NICOLA Sturgeon is set to chair a special summit on Tuesday to discuss how to mitigate the impact of rising energy bills.
With warnings that the average amount UK households pay for their gas and electricity could reach £6000 next year, Sturgeon is bringing together representatives from both power companies and consumer groups to discuss what support can be provided.
The First Minister has already warned that families will face “destitution and devastation” if energy prices increase again in October.
The energy price cap currently limits payments for domestic customers to a maximum of £1971 a year.
However, regulators at Ofgem are due to announce a revised limit on Friday – when the cap is expected to rise to £3576, with further increases then expected in 2023.
Poverty Alliance director Peter Kelly welcomed the summit along with Energy Action Scotland.
Kelly said: “Across the country, people are increasingly being swept up amid a rising tide of hardship.
“But with the energy price cap due to increase in October, that tide threatens to become a flood.
“Households up and down Scotland are terrified of what the colder months will bring and the likelihood is that – without further action – lives and life chances will be at risk. The situation could scarcely be more urgent.”
Energy suppliers Scottish Power, OVO Energy and E. ON are also due to take part in Tuesday’s summit, with Sturgeon having insisted that the rise in the cap in October “can’t be allowed to go ahead”.
Speaking on Sunday she said: “There is a looming disaster that is already unfolding but it is going to get worse.
“This is going to cause destitution and devastation; this will cause loss of life if real action is not taken to stem this crisis.”
Ahead of the summit, Scottish Power’s chief executive Keith Anderson said “bold” action was needed to bring down bills.
Speaking to the BBC’s Good Morning Scotland radio show, he said: “I think we’ve got to a stage now where this is a national crisis, it’s of the scale of the pandemic and we need national action.”
He said the price should be frozen at the current level, with the cost repaid over the next 15 to 20 years.
Anderson said his proposals had been discussed with Business Secretary Kwasi Kwarteng and he understood they were being “seriously considered” by the Government.
Asking what Tuesday’s meeting would bring, he said: “The first and most important thing is to protect customers, is to stop this price hitting customers’ bills.
“And if we can all agree on that, that sends a very powerful message to the UK Government.”
A spokesperson for the UK Government said: “We are providing a £400 discount on energy bills this winter, and £1200 of direct support for the most vulnerable households.
“While no Government can control global gas prices, over 22 million households are protected by the price cap which continues to insulate households from even higher prices.”
