The capped price of a unit of electricity is up 4.6%, and is now 129% higher than winter 2020-21 – at 28.62p compared to 12.50p. The standing charge cap is now 119% higher, at 53.35p compared to 24.38p in October 2020. 

The reaction of charity Independent Age to the latest energy news reflects the reality of the winter ahead that many are facing.

Independent Age is calling on the UK Government for “financial support now to help the most financially vulnerable, including those in later life, get through this winter.

“After that, we need a long-term solution to protect against the impact of continuing high prices, including energy. Our evidence shows an energy social tariff would offer more stability to older people on a low income and make sure no one is forced to make dangerous choices. This must be something the UK Government consults on.” 

Last week The Orkney News published Campaigning for Fairer Energy Prices for Households in Orkney and Shetland in which the Scottish Government’s Minster for Energy and the Environment, Gillian Martin wrote to the UK Government calling for “Access to a ‘gas equivalent’ social tariff for electricity [which] would provide immediate support to those who rely on expensive forms of electric heating. It would also support the shift to zero emission heating systems by offering transitional protection ahead of the expected reforms to gas and electricity prices” – Energy consumers support: letter to UK Government

SNP candidate for Orkney and Shetland, Robert Leslie, says island households already struggling with their energy costs will be horrified to be facing even higher bills in the new year.

Robert Leslie said:

Robert Leslie standing at Kirkwall harbour

“Given these eye-watering figures, it is little wonder that energy debt is at record levels across Scotland. In off-gas areas such as Orkney and Shetland debt levels are likely to be among the highest, especially for households relying on electric heating. The likelihood is that folk just won’t heat their homes to an adequate level, leading to negative impacts on physical and mental health that are associated with living in cold, damp homes. 

“Disappointingly, the Tories also failed to provide any comfort in an Autumn Statement from Jeremy Hunt that did absolutely nothing to help the poorest households heat and power their homes. 

“It is deplorable that the UK Tory Government has abandoned the most vulnerable households at this time. I would repeat my challenge to all Tory MPs and MSPs in Scotland, and other opposition parties, to back Scottish Energy Minister Gillian Martin’s call for a ‘gas equivalent’ social tariff for electricity for those who rely on expensive electric heating. In the absence of a repeat of the £400 Energy Bill Support Scheme that the Tories withdrew after last winter, this kind of move becomes even more urgent. 

“Meanwhile the Scottish Government continues to mitigate against the energy cost crisis, including through its record £30 million Energy Insecurity Fund, which includes the Home Heating Support Fund, which is open until March 2024, or until funds have been exhausted.

” I would urge any households struggling to keep the heat on to seek support either through the homeheatingadvice.scot website, or by contacting organisations such as THAW Orkney, Shetland Islands Citizens Advice or Shetland Islands Council, who are all referral partners for the fund.”

Responding to the UK Chancellor’s Autumn Statement, Shona Robison, Deputy First Minister of Scotland said that it had “delivered what is the worst case scenario for Scotland’s finances” And she continued:

profile picture of Shona Robison

“We needed investment in the services that people rely on and in infrastructure vital to the economy, but the Chancellor’s actions failed to live up to the challenges we are facing as a nation, while not doing enough to help those on the lowest incomes.

“The cut to National Insurance shows the UK Government has the wrong priorities at the wrong time, depriving public services of vital funding. Shockingly, the health funding announced today represents an increase of less than 0.06% to Scotland’s health budget in 2023-24 of £19.138 billion.

“The increases to the state pension and Local Housing Allowance are welcome, but the increase to the minimum wage falls well short of the Real Living Wage. Some of the measures for businesses are also positive, but they come in the face of UK growth having been projected downwards as a result of Brexit and the UK Government’s mismanagement of the economy.

“As global temperatures push ever higher, the Autumn Statement was a chance to fund efforts to cut the UK’s carbon emissions – but it did not. It’s not enough to say they support measures to encourage more renewable energy developments and expand the UK’s electricity grid need. It needs to be matched with funding to actually deliver and help us meet our net zero targets.”

The Scottish Budget will be announced on 19 December once the full implications of the UK Budget has been assessed.

Portugal produced more renewable energy than its electricity needs for the longest period ever in November.

From 31 October to 6 November, renewable energy production exceeded the country’s electricity needs for 149 hours straight, setting a new record.

Over six consecutive days, 1102 GWh of electricity was generated compared to the 840 GWh the country consumed during the same period. Production surpassed the energy needs of households and industry by 262 GWh. EuroNews

A view down Palace Road Kirkwall in the evening as the sun sets. On the right St Magnus Cathedral and on the left the Bishops Palace.
Image credit Christie Grahame

Fiona Grahame

6 responses to “Capped Unit of Electricity: 129% higher than winter 2020-21”

  1. “129% higher than winter 2020-21”

    That should be up in neon lights – hang on…. that would cost too much.

  2. If Holyrood was serious about helping people with their power bills then instead of wasting our money on botched ferries, recycling schemes, a flawed census, countess white papers on independence and untold other failed and mismanaged projects, it actually spent some time doing the job it was elected for….improving the life of its electorate.

  3. It can safely be assumed that in many households in the isles the high costs for keeping somewhat warm(ish) are eating into their available budget for food and other essentials. Quite significantly so… and this is not limited to people on benefits and/or pensioners.
    “Social tariffs”… this wording could already be perceived as offering a handout or a benefit hence open the door to tight eligibility criteria and thereby exclude many. Who wants to depend on handouts, especially in a region that produces renewable energy equivalent or even in excess of the region’s own domestic needs?
    Whilst there is still a justification for social tariffs though, they should run alongside “regional tariffs”. Regional tariffs could facilitate fairness because several factors would shape the outline of it. Those factors should include (but not necessarily be limited to) standard of housing stock in the region, average income structure within a region, climatic conditions, heating types, contribution of the region to the (cheaper!) renewable energy production (i.e. wind power) and so forth.
    Regional tariffs would not constitute handouts or benefits, and to work out the blueprint of such a scheme is not rocket science. All data to work it out is already available and – instead of making people somehow to “beggars” for funding from charities and/or government – perhaps someone in the government should sit down and start working on a feasible and fair scheme that could at least counteract the worst side effects of an energy and pricing system that remains clearly flawed overall (https://commonslibrary.parliament.uk/why-is-cheap-renewable-electricity-so-expensive/).

  4. “especially in a region that produces renewable energy equivalent or even in excess of the region’s own domestic needs?”

    Exactly – the energy is there- why are we paying so much?

  5. […] in energy-rich Orkney were dealt a double blow by the UK Government last week, with news of a New Year energy price cap rise following Chancellor Jeremy Hunt’s lack of energy support in his autumn […]

  6. […] Capped Unit of Electricity: 129% higher than winter 2020-21 […]

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