Chris Huhne, the Lib Dem Energy Minister, has called for higher council tax rates for families who have not insulated their homes.
Mr Huhne said he wanted councils to favour homeowners who made efforts to make their homes more energy efficient.
He made the announcement to the environmental audit committee this week, just a few days after Mr Huhne suggested people should shop around, compare energy prices and move supplier to ensure they get the best deal.
He said councils could essentially subsidise tax for people trying to reduce carbon emissions, at the expense of those who were not.
The Daily Express reports that a spokesman for local government secretary Eric Pickles said taxpayers were already fed up with tax rises and would not welcome Mr Huhne's plan.
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