Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if she will make an assessment of the potential impact of trends in the level of energy tariff standing charges on small businesses.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
Ofgem issued a Call for Input on standing charges which closed on 20 January 2024. It included an invitation to submit views on the issues affecting standing charges in the non-domestic retail sector. Ofgem are currently analysing responses and reviewing the make-up and structure of standing charges.
The Government recognises that businesses are facing pressure through their energy bills. That is why on 30 March 2024, my Rt Hon Friend the Secretary of State and I wrote to Ofgem, highlighting the importance of keeping standing charges as low as possible.
https://twitter.com/ClaireCoutinho/status/1774001008953217079
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what recent discussions she has had with Ofgem on trends in the level of commercial energy tariff standing charges.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
On 30 March, my Rt Hon Friend the Secretary of State and I wrote to the Chief Executive of Ofgem, highlighting the importance of keeping standing charges as low as possible.
Ofgem launched a call for input in November 2023 on standing charges in the non-domestic and domestic retail markets, looking at how they are applied to energy bills and what alternatives could be considered. Ofgem is currently analysing the responses and will publish its response in due course.
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what steps her Department has taken to help SMEs pay their energy standing charges.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
Standing charges are a matter for Ofgem as the independent economic regulator. Ofgem recently conducted a call for input looking at how standing charges are applied to energy bills. Ofgem is analysing the submissions it received and will publish its response in due course. www.ofgem.gov.uk/publications/launch-review-standing-charges-energy-bills
The Government recognises that businesses are facing pressure through their energy bills. That is why on 30 March 2024, my Rt hon Friend the Secretary of State and I wrote to Ofgem, highlighting the importance of keeping standing charges as low as possible.
https://twitter.com/ClaireCoutinho/status/1774001008953217079
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what guidance her Department issues to companies that have difficulties paying the standing charges on their commercial energy tariffs.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The standing charge is matter for Ofgem. Ofgem launched a call for input in November 2023 looking at how standing charges are applied to energy bills and what alternatives could be considered. Ofgem is analysing the responses and will publish its response shortly.
Contract negotiations are a matter for businesses and their energy supplier. If a company is concerned about their ability to pay their energy bills, the Government suggests contacting their supplier as soon as possible. It may be possible to negotiate a new contract, including whether a contract without standing charges is available, or to agree a payment plan to help the company to better manage its energy payments.
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if she will take legislative steps to cap standing charges for (a) commercial and (b) domestic energy suppliers.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The standing charge is matter for Ofgem. Ofgem launched a call for input in November 2023 on standing charges in the non-domestic and domestic retail markets, looking at how they are applied to energy bills and what alternatives could be considered. Ofgem is currently analysing the responses and will publish its response in due course.
On 30 March, my Rt Hon Friend the Secretary of State and I wrote to the Chief Executive of Ofgem, highlighting the importance of keeping charges as low as possible.
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what recent discussions she has had with the Mineworkers’ Pension Scheme Trustees on the surplus sharing arrangements of that scheme.
Answered by Justin Tomlinson - Minister of State (Department for Energy Security and Net Zero)
Ministers and Trustees last discussed the surplus sharing arrangements in 2021. The Government has been consistent that it would consider any proposals that the Trustees bring forward.
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if she will review the (a) surplus sharing and (b) other arrangements of the Mineworkers' Pension Scheme.
Answered by Andrew Bowie - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government has been consistent in its willingness to consider any proposals that the Trustees bring forward. Ministers have previously been willing to discuss proposals including those which would alter the surplus sharing arrangements.
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, how many people receive fuel under the National Concessionary Fuel Scheme in Rother Valley constituency.
Answered by Justin Tomlinson - Minister of State (Department for Energy Security and Net Zero)
There are 45 individuals in receipt of solid fuel in Rother Valley constituency postcode areas as of 15th April 2024. There are an additional 517 individuals that have selected the cash-in-lieu of fuel alternative available under National Concessionary Fuel Scheme arrangements.
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, how many people are recipients of the Mineworkers’ Pension Scheme in (a) Rother Valley constituency and (b) the rest of the UK as of 16 April 2024.
Answered by Justin Tomlinson - Minister of State (Department for Energy Security and Net Zero)
As at June 2023, there were 1,778 Mineworkers’ Pension Scheme (MPS) members living in the Rother Valley constituency. As at 29 February 2024, there were 116,143 MPS members. These are the latest available figures.
Asked by: Alexander Stafford (Conservative - Rother Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what recent discussions she has had with Ofgem on discrepancies in the cost of electricity standing charges across the country.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
DESNZ Ministers and officials regularly discuss with Ofgem issues relating to the energy retail market.
Standing charges are a commercial matter for suppliers, although Ofgem regulates standing charges as they do with other elements of billing. This includes setting a cap on standing charges as part of the overall default tariff cap.
The variance in standing charge is mainly due to regional differences in energy distribution costs. These costs reflect the expenses of maintaining and upgrading the distribution network in a specific area, and the number of consumers those costs are spread across.
On 30 March, my Rt hon Friend the Secretary of State and I wrote to the Chief Executive of Ofgem, highlighting the importance of keeping standing charges as low as possible.