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SSE has become the latest “big six” energy supplier to raise its prices.
It said average electricity prices would rise by 14.9% from 28 April for 2.8 million customers. However, it will keep its gas prices unchanged.
As a result, SSE said a typical dual fuel customer would see their annual bill rise by 6.9%, or £73.
It blamed the increase on government policies which compel firms to buy electricity from renewable sources and pay for smart meter installations.
Other government-imposed costs include subsidising the feed-in tariff scheme for people who install solar panels on their roofs.
SSE says the price rise for electricity is its first for three and half years.
Four of the other big six energy companies have already announced price rises this year, while British Gas has announced a price freeze until August.
- Scottish Power’s standard electricity prices will increase by an average of 10.8% and gas prices by 4.7% on 31 March.
- Npower is raising its standard tariff electricity prices by 15% from 16 March, and gas prices by 4.8%
- EDF Energy cut its gas prices by 5.2% in January, but its electricity prices rose by 8.4% on 1 March
- British Gas is freezing its gas and electricity prices until August
- E.On is increasing electricity prices by an average of 13.8%, and gas prices by 3.8%, on 26 April
Will Morris, SSE’s managing director for retail, said he “deeply regretted” having to put up prices.
“This is the first increase since 2013 and we’ve worked hard to keep them down for as long as possible by cutting our own costs, putting in place a winter price freeze and holding gas prices, but we have seen significant increases in electricity costs which are outside our control,” he said.
“Without an increase we would have been supplying electricity to domestic customers at a loss.”
Last December, industry regulator Ofgem published figures showing that 91% of SSE customers were on standard variable tariffs, and therefore will be affected immediately by the price increase.
The figures also showed that 66% of all UK households were on standard variable tariffs.