My Lords, what we have witnessed is a severe weather event. What we need to do is to have mitigation systems in place to ensure that those local residents do not have to suffer again as they have done.
(11 years, 1 month ago)
Lords ChamberI, too, thank the noble Lord, Lord Campbell-Savours, for his amendment. The noble Lord has a long-standing interest in this matter and I understand his desire to encourage more energy efficiency and to reduce the energy bills of low-income households. We considered in the past the case for rising block tariffs. When the issue was debated during the passage of the Energy Bill 2011 we were concerned, as we are now, that they would have an adverse impact on fuel-poor households with high energy consumption. I followed very carefully the noble Lord’s argument that this would not happen, but I believe that many consumers would see their bills rise under a rising block tariff.
The Committee on Climate Change has also examined the case for rising block tariffs and concluded that they,
“should not be introduced until fuel poverty has been addressed through targeted energy efficiency improvement and other fuel poverty policy measures”.
We are addressing fuel poverty through the Warm Home Discount. This year more than 1.1 million households will receive an automatic rebate on their electricity bill of £135 and more than 2 million households will receive assistance from the scheme as a whole. As the noble Lord rightly points out, we are also tackling the poor energy efficiency of our homes through the Energy Companies Obligation and the Green Deal. Some 230,000 vulnerable and low-income households will be warmer this year because of the measures installed in their homes under ECO.
Clauses 130 to 133 are intended to enable the Secretary of State to simplify the tariff market, to increase competition in the retail domestic energy market through greater consumer engagement and to get consumers on to the best tariff for them. We have introduced these clauses to give statutory backing to Ofgem’s reforms of the retail energy market. These reforms have been developed to ensure that customers are on the cheapest tariff that is in line with their preferences with their current supplier. They will introduce a simpler, clearer tariff framework so that consumers can compare tariffs across the market more easily.
The noble Baroness mentioned smart meters. I agree with her. When people have smart meters installed, that will help them recognise the amount of energy that they are paying for at the time of use, and will inform them of when to use energy at different times of the year to get the best value out of it during the day. However, we are just rolling out smart meters now. They are not yet part of a mass rollout. So a key measure is to give consumers the ability to compare tariffs, banning complex multi-tier tariffs and requiring suppliers to structure all tariffs as a standing charge and single unit rate.
Introducing a framework for rising block tariffs would cut across Ofgem’s reforms to deliver a fairer, more transparent and competitive market. We are backing its proposals, not instructing it how to regulate the market. Ofgem is an independent regulator and is best placed to assess the regulatory changes needed. Although I suspect that he will not, I hope that the noble Lord will find my explanation reassuring, and that he will withdraw his amendment.
My Lords, the Minister said that she thought that it would be easier for consumers to compare tariffs. The reality is that, if she had supported the amendment moved by the noble Lord, Lord Forsyth, that would have been the case. In reality, there will be very little difference in the way that billing is presented, and certainly in the ability of the public to comprehend billing.
I latched on to the statement made by my noble friend on the Front Bench when she referred to smart meters. Although I was engaged, as was the noble Lord, Lord Teverson, in the smart meter debate in 2008—we had those critical meetings at the end before we managed to win, as he will remember—I did not realise the significance of this until my noble friend referred to it just now. It is possible that smart meters will give us some of the information that I need to further reinforce my argument when, no doubt, in a few years’ time, I once again table the same amendment in the hope that one day someone will pick it up and we will transform the energy consumption arrangements for the average household in the United Kingdom. I beg leave to withdraw the amendment.
(11 years, 8 months ago)
Lords ChamberI know that my noble friend has some views on this but I cannot agree with many of them. The market for low-carbon goods and services is a growing one for the UK, so I do not buy into the argument that this is costing British business. We are increasingly able to offer renewable energies as part of a good mix of our energy supply, so that we become less dependent on international global price hikes. I urge my noble friend to look at the benefits of having a good energy mix. Part of that must be a good carbon floor price.
My Lords, where are we in the discussions on overall climate change targets for 2030, and to what extent will these include clear targets on renewables?
My Lords, the noble Lord of course knows that renewables will play a vital role in both the UK and the EU’s low-carbon energy mix. We will continue to ensure that that is the case after 2020. Our own electricity market reform proposals will provide strong support for renewable electricity generation, and at EU level we need to consider, within the proposed broader 2030 climate and energy framework, how best to support renewables and other low-carbon forms of energy.
