£300k gas bill support is pledged by States
A MAXIMUM £300,000 of public money will subsidise unprecedented domestic gas price rises for low income islanders this winter, spending which has been defended by the deputy leading it.
‘This is the kind of pragmatic, humane response I think people expect of their government in these kinds of exceptional circumstances,’ said Lindsay de Sausmarez, president of Environment & Infrastructure.
‘It’s easy for those of us with comfortable incomes to forget how fundamentally important winter heating is – but for those on low incomes it’s impossible to forget, especially when the lack of it leads to or exacerbates existing health problems, which sadly is an issue I come across too often in my constituency work.’
Globally, gas prices have skyrocketed due to supply shortages and a rise in the wholesale cost.
Domestically, the price increased by 16.9% in mid-October, effectively raising individual bills by £10-15 per month on average.
How many households will receive the temporary gas subsidy is difficult for even the States to estimate.
It knows there are some 200 households in social housing which are eligible to apply and others might also be able to claim.
Deputy de Sausmarez said that having ensured that gas supplies for the island were secure, her fellow presidents on Employment & Social Security and Policy & Resources agreed that bespoke support was appropriate under the unusual circumstances.
‘P&R have agreed funds of up to £300,000 to be released if needed, but this is based on a high-level estimate. Although we know the number of households that rely on gas for heating, we don’t know how many of those are on low incomes, and of those who might need to claim this additional support,’ she said.
People who rely on gas for winter heating can contact the States to see if they are eligible for the discount. The States will then work directly with Guernsey Gas to apply the subsidy directly to bills so that customers benefit immediately and do not have to pay and then reclaim money.
Deputy de Sausmarez said she had already been thanked by one individual on income support via email.
‘I was becoming very fearful of the impact of the price rise. Already this past week I have spent some uncomfortable evenings, knowing that I would need to save putting on the heating for colder nights to come,’ the person said.
‘The efforts of yourselves, the committee and all those working on the agreement will make such an incredible difference to me and so many others.’
A few weeks ago Guernsey Gas announced a 2.2% price increase and an additional increase of 14.7%, which will be reduced in the spring if global market conditions allow.
It has said it is committed to keeping prices under review.
