21 November 2006
The price comparison and switching website uSwitch is calling on the government to remove the 5% VAT on green energy tariffs if it wants to prove that it genuinely wants to push environmental issues forward.
Research has shown that the public is willing to tackle climate change by using greener methods of powering their homes.
Customers in the UK ranked tackling climate change as the single most important issue to them as energy customers, with 86% of people believing that greater investment in renewable energy was paramount and 85% would be prepared to have new wind farms built in their local area.
Funding the change however, is a tricky issue, with one in three (31%) saying they wouldn't want to have to pay any extra on their energy bills and a further 47% would only be willing to pay up to £50.
"The onus on the energy providers to educate consumers about green products and it is up to the government to incentivise the continued investment in renewable energy by the biggest providers," said Ann Robinson, director of consumer policy at uSwitch.
Ms Robinson went on to explain that by removing the VAT on green energy bills, the government could save consumers £7 a year on fuel tariffs.
"Reducing the annual cost of going green to bring it into line with standard tariffs should see an increase in take up, which is turn should stimulate demand for renewable energy and the development of low-carbon technologies," she concluded.
Making small changes to your gas and electricity use can help save the planet and save you money too. Read tips on how to be more energy efficientRead tips on energy efficiency and see if you can Save by switching your gas and electricity supplier by using uSwitch.com's free and impartial comparison and switching service.
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