The government needs to be doing more to help customers find cheap electricity by encouraging the use of renewable energy sources as alternatives to fossil fuels.
This is according to Friends of the Earth, which welcomed a report from the Committee on Climate Change (CCC) that stated the main driver for gas and electricity bill increases has been the rising wholesale cost of fuel, not green policies.
Executive director of the charity Andy Atkins said it is vital the government places a greater emphasis on encouraging renewable power in order to reduce the UK's reliance on sources such as gas.
"George Osborne should stop scaremongering and get on with the urgent job of protecting cash-strapped households and businesses by weaning the nation off of expensive fossil fuels," he said.
Mr Atkins also called on the prime minister to set up a public enquiry into the energy market to determine how to make the sector more competitive and end the "stranglehold" of the Big Six providers.
The CCC's report estimated the impact of green policies on a typical household bill would be around £110 by 2020.
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