The Scottish Affairs Committee has called for people in the Highlands and Islands to be compensated when extreme weather causes them to lose their power supply.
Energy regulator Ofgem should consider raising the amount paid out by power companies, said the MPs said at Westminster.
When storms in December 2011 and January 2012 left thousands of homes without power, SSE went beyond the legal requirements, paying £75 to households in the Highlands and Islands which went without electricity for 48 hours or more and £150 to people in Islay because the island’s power supply was interrupted several times over an extended period.
After some people without electricity for at least three days, the committee looked at aspects such as the frequency and severity of weather-related power cuts and the impact they had on people, businesses and services.
Electricity companies face “particular challenges” supplying power to such an area but the MPs said: “Customers in those areas should still expect to receive compensation if minimum standards of service are not met.”
The committee called on Ofgem to introduce best-practice guidance for power companies which supply to the Highlands and Islands, with a minimum level of service customers can expect alongside a corresponding level of compensation.
Current payments do not “adequately compensate consumers for the consequences of power cuts”, said the committee. Ofgem needs to consider “increasing compensation levels so that they more realistically reflect the effect on consumers”.
Alan Reid, the committee member who led the inquiry, said many communities had to endure over three days without power last January. He added: “A big gap in the compensation rules is that consumers in the Highlands and Islands have no rights to compensation for power cuts caused by extreme weather events. This is unacceptable in the 21st century.”
Particularly in the wake of SSE’s announcement of an average 9% hike in its energy prices.
