Moray SNP News

MORAY MSP BACKS SNP COUNCILLOR’S CALL FOR CHANGES TO ENERGY COSTS

Moray MSP Richard Lochhead has added his support to calls from SNP Councillor Jérémie Fernandes for Ofgem to cut standing charges for customers in Scotland.

The Elgin City North councillor has demanded Ofgem, the independent energy regulator, replace the current electricity distribution system and share the cost of energy distribution across the UK.

Standing charges have a disproportionate impact on low-income households and those with pre-payment meters because they generally use less energy, therefore, the fixed element of their energy cost represents a larger proportion of their bill.

The daily charges hit electricity customers on pre-payment meters particularly hard, with those in the North of Scotland paying 18p per day more in standing charges than customers in London and adding an extra £65.70 to annual bills.

Commenting SNP MSP Richard Lochhead said:

“The enormous increases in energy costs we’ve seen over the last year have been a real blow for households in Moray and the fact that our region is a net exporter of energy to the rest of the UK makes these greater costs all the more ridiculous.

“We unfairly pay the highest grid charges in Europe and these charges can account for up to 16.5% on some household’s annual bills, according to research by the Centre for Sustainable Energy.

“The UK Government must get a grip of the pressure on households across the region and instruct Ofgem to take steps to replace the current electricity distribution system with one that distributes the cost of electricity equally across the UK.”

Councillor Fernandes (Elgin City North – SNP) added:

“Millions of families in Scotland already face a devastating blow to incomes as the Tory created cost of living crisis continues to spiral out of control, with energy and food costs rising higher and higher.

“We’ve seen energy companies recording eye-watering profits, all while they’ve been forcing the installation of pre-payment meters into some of the most vulnerable people’s homes.

“In my letter to Ofgem, I’ve expressed my deep concern at escalating energy costs and the impact this is having on local communities, with many households experiencing extreme hardship and having to choose between food or fuel.”