MPs have met energy regulator Ofgem to campaign for people in the Highlands to pay lower standing charges for electricity.
Brendan O’Hara and Drew Hendry say people in the Highlands and Islands pay over 50% higher electricity standing charges than in London – despite having higher bills due to a colder climate and living in an area that generates more wind and hydro power than anywhere else in the UK.
The standing charge – the charge you pay every day regardless of how much energy you use – is currently under review by Ofgem.
Mr O’Hara, the MP for Argyll and Bute, launched the Highland Energy Rebate campaign in January as part of his work to tackle unfair energy pricing.
The proposal argues for a rebate scheme for residents in the Highlands & Islands who contribute significantly to the UK’s renewable energy production.
And it targets the imbalance in energy costs, particularly for those in off-grid areas who cannot access cheaper energy alternatives.
He said: “Ofgem has an opportunity to right this wrong in their review of standing charges.
“I met with them today to ensure they understand how these high standing charges impact households, unfairly penalising people on lower incomes and those looking to use less energy.
“It is vital that we see fair energy pricing implemented as soon as possible. The inequity is clear: people living in the Highlands and Islands face disproportionately high bills and fuel poverty despite living in an energy-rich region that produces up to six times the energy it uses through renewable sources.
“It was an important step to take this issue directly to Ofgem, but there is an urgent need to address this inequality and create an energy market based on fairness. Introducing a Highland Energy Rebate alongside scrapping standing charges should be at the very top of the list.”
Ofgem is currently still reviewing standing charges and is yet to release a conclusive report on its findings
The internal review comes after the charge more than doubled over the past two years.
For further information on the Highland Energy Rebate campaign, including access to the report and petition, visit www.highlandenergyrebate.com.
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