By: Dr
Fraser Stewart, Independent Consultant
Introduction
This paper for Energy Action Scotland examines
the potential implications of Scotland’s climate change and net zero ambitions
for those households living in or at risk of falling into fuel poverty. The
issues explored are intended to contribute to wider discussions about the nature
and shape of Scotland’s transition to net zero.
In
2019 the Scottish Parliament passed legislation that redefined fuel poverty as
existing when a household spends more than 10% of its
income on fuel costs and if the remaining household income is insufficient to
maintain an adequate standard of living. The Act also proposed that the mean fuel poverty gap
of households in fuel poverty should be no more than £250 (in 2015 prices
before inflation). In addition, the legislation
set
out new statutory targets to reduce fuel poverty by 2040 to no more than 5% of
Scottish households and no more than 1% being in extreme fuel poverty. Provision
was also made for a new fuel poverty strategy being published and the
establishment of an independent fuel poverty advisory panel. These were both
delayed due to the COVID-19 public health and economic crisis, with
the final strategy being laid before the Scottish Parliament in November 2021.
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