How energy VAT reduction affects the Government Electricity Credit

A happy family sitting together at the dinner table

This article was last updated May 10,2022.

The €200 Government Electricity Credit has been automatically applied to customers' accounts since April 4, 2022 on a rolling basis, depending on your billing cycle. 

Each domestic electricity account in Ireland will receive €200 credit (inclusive of VAT) applied to their account to help combat rising energy prices. 

The credit will be applied automatically. Electric Ireland customers do not need to apply for the credit.

If you are a PAYG customer scroll down


The Government also announced that from May 1, 2022, VAT on electricity and gas bills will be reduced to 9%, down from 13.5%. This measure was put in place to help combat the cost of living crisis in Ireland until it will be reviewed again on October 31, 2022.

This VAT reduction will also apply to the Government Electricity Credit, meaning customers who have not yet received their credit may receive less than what was initially expected.

The overall reduction in VAT from 13.5% to 9% however means your energy bills will still be lower than prior to May 1. 

The rate of VAT that will be visible on your energy bill is the rate that was active on the date your bill was issued, regardless of when consumption occurred. 

Please see details in the table below:

Billed before the 1st of May will receive

13.5% VAT + €176.22 = €200

Billed on or after the 1st of May will receive

9% VAT + €176.22 = €192.08


PAYG customers update

Due to a technical issue experienced on April 4, 2022, the issuing of the Government €200 Electricity Credit for standard PAYG customers was moved from Monday, April 4, to Tuesday April 5.  

The €200 (including VAT) Government Electricity Credit will be issued for prepay meters across 3 separate €10 top ups on 3 separate days. Customers will receive the credit value in amounts of €90, €90 and €20. The steps required to avail of the €200 credit are outlined below. The below process is available from April 5 onwards. There is no expiry date on the vend codes, so you can top up at a time that suits you. 

Topping up is easy and there are multiple flexible ways to Top Up your PAYG meter

  • Buy a €10 electricity top up from April 5. This purchase will provide you with a 40-digit code.
  • Go to your PAYG meter and input the 20-digit code, this first code will add €90 of the total €200 and your €10 top up to your account.
  • Wait at least one day before repeating step 1 and 2. Your second 20-digit code will provide you with your second €90 credit and €10 top up.
  • To receive the third instalment of your credit, wait at least 1 day from the purchase of your second top up and repeat step 1 and 2 again. This third top up will provide you with €20 of your €200 credit and your €10 top up.

The total credit that will be applied to your meter will be the €200 (including VAT) Government credit plus your three €10 top-ups. 

If you have any questions or concerns about the Government Electricity Credit and the reduced VAT rate, please visit our FAQ page.