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Electricity giant seeks one-price national surcharge   23/10/14

Energy supplier SSE is urging the Westminster Government to drop a 15% extra surcharge onto Western Isles electricity bills.

 

Families in the north of Scotland have to pay an additional 2p per unit more than elsewhere as all electricity suppliers face different costs for transporting electricity across the grid in different parts of Great Britain.

 

It means a Western Isles household pays around 15% more than a family in Oban or Glasgow using the same amount of electricity.

 

SSE wants these transport costs to be flattened out so that there is one standard charge for every customer across Great Britain.

 

Reforms require regulatory change and SSE said it is keen that this happens as soon as possible.
 

Alistair Phillips-Davies, chief executive of energy company SSE, has today written to UK energy minister Ed Davey urging his department to consider a change to national pricing on supplier costs.

 

He said the electricity grid in northern Scotland has larger costs per customer because it supplies large land masses with diverse terrain and remote housing.

 

He said the energy suppliers receive the charge from the network companies and pass it on to customers, which leads to overall regional price differences across all suppliers.

 

Ceasing the regional price differentials would mean the grid network companies would receive the same income for their necessary maintenance and investment work, but the costs would be spread across all regions.