Cabinet set to recommend a reduction in district heating charges

Cabinet set to recommend a reduction in district heating charges

Rotherham Council’s Cabinet is set to recommend the amount paid by Council tenants towards district heating costs be reduced at its meeting on Monday 10 July.

The recommendation will be put to full council and, if agreed, approximately 1,260 properties will receive a reduction in the amount they pay to receive heat through the Council’s district heating network.

In March, the Council took the decision to increase the district heating unit charge to 20.68 pence per kwh so that an average bill was equivalent to the gas element of the then Government’s Energy Price Guarantee of £3,000.

Following recent Government and Ofgem announcements, and the subsequent decrease in the cost of gas and electricity to the Council, Cabinet is expected to recommend a reduction of district heating payments to 15.94 pence per kwh.

The reduction would bring prices into line with the Ofgem price cap for July 2023 onwards and well within the Energy Price Guarantee.

If passed, the change in price will be backdated for customers to April 2023.

The Leader of Rotherham Council, Councillor Chris Read said: “With household bills and the general cost of living continuing to rise, we know many of our residents are facing a real struggle. We hope this reduction will offer them a little bit of breathing space.”

People who are struggling with bills, managing a tenancy or have general money worries are encouraged to visit www.rotherham.gov.uk/money-debt-advice for help and advice.

Published: 5th July 2023