GAS prices in the Isle of Man are being increased again following rising fuel costs.

Manx Gas has today announced that adjustments will be made to gas tariffs from August 1.

Those customers who use liquid petroleum gas (LPG) will be worst affected with an increase of 0.75p per unit (8 per cent) for all metered tariffs, mini bulk and cylinder tariffs. There will be a 0.16p per unit increase (2.5 per cent) for all natural gas customers.

Tony Nicholls, the managing director of Manx Gas, said: "It is very unfortunate that we have to announce another fuel cost adjustment this year.

"The well publicised increases in world prices for energy continue to affect us all and despite our efforts to secure the best prices for our customers by buying ahead, natural gas costs have continued to increase and are forecast to stay high for the remainder of 2011.

"The cost of LPG has increased far beyond our forecast and we paid significantly more for the feedstock during the spring months than we had budgeted. To compound this the outlook is for prices to stay at a high level for the remainder of 2011.

"We will continue to review wholesale prices throughout the coming months to ensure all tariffs reflect prices on the energy markets. Both downward and upward movements are possible as the market forecasts do not always prove accurate."

Customers who use 10,000 units of LPG per year can expect to pay an additional £75 per year. Customers who use 10,000 units of natural gas per year can expect to pay an additional £16 per year.

Gas prices were last increased in October last year. For more information click here.

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