The SNP will include a social tariff on energy, broadband and mobile bills in its manifesto this week, John Swinney has said.
The proposal will see those on low incomes, with disabilities and the elderly pay less on their bills, with the party suggesting they be cut in half.
The First Minister spoke to a crowd in Stornoway in the Western Isles on Monday where he unveiled the plan ahead of the SNP manifesto being published on Wednesday.
The proposal would be funded by a mixture of general taxation and “an obligation” the profits of energy companies, with the party claiming the cost would be about £7.8bn for the present year.
The First Minister said his party wants to update entitlements “for the 21st century”.
“This community is wrestling with some of the highest levels of fuel poverty in our country, it is literally unbearable for people, despite the fact that this community is producing vast amounts of renewable energy,” he said.
“At the heart of our manifesto will be that commitment, that we will argue for a social tariff funded by general taxation and by the power companies which will reduce the costs for those who are vulnerable in our society and give them a material contribution to reducing the cost of living.”
But that should go further, he said.
“Today, none of us really can operate without connectivity, access to broadband, access to telecoms, so many public services are delivered by that mechanism as well.
“So we’re going to propose that the social tariff extends also to broadband and telecoms costs, so that people are liberated of the excessive burden and they’re able to access public services and their wider communication in society, because they have got a tariff that is appropriate for meeting their circumstances.”