NALC pushes for community energy powers and wider eligibility in the bill discount scheme
We have called on the government to expand the scope of its proposed bill discount scheme for communities living near new electricity transmission infrastructure, emphasising the need to include local businesses, services, and stronger community powers in the framework.
In our response to the government's consultation on the scheme design for bill discounts for new transmission network infrastructure, we argued that the scheme should not be limited to domestic households but should also cover rural services such as village halls and schools, as well as local tourism and hospitality businesses that risk being adversely affected by large-scale energy infrastructure projects.
We reiterated our longstanding position that the government should enable communities to undertake small-scale energy projects themselves. Giving parish and town councils the legal power to promote, contribute towards, and run electronic communications networks and services would strengthen community resilience and ensure fairer distribution of benefits from infrastructure development.
On planning, we underlined our support for a system that balances social, economic, and environmental sustainability, describing this as the most reliable framework for allocating land. However, we also highlighted concerns that controversial infrastructure, such as Battery Energy Storage Systems (BESS), appeared to fall outside the consultation's scope. We called for mandatory consultation with Fire and Rescue Services on BESS developments of one megawatt or more, with the service designated as a statutory consultee. We stressed that planning authorities must consider guidance from the National Fire Chiefs Council when determining such applications.
We also supported the principle of automatic bill discounts for households in eligible zones, while urging the government to work with England's 10,000 parish and town councils and 43 county associations to ensure effective communication with hard-to-reach rural communities and vulnerable households. For customers on pre-payment meters, we proposed that suppliers be mandated to issue energy vouchers and directly notify eligible customers by post.
On funding and delivery, we backed spreading scheme costs across all licensed electricity suppliers to reduce the burden on households, particularly those in rural and isolated areas. We agreed that suppliers should be able to recover reasonable administration costs, but pressed for these to be kept to a minimum to limit impacts on billpayers. We also supported the proposed payment schedule of £125 every six months, starting in 2027, describing it as a fair balance between administrative efficiency and timely support for communities.
While the scheme represents a step forward in recognising the impacts of transmission infrastructure, greater ambition is needed to empower parish and town councils and communities.
