Could gas use be set to be taxed?

The government - supported by  think tank the Green Fiscal Commission - has announced its proposals which could see households paying a green tax on their utilities use.

It stated that a "polluter pays" tax shift would provide a significant boost for UK low-carbon jobs and competitiveness and could also reduce UK emissions by over 30 per cent by 2020, along with creating some 455,000 new jobs.

Furthermore, it is believed that higher green taxes, implemented as a tax shift, could by themselves enable the UK to meet its statutory carbon emission reduction targets.

And the Green Fiscal Commission has carried out a poll that would appear to suggest people are behind the plans.

Green Fiscal Commission director Paul Ekins said: "This work suggests that it is possible to substantially reduce emissions and create jobs, which has to be an important message to policy makers at a time of rising unemployment."

But as many households may already be struggling to meet high energy bills as the credit crunch rumbles on, what steps can they take to ensure that their consumption of utilities remains low and green?

Commenting on the news, Rebecca Atkinson, news editor at Moneywise, said: "While most people want to do their bit for the environment, it seems a bit steep to expect the general public to bear the financial burden of climate change in this way."

She added that many households saw their bills "rocket" last year at a time when households were unlikely to be able to fork out more for their utility usage and so far this year there have been only minimal falls in the prices offered by energy providers.

Rather than a move towards green taxes - which she claimed would be difficult for the majority of people, regardless of their current green credentials - Ms Atkinson stated: "There needs to be more education about how families can reduce their energy usage - which would save them money and be beneficial to the environment."

So what would this involve?

There are a number of ways that Britons can help to cut their own household energy bills simply by boosting their energy efficiency around the home.

The Energy Saving Trust offers tips on some of the best ways for reducing energy consumption. The first is to turn down a house's central heating thermostat, as just turning it down by one degree Celsius could cut heating bills by around ten per cent a year, resulting in a saving of £55.

The group adds that a programmer can also be used to control when heating and hot water comes on, rather than leaving it running all of the time.

Other tips include fixing dripping taps, turning off lights and ensuring electrical appliances are not left on standby.

However, people who have more money at their disposal could choose to put it towards making their central heating even greener.

A condensing boiler is currently the most energy efficient gas boiler available to households and could help to reduce annual gas bills by over £250 each year.

Meanwhile, for people who do not have access to mains gas could choose a biomass boiler, which uses wood which can be purchased from a sustainable source, reducing the impact on the environment.

And there are still more ways that people can improve their green credentials, including by investing in renewable energy technology.

Renewable energy can be used to heat the home by using appliances such as solar panels and ground or air source heat pumps.

Armed with this knowledge, Britons may be able to lower their energy bills and ensure they are prepared should a new green tax be introduced in the future.