Dawn asks what happened to the Prime Ministers pledge on cheap energy tariffs

Dawn

To ask the Secretary of State for Energy and Climate Change, with reference to the contribution of the Prime Minister on 17 October 2012, Official Report, column 316, what steps the Government has taken to bring forward legislative proposals to compel energy companies to give the lowest tariff to their customers.

Answer by Andrea Leadsom, Minister of State (Department of Energy and Climate Change)

The Government introduced powers in the Energy Act 2013 to give effect to the Prime Minister’s commitment. These powers enabled the Government to make changes to supplier standard licence conditions to ensure that customers are on the cheapest tariff that is in line with their preferences. However as the necessary changes to supplier licence conditions were introduced by Ofgem in 2013, the Government has not had to exercise these powers.

Ofgem has since referred the GB energy market to the Competition and Markets Authority for a full market investigation which is due to conclude in June 2016 following the publication of the Provisional Decision on Remedies on 10 March. The Government has committed to taking forward the CMA’s recommendations.

Answered on: 18 March 2016

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