Scottish Gas planning to increase gas prices

Scottish Gas planning to increase gas pricesThere are indications that Scottish Gas could increase the price of gas resulting in an increase of £100 in annual energy bills for the households.

The rise is expected even as the company had said earlier that it will utilise earnings windfall from the cold weather to prevent rate hikes. The hike comes just four months after owner Centrica promised not to increase the price of energy.

British Gas has increased the price of fuel by 8 per cent within weeks adding about £100 to its average dual fuel bill. Other rivals are expected to follow soon and increase prices in the UK, adding pressure on the households.

According to estimates, the value of energy bills has risen to twice their levels since 2000. Data showed that households last year spent an average of £1,339 on gas and electricity compared to £710 during the year 2010. The data showed that the gas bills went up by 119 per cent and electricity bills by 47 per cent between 2000 and the previous year.

Power companies have been criticised for charging massive amounts to increase profits while households struggled to pay bills.