Green taxes are adding £2bn to our energy bills


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The Independent Online

The Government's green taxes and other energy initiatives have added at least £35 to the average household fuel bill in the last two years, new analysis published this week revealed.

The figures have prompted worries that more families will be pushed into fuel poverty and be forced to choose whether they heat or eat this winter.

The amount of the average home energy bill set aside for environmental and social supplier obligations has almost doubled from an average of £56.50 a year in February 2010 to £91.50 now, according to Ofgem figures.

Mark Todd of said Government policies are a big factor in soaring energy bills and the situation is set to get worse.

"The last thing hard-pressed consumers need is even higher energy bills pushed up by stealth taxes," he said.

With a series of extra charges in the pipeline, people could face bill hikes of 50-100 per cent by 2020, he predicted. Policies which will push up bills include the new Energy Company Obligation introducted next year. Predictions suggest energy companies will be forced to pay £1.3bn a year towards energy-saving initiatives – cash they will raise from consumers through higher bills.

"Government bodies need to think about the effects these new policies will have on consumers," said Mr Todd. "Changes such as the Energy Company Obligation will push more households over the line into fuel poverty."

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