Ed Davey, the Energy and Climate Change Secretary, has announced a series of measures to help households get a better energy deal and turn UK energy green.
The annual Liberal Democrat’s conference featured a speech from the Energy and Climate Change Secretary Ed Davey, announcing his vision for the future of the UK’s energy policy and outlining a series of new measures.
So, what was in the speech?
It was a speech designed to reinforce Mr Davey’s green credentials, and reassure households that the government remains committed to changing the energy market in the UK.
Addressing the need for an £110bn worth of investment to replace Britain’s ageing power stations Mr Davey said: “Be clear: our aim is nothing less, nothing less, than the world’s first ever low carbon electricity market. Moving Britain from dirty to clean electricity.”
“But this focus on restructuring the UK’s approach to energy also starts at home: “Saving energy, energy competition will be how we get people’s energy bills down. And we have the new ideas to make these work much harder for people than ever before.
“Let’s start with energy saving. My vision of the future is one in which houses are so well insulated they cost no more to run in winter than they do in summer.”
What’s been announced?
1) New powers for Ofgem – A new announcement from Ofgem giving them more powers to tackle companies that breach their license conditions. Rather than relying on a voluntary approach, any breaches now require companies to compensate any households who lose out as a result.
2) Help for prepayment meter customers in debt – As we covered earlier in the week from 1 November prepayment households in debt up to £500 will be able to switch supplier, up from the previous £200 limit. The move will cover tens of thousands more households who can now shop around for a better deal and switch.
3) Collective Switching Competition – Following the recent launch of Cornwall Together, Mr Davey is looking to encourage such ‘collective switching’ schemes by offering a £5m reward to the most innovative local authority or third sector scheme.
4) Independent suppliers summit – 99% of households are currently with one of the ‘big six’ energy suppliers, which doesn’t say much for competition in the market. To help shake things up the Secretary of State will host a summit with independent suppliers to see what can be done.
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