Cork food store receives €24k electricity bill

A WELL-KNOWN Cork food store that was landed with a €24,407 ESB bill for the first two months of this year, is calling for the reduction in wholesale electricity prices to be urgently ed on to consumers in the coming months.

Gourmet caterer and grocer, Fitzpatrick’s Foodstore in Glounthaune, has been in business for 80 years, and has fed generations of Corkonians. 

Manager Kerri O’Neill is the fourth generation of her family to run the business, famed for its fresh baking, sandwiches, delicatessen, and ice-cream cones.

Kerri said it wasn’t the first huge bill her business, which employs 75 people and supplies up to 1,200 lunches per day, received.

The increasingly onerous bills are making life impossible for small to medium size businesses, she said. 

“It’s not the first bill of its kind. When it came in on Tuesday, we got a bit of a land when you see that figure in print,” she said.

The bill for the same period last year was about €14,000, meaning it has nearly doubled in 12 months. 

“It’s a big jump. Our rates, which were very high for us, doubled last June when our contract finished.

“The problem is that we got our first bill of this nature in September. Now we’re starting into a new year and we’re facing a full 12 months with rates like this, and that’s a bit more daunting.” 

Fitzpatrick’s will have to change its pricing if bills continue to increase, having a knock on effect on customers. “When we change pricing, there’s always a risk that you won’t get as many customers in.” 

Kerri doesn’t expect to have to let staff go, but the future looks tough with rising energy and labour expenses.

CONSUMPTION REDUCTION

The business has managed to reduce its energy consumption for the first two months of this year by 16 per cent. This was achieved by physically removing 20 per cent of the lights in the ceiling of the main shop floor. 

The refrigerators and the aircons were adjusted, and new doors were fitted.

“It’s all small things. When I get up to leave my office, I turn off the light in my office. I used never do that before,” said Kerri. 

“All the team are watching the ovens, that they’re not left on. Turning off extractor fans. All those small things have added up.” 

Wholescale energy prices have reduced but energy providers have yet to on the reduction to consumers. “I would be urgently calling for that,” said Kerri. 

“I would implore any bodies that represent businesses to call for that, as well as the Government. There is a lot of money being made on electricity, I have no doubt about that.” 

The Government would be better off tackling energy inflation than providing subsidies and grants, she said. “They’re never going to tackle the inflation that’s going on in food with a basic operational cost like this, sitting at where it is.” 

Meanwhile, Fitzpatrick’s has availed of the Temporary Business Energy Scheme (TBESS), in January. Applying to the scheme involved huge paperwork, which can prove challenging for business owners.

“I think that’s deterred some businesses from doing it. I would really encourage every business, no matter your size, to apply. If your bills have doubled, you can get at least 40 per cent of the excess back. 

"I believe that from March, they have changed that to 50 per cent. But they’re only doing that until the end of April.” 

“We probably have more demand in summer as our fridges are working harder with higher temperatures,” added Kerri.