The average home in the UK is paying £250 more for electricity than they should, according to a climate change think-tank, thanks to rules around the way the price is decided. The rules mean that energy companies pay for electricity based on how much the most expensive method of production costs.
They then have to pass that cost on to consumers.
But the most expensive method is gas-fired power stations, which generate just 40% of the UK's electricity - adding an unfair £7.2billion to household bills over two years, or £250 each, reports the BBC.
Bills would be cut if an average production price were to be used instead, the Carbon Tracker Initiative said.
The BBC asked the Government to comment on the figures.
