Energy bills to rise as we pay for infrastructure improvements
Good morning. We will all be paying for the upgrade of the electricity and gas networks over the next eight years. You’re okay with that, yes? Good.
BUT… it should only cost us each one solitary Earth pound per month for that eight year period, which makes it kind of okay, doesn’t it? Course it does – it’s for the good of the nation.
Ofgem have said that they’ll allow the energy suppliers to add an average of £12 per year to our bills over the next eight years, and it’ll help to pay for an upgrade costing £24 billion.
But Ofgem are doing us all a favour and have chopped £7bn from the total cost of the work that the energy companies had planed. Mind you, National Grid aren’t happy and are considering making a challenge to the decision.
National Grid has said: ‘In analysing the proposals, we find numerous errors and questionable judgements which we cover in detail in our response.’ Oooh! Under the revised Ofgem proposal, the average increase in bills between 2013 and 2021 will equal £12 per year, starting close to £8 at the beginning of the period, and rising to £15.10 by the end.