Electricity Prices Rising Again in Northern Ireland: What It Means for Solar Savings
Click Energy has announced a 9.5% price increase from April 2026, pushing rates to 38.8p per kWh. Here's what rising electricity costs mean for solar panel savings in Northern Ireland.
Another Price Rise for NI Electricity Customers
Click Energy has written to customers confirming a 9.5% increase in their electricity tariff, effective 1 April 2026. The new rate is 38.808p per kWh including VAT, with a standing charge of 10.219p per day.
For a household using 3,500 kWh per year (a typical NI three-bedroom home), that works out at approximately £1,396 per year on electricity alone, before the standing charge adds another £37 per quarter.
This is not an isolated increase. Electricity prices in Northern Ireland have been climbing steadily for years, with multiple suppliers raising rates throughout 2024, 2025, and now into 2026. The underlying cause remains the same: wholesale energy costs, driven primarily by gas prices, continue to put pressure on retail tariffs.
What NI Households Are Paying Right Now
Northern Ireland has a smaller electricity market than Great Britain, with fewer suppliers competing for customers. As of spring 2026, typical unit rates across the main NI suppliers look like this:
| Supplier | Unit Rate (inc. VAT) | Standing Charge (inc. VAT) |
|---|---|---|
| Click Energy (from 1 Apr) | 38.808p/kWh | 10.219p/day |
| Power NI | ~27-30p/kWh | ~11p/day |
| SSE Airtricity | ~28-31p/kWh | ~10p/day |
| Budget Energy | ~26-29p/kWh | ~10p/day |
Rates are approximate and depend on tariff type. Check your supplier’s current rate on your latest bill.
The gap between the cheapest and most expensive suppliers in NI can be significant. If you are on Click Energy’s new tariff and have not compared alternatives recently, it is worth checking whether switching could save you money. The Consumer Council for Northern Ireland provides independent comparison tools.
But even the cheapest NI supplier charges more than 25p per kWh, and that figure has only gone in one direction over the past decade.
What This Means for Solar Panel Savings
Every time electricity prices go up, the financial case for solar panels gets stronger. Here is why.
A typical 4kW solar panel system in Northern Ireland generates around 3,400 kWh of electricity per year. Every unit you generate and use directly in your home is a unit you do not buy from the grid. The higher the grid price, the more each self-consumed unit saves you.
Savings Comparison at Different Electricity Rates
| Electricity Rate | Annual Solar Savings (50% self-consumption) | Annual Solar Savings (70% with battery) |
|---|---|---|
| 24p/kWh | £408 | £571 |
| 28p/kWh | £476 | £666 |
| 30p/kWh | £510 | £714 |
| 39p/kWh (Click Energy) | £663 | £928 |
Based on a 4kW system generating 3,400 kWh/year. Self-consumption of 50% means 1,700 kWh used directly; 70% means 2,380 kWh used with battery storage.
At Click Energy’s new rate of 39p per kWh, a 4kW solar system with battery storage could save you nearly £930 per year. That transforms the payback calculation.
Payback Period at 39p/kWh
| System | Typical Cost | Annual Saving (39p, 50% self-use) | Payback |
|---|---|---|---|
| 3kW (no battery) | £5,000-£6,500 | £500 | 10-13 years |
| 4kW (no battery) | £6,000-£8,000 | £663 | 9-12 years |
| 4kW + 5kWh battery | £9,000-£12,000 | £928 | 10-13 years |
| 6kW + 10kWh battery | £12,000-£16,000 | £1,250 | 10-13 years |
At lower electricity rates, payback periods typically sit around 10 to 14 years. At 39p per kWh, they compress noticeably, and the total lifetime savings over 25 years increase substantially.
The Real Cost of Solar Electricity
The effective cost of generating your own electricity with solar panels works out at approximately 6 to 9p per kWh over the 25-year lifespan of a typical system.
That is calculated simply: divide the total installation cost by the total lifetime generation.
