Renewables not to blame for UK energy bill price hike

The Committee on Climate Change cite rising gas prices as the real culprit behind the increase in household energy bills, and not the renewables industry. Alex Blackburne looks into it.

The Committee on Climate Change (CCC) has put the blame on the increase in energy bill prices on the rising cost of gas, and not renewable energies.

The report, called Household energy bills – impacts of meeting carbon budgets, noted a £455 increase in bill prices, from £605 in 2004, to £1,060 in 2010.

“By far the largest contributor was the increase in the wholesale price of gas, which added around £290 to bills”, the report says.

It also states that whilst energy bills will increase, the prices will include energy efficiency measures. In total, 80% of the increases are not related to low-carbon measures.

Blue & Green Tomorrow explored the financial myths and misconceptions choking the renewable energy industry last week.

The news will make satisfying reading for sustainable businesses and green energy providers, following George Osborne’s critical attitude towards environmental policies in his Autumn Statement.

The chancellor labelled such policies as a “burden” during his speech back in November.

Friends of the Earth’s executive director, Andy Atkins, said it was imperative that the Government put more emphasis on reducing energy waste.

“This report flies in the face of claims that clean energy policies are driving up fuel bills – it’s rocketing gas prices that are causing misery for millions of people”, he said.

“George Osborne should stop scaremongering and get on with the urgent job of protecting cash-strapped households and businesses by weaning the nation off of expensive fossil fuels.

“Ministers must also help us all slash energy waste to cut our bills– current measures don’t go far or fast enough.

Atkins concluded, “David Cameron must urgently set up a public inquiry into the power of the Big Six energy companies – ending their stranglehold over the UK’s energy system will be good for consumers, good for business and good for the planet“.

You can do your bit by switching to renewable energy. To do this, have a look at Good Energy.