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  1. ITV Report

Guernsey electricity prices set to rise to pay for new £30m cable

The company says the new cables will cost thirty million pounds which will be financed by a States loan. Credit: ITV Channel TV

Guernsey Electricity has signed a contract to replace the cable links between Guernsey and France, via Jersey.

The company says the new cables will cost £30 million which will be financed by a States loan.

Customers' bills will go up by approximately £29 per year to help pay for the project.

We had always anticipated replacing our link with Jersey and this infrastructure investment has been brought forward due to significant reliability issues with the existing cable. These issues were resulting in additional monthly costs of between £800k and £1 million.

The replacement of the cable will allow us to return to importing up to 60MW of low carbon affordable electricity from France as soon as practically possible. To not replace and continue with the existing cable would undoubtedly cost the Island more financially and environmentally.

– Alan Bates, chief executive of Guernsey Electricity