Tories reveal plan to cut green taxes in energy reforms

A three-point plan has been drawn up by Conservative MPs inside the government over the rising cost of energy prices. According to the Sunday Telegraph, the plan consists of:

• The completion of the Energy Companies Obligation, which involves fitting insulation and energy saving measures into the homes of vulnerable customers, such as pensioners on low incomes, would be delayed by two years to 2017.

• Energy companies would be given more time to meet their targets for cutting carbon emissions under the ECO scheme, under the plan.
• Ministers would review the Carbon Price Floor, a tax on fossil fuels used to generate electricity, which the power companies say will add £26 to household bills.

• Cutting the cost of distribution of gas and electricity, which is organised through smaller regional monopolies. Government sources say Ofgem, the energy regulator, has failed to be tough enough on bringing down the costs of distribution on the gas and electricity networks.