Derby Lib Dems set out plan to halve energy bills in a decade
Derby Lib Dems set out plan to halve energy bills in a decade
- Liberal Democrat Leader Ed Davey announced a policy to halve energy bills for people across the country.
- Lib Dem plan would break the link between gas prices and energy costs, so people can enjoy the benefits of cheap, clean power.
- Lucy Care, the Liberal Democrat Spokesperson for Derby, has backed their party’s new policy and demanded that the Government draw up plans.
In a major speech this week, Liberal Democrat Leader Ed Davey announced the Liberal Democrats could aim to halve energy bills in a decade by breaking the link between gas and electricity prices.
Lucy Care and the party are also calling for investment in a range of cheap renewable power generation and for home upgrades to be accelerated.
Right now, the cost of electricity is set by the price of gas 97% of the time – even though half of our electricity comes from renewables, which are much cheaper than gas.
The Liberal Democrat policy is to break the link between gas prices and electricity costs, so people get the benefits of cheap, clean power. The move would slash a typical household’s energy bills by £870 by 2035, down from £1,720 currently.
A key part of the proposal is moving older, expensive renewable projects to cheaper Contracts for Difference – which were pioneered by Ed Davey when he was Energy Secretary. It is estimated by experts that this move alone could cut bills by about £200 a year for a typical household.
Liberal Democrat Spokesperson for Derby, Lucy Care, said:
“Energy bills are too high. For years, families and pensioners in Derby have been clobbered with rising bills.
“Years of failure under the Conservatives pushed up everyone’s bills. And the Labour Government has failed to make cutting people's bills the priority it should be.
“We need change - we need action to fix the cost of living crisis. The Liberal Democrats have set out a clear plan to halve energy bills and are calling on the Government to take these plans on and put them in place.
“So many people tell me they’re struggling to make ends meet, their bills are spiralling every month, and they’re having to make tough choices just to make ends meet.
“By breaking the link between gas prices and energy costs, people can enjoy the true benefits of cheap, clean, renewable power.
“The Liberal Democrats in Derby are standing up for our community and have a plan to cut bills, now the Government needs to act.”
ENDS
Notes to Editors
We estimate that our package would cut the annual energy bill for a typical household from £1,720 today to £850 in 2035. That includes:
- Moving older renewable projects off expensive Renewable Obligation Certificates and onto cheaper Contracts for Difference – which were introduced by the Liberal Democrats in government. The UK Energy Research Centre has estimated that this move alone could cut bills by around £200 a year for a typical household.
- Investing in cheap, clean renewable power, saving at least £250 a year.
- Making homes warmer and cheaper to heat with a ten-year emergency upgrade programme, reducing energy bills by £180 a year on average
- A further £240 reduction by taking other steps to bring down the cost of energy, including:
- Using new technologies to help people use energy more flexibly, at times when it’s cheaper – and pay less as a result.
- Working together with the EU to trade energy more efficiently, cutting costs and reducing reliance on gas.
- Extending the life of new Contracts for Difference to 25 years.