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UK Government Introduces “Stealth Tax” on Green Energy

It’s absolutely insane. While on one hand we’re facing a dire recession, on the other the cost of basic amenities like gas and electricity is skyrocketing.  The poorest in society, often the elderly, are often also the most vulnerable in terms of their health. It is they who are in most need of heating during the colder months. But it is exactly these people who are increasingly struggling to heat their homes.

“Green Energy” is something repeated daily by the government and huge energy companies alike. It is hyped up as the answer to all our troubles. You can save money and save the world at the same time - its just perfect. With this mantra on their lips, they win votes and build wind farms, supposedly for our benefit.

But there’s something fishy about the way the “green energy” issue is used, exemplified by the recent proposal by UK energy secretary Ed Milliband. The “Renewable Heating Incentive” is a plan to build more wind turbines and solar panels to replace fossil fuel energy sources. Yet it’s not the energy corporations who are going to foot the bill for this. It is going to be the bill payer who has to pay for this! The plan aims to charge a levy to energy providers using fossil fuels. But these energy companies then plan to pass the charges on as increased gas and electricity bills.

Gas prices went up by 59% last year, and electricty by 26%. This meant that millions had to think twice about switching on their portable heaters. Going green has been touted as a way for people struggling to pay their bills to lower their costs. But this new legislation harms the poorest in society. Basically, if you have money, you will be able to afford the necessary home improvements to make your house ecologically powered. But if you can’t, and resort to using fan heaters or oil filled radiators to warm your house when the temperatures drop, you’ll be hit with higher energy bills. The same will be true even if you factor in the low interest loans scheme that is supposedly aimed at making it more affordable for people to go greener. If you’re already up to your neck in debts and worried about making rent next month, you’re hardly likely to take out a new loan, low interest or not. One thing we learned from the introduction of student loans, at the time touted as a measure to make university more accessible to lower income families, is that only the middle classes are prepared to put themselves in such debt on top of everything else.

Is this not an unfair situation? To my mind it would be far more just, and sensible, to make sure that the money for such schemes comes out of the mega-profits made by these huge energy conglomerates.They could then use this significant sum to subsidise green refubishment on lower income houses, so that they can benefit from reduced heating bills. Please contribute your thoughts on this matter.

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