Minister for Housing and Transport Keith Brown has welcomed news that the energy regulator Ofgem is to investigate how the big energy suppliers calculate their profits by appointing a specialist team of accountants.

The Scottish Government has calculated that up 170,000 more Scots would be pushed into fuel poverty if recent fuel price increases were replicated across all suppliers.

Finance Secretary John Swinney has already met with Ofgem to voice the Government's concerns, especially the impact on vulnerable customers. The Scottish Government has also supported Ofgem's intention to simplify complex tariffs in order to allow consumers to easily compare prices.

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Mr Brown said: "I welcome these moves by Ofgem. It is a disgrace that in energy rich Scotland people should be facing fuel poverty.

"Recent increases could see an average of £190 a year added to the dual fuel bill of an average customer - more than many can afford.

"Although we have welcomed the offers made by energy companies to maximise support for energy efficiency they give to households, we are still urging power companies to do all they can to mitigate the impacts on the most vulnerable in our society.

"Electricity and gas markets are not working for consumers and it is vital that regulators ensure that customers interests are safeguarded.

"In a world of volatile global energy markets, Scotland is uniquely placed to maximise the use of our abundant natural renewable energy resources such as wind, wave, and hydro to create a secure, diverse future energy mix.

"In the face of imported energy price hikes, Scotland's low carbon resources offer greater security of supply which is good for our economy, good for the environment and good for consumers."

(GK)