A report on the wholesale energy market from Vayu says wholesale gas prices in November were 26 per cent lower than the same month last year, due to a surge in production from Norway and a drop in demand due to milder weather. Prices were down 6 per cent last month on October, says the report.

Irish wholesale gas prices are 35 per cent down for November on that month’s average of the previous three years, says Vayu, which has cut costs significantly for industrial and commercial users who buy on the wholesale market.

"Bearish sentiment has taken a firm hold of the market with gas prices experiencing significant downward pressure as a result of strong exports from the North Sea and Russia," says Vayu's Gillian Lawler.

“Increased gas supply and lower weather-driven demand are more than offsetting the effect of reduced output from the Netherlands and lower gas storage levels in Europe year on year.”

Wholesale electricity prices were down 21 per cent in November compared to the same month last year, or 7.5 per cent when compared with October. Vayu said the drop was attributable to strong wind generation and lower prices for gas.