Committee launches short inquiry into energy price rises

The inquiry will focus primarily on short and medium term solutions to high energy prices, longer term structural solutions, and the role of the Scottish Government in implementing these.

The Committee has agreed to hold evidence sessions during April and May, hearing from a wide range of stakeholders including academics, consumer representatives, energy companies and government officials.

Dean Lockhart, Convener of the Committee, said;

“With a record rise in global gas prices over the last year and price cap updates this month and again in October, households across Scotland are suffering the financial consequences of these unprecedented increases.

“We’d like to ensure that appropriate short and medium responses, and longer term solutions are being considered and implemented from both an affordability and a climate change perspective – and importantly that the Scottish Government is doing all it can do to support those suffering energy price rises they simply cannot afford.”

The Committee’s scrutiny will explore areas such as:

• The key drivers for recent energy price increases; the short-medium term outlook for these prices and how the issues of affordability and climate change should be considered in the policy response.
• To what extent the energy price crisis will undermine or accelerate the structural changes required to transition to net zero and how the cost of living crisis can be tackled in the short-medium term without compromising emissions reduction goals.
• The impact on consumers – how many people were impacted over winter 2021-22, how much worse this could get and what the barriers are to people being able to reduce their bills.
• How the energy market works in Great Britain; how the crisis is affecting different sections of the market and what the solutions are.
• What measures the Scottish Government and regulatory bodies are taking to mitigate the situation, what solutions are being considered and what further measures can be taken.