Gas Network Extensions
Energy regulator Ofgem has introduced an incentive scheme for gas distribution companies to extend their networks to communities where fuel poverty is high. Consumers are considered to be in fuel poverty when they spend more than 10 per cent of their income on fuel. The gas distribution companies welcome this development and the opportunity to aid those customers and help deliver the Government's objective of eradicating fuel poverty. The UK Government has a target to eradicate fuel poverty by 2016/2018 and the Scottish Government by 2016. But the number of fuel poor consumers has increased as energy bills have increased in recent years.
Households that are not connected the gas grid and use electricity or other energy sources for heat are more likely to be in fuel poverty, because the fuels they use are more expensive than gas.
The energy sector has many initiatives to aid fuel poor consumers. The gas distribution networks (GDNs) have been working with communities who are off the gas network to find eligible groups to assist and deliver more affordable fuel.