A typical Irish household using about 4,200 kWh of electricity a year (the CRU’s reference figure) can expect an annual bill in the region of €1,500 to €1,900 in 2026, depending on supplier and tariff. That works out at roughly €125–€160 per month. Below we break down exactly how that number is built up and how to bring it down.

What makes up your electricity bill

Every Irish electricity bill is built from three charges plus VAT:

  1. Unit rate — what you pay for each kilowatt-hour (kWh) of electricity you actually use.
  2. Standing charge — a fixed daily fee for being connected to the grid. You pay it even if you use nothing.
  3. PSO levy — the Public Service Obligation levy, a government charge supporting renewable and security-of-supply generation.

VAT on domestic electricity is currently 9%, and the unit and standing-charge figures suppliers quote are usually inclusive of it.

Current unit rates

The unit rate is the biggest variable. SEAI publishes quarterly reference rates from the EU Price Survey, and suppliers set their own:

SourceBand / productUnit rate
SEAI reference (Band DC)2,500–5,000 kWh/yr40.42 c/kWh
SEAI reference (Band DD)5,000–15,000 kWh/yr34.38 c/kWh
Electric IrelandStandard33.95 c/kWh

Most homes without electric heating fall in Band DC, so that is the most representative reference rate for an average household.

Source: SEAI Domestic Fuel Cost Comparison, 1 April 2026

The PSO levy

The PSO levy is set annually by the CRU and applied to every electricity account:

The current PSO levy is €1.46/month.

Source: SEAI, 1 December 2025

An illustrative annual calculation

Here is an illustrative bill for a home using 4,200 kWh/year at the SEAI Band DC unit rate of 40.42 c/kWh. Standing charges vary by supplier (typically around €0.80–€1.00 per day, or roughly €300–€370 per year) and have no published data id, so we show them as a labelled range.

ComponentIllustrative figure
Energy: 4,200 kWh × 40.42 c/kWh~€1,698
Standing charge (~€0.90/day)~€330
PSO levy~€18/year
Illustrative annual total~€2,046

On a cheaper supplier tariff (for example Electric Ireland’s standard rate of 33.95 c/kWh), the energy portion drops to around €1,426, pulling the illustrative total closer to €1,770. These are illustrative figures only — your actual bill depends on your exact tariff, standing charge and consumption.

The takeaway: the unit rate drives most of the bill, which is why shopping around matters so much. See our regularly updated cheapest electricity tariffs guide for current supplier rates.

How your usage compares

Household typeTypical annual useLikely SEAI band
Apartment / low use2,000–3,000 kWhDA / DC
Average family home~4,200 kWhDC
Home with heat pump or EV6,000–15,000 kWhDD

If you have a heat pump or EV, you will use far more electricity but can offset it with a night-rate tariff — see our note on average gas bills and heat pump vs oil running costs for how heating choices change the picture.

Practical ways to cut your electricity bill

  • Switch supplier: new-customer discounts of 20–30% off standard rates are common. The CRU’s compareenergy.ie lists every plan. Switching is free and takes minutes.
  • Use a night-rate tariff if you have a heat pump, EV or storage heating — night units can be less than half the day rate.
  • Cut standby loads: TVs, consoles and chargers left on can add 5–10% to a bill. Smart plugs help.
  • Switch to LED lighting — roughly 90% less energy than old halogen or incandescent bulbs.
  • Improve your BER — a better-insulated, more efficient home uses less. See how to improve your BER rating.
  • Consider solar PV — generating your own daytime electricity cuts imported units. See solar PV costs in Ireland.

Next steps

The single fastest saving is usually a supplier switch. Compare live rates in our cheapest electricity guide, and if you are planning insulation or a heat pump, check your grant eligibility before you spend.