(11 years, 10 months ago)
Lords ChamberI thank my noble friend for drawing my attention to that. I invite him to forward me the e-mail that he quoted so that my officials might look at it in closer detail. I know that passions were raised on both sides of the argument in Cumbria, but that is right and proper in a democratic process. However, my noble friend is right that a lot of scaremongering and misleading information was distributed out there. Unfortunately, when we go down the road of ensuring that this is a community-led, voluntary process, one of the by-products is that there will be misleading information. I will look very carefully at that and if it is something that I need to raise further and looks as if it is intimidation, I will take it as a matter perhaps for the police to look at.
My Lords, what is the status of that proposed project now that Cumbria has said no and yet the districts of Copeland and Allerdale have said yes? Where are we now in this whole discussion?
My Lords, the noble Lord raises an important point. I have taken the decision to reflect on why the process did not work as well as it should have done. I will be in communication with the councils again to see where we have learnt lessons and where we might have done a little better in our engagement with the broader public and local businesses. The process is the right one. It is a government policy and will remain one. I just need time to reflect on how to make the process better.
(11 years, 10 months ago)
Lords ChamberMy Lords, I think that the noble Lord’s question is slightly away from the Question on the Order Paper. I remind him that, as a country, we need a mixed source of energies, and wind is one of those sources.
My Lords, to what extent has voltage optimisation been incorporated into the Green Deal?
My Lords, I know that the noble Lord is very keen on voltage optimisation. I remind noble Lords that it is an area that we have looked at, and continue to look at.
My Lords, I am afraid that I do not take responsibility for the tariff of this House, but I will take my noble friend’s request back to the facilities department.
My Lords, is not the best way to reduce electricity consumption prices to go for voltage optimisation? What is the Government’s attitude towards that?
My Lords, we have looked at all aspects of reducing energy bills, even voltage optimisation, but we feel that the path we are taking is one by which we will be able to give a greater mix of energy supplies to consumers and a greater choice.
My noble friend speaks as many people feel: there is much that we need to do for the consumer. However, he will also be aware that energy bills have been rising because of wholesale prices rising, a matter over which we have very little control. Many of the increases that have taken place have occurred because of wholesale prices and not because energy companies here are raising prices.
My Lords, voltage optimisation is not an alternative to competing energy tariffs—it can be applied in the case of all companies providing electricity. Why do the Government not take it far more seriously, when very substantial gains are available under the introduction of voltage optimisation?
My Lords, I appreciate the noble Lord’s insistence on this but I will refer to my previous response. We are looking at all options, and we have looked at voltage optimisation.
(12 years, 9 months ago)
Lords ChamberI absolutely agree with my noble friend. We see universities as places not only of learning but of great understanding. All the organisations that my noble friend mentioned are at the heart of those tasks of moving forward. However, we take the concerns very seriously and we understand why the noble Baroness has posed this Question and the noble Lord, Lord Janner, has raised it. We are working to ensure that all universities stand up for any students who feel under threat, regardless of their race, religion or background.
My Lords, is it not important that we draw a very clear distinction between the actions of anti-Semites and the actions of those who feel passionately about the actions of the state of Israel in the West Bank of the Jordan and in the Gaza Strip?
My Lords, I do not want to enter into another debate, and that is a separate debate although it is one that we must not shy away from. At the same time, we do not want to lose the greatness of our universities, which allow students to hear contributions that are often very vile but then also allow them to make a judgment as to their response.
(13 years, 3 months ago)
Lords ChamberIt is the custom in parliamentary debates for Ministers to respond to debates. Does the noble Baroness intend to reply to the debate and individual points made by Members?
If the noble Lord were patient he would know that the points I am making relate to the points raised, and I will also directly reply to points raised by noble Lords.
The specific duties we are discussing today will ensure that public duties do that balancing correctly. They will open up the decision-making and performance of public bodies to scrutiny. If people think that their religious freedoms and beliefs are being overlooked by public bodies, or that people of their religion are being treated unfairly, they will be able to look at the equality information that public bodies will be required to publish and to hold them to account. They will also be able to question a public body if they feel that the organisation is inappropriately advancing the interest of one religious group over another. Relevant data will be in the public domain for them to check.
On the issue of costs, it is simply not the case that the regulations will unnecessarily burden the public sector. On the contrary, they are designed to help public bodies comply with the equality duty and, by harmonising the three previous equality duties on race, gender and disability into a single duty and making the new single equality duty less bureaucratic and more straightforward to comply with, we are delivering long-term savings for the public sector. We estimate that the compared costs of complying with the previous duties and with the new single equality duty and the new specific duties will result in a net benefit to the public sector of £11 million in year one and about £19 million a year from year two onwards. That will deliver public services which are better tailored to the different needs of service users, which is what the equality duty is designed to do. We will also save public bodies money in the long run.