Highland MPs urge Government to address gaping hole in energy policy (North East and Central Fife Liberal Democrats)

North East and Central Fife Liberal Democrats <hq@necflibdems.org.uk>

Highland MPs urge Government to address gaping hole in energy policy

October 26, 2009 12:01 AM
Originally published by Scottish Liberal Democrats

A major survey on energy use in the rural Highlands has found that over half of households spend more than 10% of their income on heating, meeting the Government definition of fuel poverty. One household in five reported spending more than 20% of annual income keeping warm.

Highland MPs Danny Alexander and Charles Kennedy joined forces to distribute the survey across almost 30,000 homes in the rural Highlands earlier this year. The results will be passed on to the Consumer Focus watchdog, which has been conducting an inquiry into heating fuels such as oil and liquefied petroleum gas (LPG).

Commenting on the survey's findings, Danny Alexander said:

"Sadly, it is not surprising that our survey results show that fuel poverty is an acute and growing problem in Highland communities. It is a problem which once again threatens to have very severe consequences during the coming winter.

"Long term upward trends in energy prices have far outstripped any increase in household incomes - especially for those on low incomes, including many pensioners, during the recession.

"Houses off the mains gas network in areas like the Highlands pay more for their fuel and are typically harder to help. It is a major concern that existing Government initiatives in Edinburgh and London do very little to recognise these challenges.

"Social tariffs are a big part of the immediate help which is on offer, reflecting the way the Government has worked with the big six energy companies. People whose biggest energy costs are for heating oil, LPG or solid fuel are being left in the cold."

The survey found that three quarters of those who rely on heating fuel believe suppliers should be regulated in a similar way to the major utility firms.

Ross, Skye & Lochaber MP Charles Kennedy said:

"The absence of mains gas from most communities in the Highlands & Islands is a serious problem. The complete lack of regulation or even up-to-date price monitoring for heating oil and LPG leaves the circumstances of many households out of sight and out of mind.

"There is some help available, and I will continue to encourage constituents who contact me to explore their options - but what is in place barely scratches the surface. I hope Consumer Focus will back an appropriate regulatory regime for heating fuels, and that the Government will listen.

"Heating oil and LPG suppliers have responsibilities which they must not ignore. The Government should engage with them to guarantee short-term continuity of supply for households in acute fuel poverty.

"In the longer term, we need energy efficiency and renewable heating support to start working for rural communities. The current schemes are solving the easiest cases rather than tackling the most severe."

Notes:

The full survey results and a copy of the original survey which was distributed in June are available on request from Gavin Steel - 07732 263663 / steelg@parliament.uk
743 households took part in the survey, which was distributed in Highland postcode sectors where the majority of homes are not connected to the mains gas network.
According to the Department for Energy & Climate Change, more than 8 out of every 10 units of energy used by households in the UK is for heating.
The proportion of energy bills for 'off mains' households accounted for by heating is likely to be even higher as oil and LPG cost more per unit - yet social tariffs offer no support at all with these costs.
According to UK Government figures, heating oil users were already more than twice as likely to be in fuel poverty as users of other fuels in 2005.