Families to pay £600 a year towards green energy by 2020, says think-tank study

May 19, 2013 by  
Filed under Green Energy News

“The remainder of the cost would be passed through from industrial and
commercial customers and eventually be met by households from increases in
the cost of living.

“The total impact would be in the order of £600 per household per year,
assuming 26 million households.”

The study was rejected by the Department for Energy and Climate Change, which
argues bills will be brought down as a result of its green policies.

According to its estimates, household energy bills will be around £76 higher
by 2020, driven up by green subsidies and rising gas prices.

However, the Department said bills will be around £166 lower than they would
otherwise be, partly because of more green appliances and lower energy usage.

Asked about the report, a DECC spokesman said: “We don’t recognise these
numbers. The report is a manifesto for locking the British economy into
excessive reliance on imported gas from far-flung, unstable parts of the
world. It ignores four things.

“First, it’s the global gas price, not green subsidies, that has primarily
been pushing up energy bills.

“Second, the costs of renewables are coming down, we’ve already cut the
subsidies for onshore wind and solar and in future all green technologies
will have to compete to deliver the best bang for the buck.

“Third, our household energy efficiency policies are more than offsetting the
costs of clean energy investment.”

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