Inverness, Skye and West Ross shire MP Angus MacDonald has written to the Department for Energy Security and Net Zero warning ministers about the impact soaring heating oil prices are having on households across his constituency.
The MP said communities in Skye and Lochalsh have seen the price of heating oil rise sharply in recent days, with reports of costs doubling within a week.
Figures highlighted in his letter suggest prices have jumped from around 60p per litre to as much as £1.20 per litre in parts of the area.
For households that rely on oil fired heating systems this means filling a typical 1,000 litre domestic tank can now cost well over £1,000.
Large parts of the Highlands remain off the mains gas grid, leaving thousands of homes dependent on heating oil as their primary source of heating.
Unlike households using gas or electricity, those relying on heating oil are not protected by Ofgem’s energy price cap and remain fully exposed to sudden market price changes.
Across Scotland around 129,000 households depend on heating oil, with the proportion significantly higher in rural and island communities.
Older housing stock and limited alternatives mean many Highland households have few realistic options for switching to other forms of heating.
MacDonald said the issue highlights what he described as the rural premium faced by many communities in the Highlands where everyday living costs are often higher.
“Across Skye, Lochalsh and many of our rural communities, heating oil isn’t a luxury it’s the only way people can heat their homes.
“In the past week alone, some families have seen the price of oil double.
“Filling a tank can now cost well over £1,000, and that simply isn’t affordable for many households, especially given that the rural cost of living can be up to 40% more than urban areas already.
“The problem is that heating oil customers have none of the protections that people on mains gas receive through the energy price cap. When global events push prices up, rural communities like ours are left completely exposed.
“It won’t hurt Americans, who are behind this instability, because they are self sufficient in oil.”
“I have written to ministers urging them to act.
“That should start with immediate support, including a temporary removal of VAT on heating oil, alongside longer term measures that give off grid households the same protections others already have.”
The Liberal Democrats are calling for a package of measures aimed at protecting rural households from sudden energy price spikes.
These include immediate support for off grid homes facing rising heating oil costs and a temporary three month removal of VAT on domestic heating oil.
The party is also calling for expansion of the Rural Fuel Duty Relief Scheme and a protection mechanism for heating oil users similar to the energy price cap that currently applies to gas and electricity customers.
MacDonald has also urged ministers to ensure off grid households are properly included in future cost of living support schemes.
