Energy hike

According to a survey carried out by the

(BPF), plastics companies face average increases of 56% and 58% for electricity and gas prices, respectively, at the next renegotiation of their supply contracts.

This is the headline conclusion of a BPF energy costs survey of a representative sample of 25 member companies from across the plastics sector, including material and additives suppliers and processors, and which involved the Flexible Packaging Association (FPA).

For electricity, increases at the next expected or actual renegotiation ranged from 23% to 100%, with an average increase of 56%.

For gas, increases at the next expected or actual renegotiation ranged from 10% to 100%, with an average increase of 58%.

The average increases facing companies on renegotiation are far higher than those recorded when contracts were last agreed. For gas, the average 36% increase leapt more than one and a half times, and for electricity the average 33% increase jumped nearly one and three quarter times.