Island Fuel Poverty - Findings

In February and March 2026, the Panel engaged with the six Scottish local authorities with islands in their jurisdiction to explore their specific fuel poverty challenges. This report summarises the findings from these sessions.

Scottish Fuel Poverty Advisory Panel – Island Fuel Poverty Findings.pdf

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5. Scottish Fuel Poverty Advisory Panel – Reflections

5.1 The Panel reflected on what it had heard at its bilateral meetings with the six local authorities, drawing these together under the following ten points.

Reflections

  1. Under the current fuel poverty definition, the cost of island living, level of energy consumption and energy costs mean that higher levels of fuel poverty in island communities are inevitable.
  2. National policy and strategy need to be island-proofed, recognising the scale and impacts of fuel poverty on island communities.
  3. Priorities for tackling fuel poverty sit differently in each local authority, reflecting local differences and the complex and cross-cutting nature of fuel poverty.
  4. Additional multi-year energy efficiency funding is required with a holistic approach championed, including addressing supply chain issues.
  5. Strong local energy advice networks exist in many island communities, and the structure and funding of these support services is critical.
  6. The retail energy system does not reflect the needs and situations of people who live in island communities, including meter upgrades and tariff provisions, which leads to detriments.
  7. Energy pricing and energy market reform are key to eradicating fuel poverty. The relative consumption and cost of heating (electricity and oil) needs to be recognised by UK policy makers to enable Fuel Poverty and Net Zero targets to be met.
  8. Island authorities engage in innovative projects to tackle electricity supply issues.
  9. Island communities collectively are significant net exporters of electricity but with no beneficial impact on local prices.
  10. Islands can be viewed as operating like “plant rooms.” The curtailment of local renewable energy generation is a point of tension.
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