- A £7,000 system generating 3,400 kWh per year over 25 years = 85,000 kWh total
- £7,000 / 85,000 kWh = 8.2p per kWh
Compare 8p per kWh to Click Energy’s 39p per kWh, and the difference is stark. You are paying less than a quarter of the grid rate for every unit of solar electricity you use.
And unlike grid electricity, your solar cost is fixed at the point of installation. There are no annual price increases, no supplier notifications, no tariff changes. The panels sit on your roof generating electricity at the same cost per unit for the next 25 years, regardless of what happens to wholesale gas prices.
Should You Switch Supplier or Go Solar?
The honest answer is both, if the numbers work for your household.
Switching supplier is a quick win. If you are paying 39p per kWh with Click Energy, moving to a supplier charging 27p would save you roughly £420 per year on a 3,500 kWh usage. That takes effect immediately and costs nothing.
Installing solar panels is a longer-term investment. The upfront cost is significant, but the payback is guaranteed as long as the sun rises. And unlike switching supplier, solar protects you against future price increases from any supplier.
The two strategies work well together. Switch to the cheapest available supplier to reduce your immediate costs, and install solar panels to lock in a portion of your electricity at 6-9p per kWh for the next 25 years. As grid prices continue to rise, the solar portion of your electricity becomes increasingly valuable.
What You Can Do Right Now
If Click Energy’s price increase has prompted you to think seriously about solar panels, here are the practical next steps:
-
Check your current electricity rate. Look at your latest bill and note the unit rate. This is the figure your solar savings will be calculated against.
-
Understand your usage. A typical NI household uses 3,000-4,500 kWh per year. Your annual usage determines the right system size.
-
Compare solar panel quotes. Prices vary significantly between installers. Homeowners who compare at least three quotes save an average of £800 on their installation.
-
Check grant eligibility. The Warm Homes Plan and other schemes may cover part of the cost if you meet the eligibility criteria.
-
Factor in 0% VAT. Domestic solar panel installations in Northern Ireland are zero-rated for VAT until at least March 2027, reducing the upfront cost.
Rising electricity prices are not something you can control. But you can choose how exposed your household is to them. Solar panels give you that choice.
Frequently Asked Questions
How much is electricity per kWh in Northern Ireland in 2026?
Electricity rates in Northern Ireland vary by supplier. As of April 2026, Click Energy charges 38.808p per kWh including VAT, with a standing charge of 10.219p per day. Other suppliers such as Power NI and SSE Airtricity have their own tariff rates, but most NI households are paying between 27p and 39p per kWh depending on their supplier and plan.
How much can solar panels save with electricity at 39p per kWh?
At 39p per kWh, every unit of solar electricity you generate and use directly saves you 39p. A typical 4kW system in Northern Ireland generates around 3,400 kWh per year. With 50% self-consumption, that is roughly 1,700 kWh you avoid buying from the grid, saving approximately £663 per year on electricity bills alone.
Is it worth switching energy supplier or getting solar panels?
Switching supplier can save you money in the short term, but you remain exposed to future price increases from whichever supplier you move to. Solar panels fix a portion of your electricity cost for 25+ years. The two strategies are not mutually exclusive. You can switch to a cheaper supplier and install solar panels to reduce your overall exposure to rising grid prices.
Why are electricity prices going up in Northern Ireland?
Suppliers cite continued rises in wholesale energy costs as the primary reason. Northern Ireland's electricity market is smaller than Great Britain's, with fewer suppliers competing, which can lead to higher retail prices. Wholesale gas prices, which still drive most electricity generation costs, remain elevated compared to pre-2021 levels.
How much does it cost to generate your own electricity with solar panels?
The effective cost of solar electricity over a panel's 25-year lifespan works out at approximately 6 to 9p per kWh. That is calculated by dividing the total installation cost by the total lifetime generation. Compare that to 27-39p per kWh from the grid, and the saving is substantial.
Will electricity prices keep going up in Northern Ireland?
Historical trends suggest yes. NI electricity prices have increased by an average of 5-8% per year over the past decade, with sharper spikes during the 2022-2023 energy crisis. While prices may stabilise temporarily, the long-term direction has been consistently upward. Solar panels provide a hedge against this trend.
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