Domestic Gas and Electricity (Tariff Cap) Bill (Second sitting)

Debate between Alan Whitehead and Bim Afolami

Committee Debate: 2nd sitting: House of Commons
Tuesday 13th March 2018 Public Bill Committees

[Bim Afolami (Hitchin and Harpenden) (Con)]

I understand the thinking behind amendment 4. At first glance, one might almost be persuaded by it—until one looks at the clause in its entirety. The first sentence of clause 1(6), which governs all its paragraphs, states that functions must be exercised

“with a view to protecting existing and future domestic customers”.

That consideration is already in the legal framework.

With respect to the hon. Gentleman’s second pillar, the reference to £100 in his proposed new paragraph (e) is very prescriptive. It would make Ofgem’s already pretty difficult job—setting the cap at a level that satisfies all the conditions—even harder.

[Dr Whitehead]

I appreciate the hon. Gentleman’s point. Paragraph (e) would, conceivably, make life more difficult for Ofgem with respect to what it has to consider. As he correctly points out, it is required first to take a very general view

“to protecting existing and future domestic customers who pay standard variable and default rates”,

and then

“in so doing it must have regard to the following matters”—

those listed in the following paragraphs. In other words, if my reading is correct, after Ofgem has undertaken its initial consideration, it has a number of specific further considerations to take into account. All our amendment says is, “Here are two more to add to the list.”