Citizens Advice response to proposed methodology for Electricity Bill Discount Scheme cost allowance
Citizens Advice is pleased to respond to this consultation. Our general position is that efforts should be made to reduce the costs that are added to bills, not increase them. There is a viable alternative through energy bill levy reform to allow government schemes to be progressively funded via general taxation. If government and Ofgem are going to apply additional levies to electricity bills, adding costs onto unit rates specifically should be avoided. This creates a penalty for vulnerable high-usage consumers and runs counter to the government’s attempts to encourage the electrification of demand.