Energy giants warn of huge price hikes
GOING green could see power bills go through the stratosphere – and many families go into the red.
Yesterday energy giant npower said the Government’s environmental policies would help to cause a 19 per cent rise in fuel costs by 2020.
They added that energy firms’ subsidies of wind and solar power and the price of better energy efficiency will see annual bills rise £240 to £1,487 from £1,247.
Support for low-carbon technologies alone would add £82 to the average energy bill by 2020, say npower, up from £34 in 2013.
Rising cost ... how power is likely to be burning up your pounds by 2020
Greg Barker, minister for energy and climate change, countered: “Global gas prices, not green policies, have been primarily pushing up energy bills. That is why it is vital we crack on with securing investment in a diverse energy mix that includes renewables and new nuclear, as well as gas.”
Price comparison service energyhelpline think npower’s prediction is way too OPTIMISTIC — and say the average annual bill could soar to £2,000 by 2020, pushing many homes into fuel poverty.
Director Mark Todd said: “Our fear is that this is the prelude to yet another storm — and when the storm comes, it will be much worse than the Government or npower forecast.”