the impracticalness of the proposal, farmers are already struggling to manage soaring energy, feed, fuel and fertiliser costs without the added pressure of extra electricity costs.

“Soaring production costs coupled with the cost-of-living crisis is already impacting farmers’ confidence around food production as we move towards what is shaping up to be a very tough winter. The last thing farmers need is for NI authorities to agree on a move that will increase electricity costs at a time when charges are already at record level and cannot be absorbed any further,” said Mr Hawkes.