Households living near newly-installed pylons could save up to £2,500 on their energy bills under government plans.
Ministers confirmed homes within 500 metres of new or upgraded electricity infrastructure could receive annual payments of £250 over a decade as compensation.
The bill discount scheme would apply to new above-ground transmission cables and substations, and could be extended to other projects like onshore wind farms, The Times reports.
Areas most affected by an overhaul of the country’s electricity grid would be given incentives to support the projects, while the ability to block or delay projects would be curtailed, according to the report.
This would make it easier for energy companies to buy the land.
Overhaul: Changes to the planning system will give households living near pylons and other infrastructure discounts to their bills
Some energy suppliers already offer discounts to customers who live near renewable energy infrastructure.
Octopus ‘Fan Club’ tariff gives customers who live along the coastline and near wind turbines up to 50 per cent off their electricity when it’s a particularly windy day.
It’s unclear when the government scheme would start, but with the energy price cap still significantly higher than pre-crisis levels, it could provide a significant discount for local communities.
Octopus Energy is calling on the Government to look at how customers are billed and to introduce zonal pricing, where prices would be set regionally depending on supply and demand.
Clem Cowton, of Octopus Energy said: ‘It’s great communities that host renewables will benefit from lower bills but we need to make sure this is paid for by slashing waste and cutting the need for new pylons through zonal pricing, not simply shifting costs onto other households and businesses.’
The plans to compensate homes near pylons are part of a wider overhaul of the planning system to stimulate growth in the economy and build more houses.
The Planning and Infrastructure Bill, which will be unveiled on Tuesday, is set to strip some consulting bodies of the power to block developments.
Under the reforms, the input of consulting bodies like Sport England, the Theatres Trust and the Garden History Society will no longer be required.
Instead, consultees will be ‘narrowed to focus on heritage, safety and environmental protection, speeding up the building process and preventing delays to homes being built,’ said the Department of Housing, Communities and Local Government.
‘We’ve put growth at the heart of our plans as a government, with our Plan for Change milestone to secure 1.5million homes and unleash Britain’s potential to build,’ said Housing Secretary Angela Rayner.
‘We need to reform the system to ensure it is sensible and balanced, and does not create unintended delays – putting a hold on people’s lives and harming our efforts to build the homes people desperately need.
‘New developments must still meet our high expectations to create the homes, facilities and infrastructure that communities need.’
Local authorities will only need to consult statutory bodies when necessary and they will have 21 days to respond.
