Oral Answers to Questions

Gordon Henderson Excerpts

Thursday 1st December 2011 Commons Chamber

[Gregory Barker]

We intend to put the industry back on a sustainable path to growth, far more in line with the projections that were made by the former Secretary of State for Energy and Climate Change who is now the Leader of the Opposition. We need a scheme that supports the industry but does not impose burdens unnecessarily on hard-pressed consumers.

[Gordon Henderson (Sittingbourne and Sheppey) (Con)]

Will my hon. Friend explain why the cut-off date of 12 December for new projects to be accepted at the current feed-in tariff is different from the consultation end date of 23 December? Why the two-week gap?

[Gregory Barker]

The reference date of 12 December is what we are consulting on, but the changes that we are proposing would not actually kick in until the beginning of April. We had to choose a date that we thought fair to allow people who had contracts in the pipeline to complete those contracts, but without allowing sufficient time for people to enter the market who were not already engaged in the process, and we chose April.

--- Later in debate ---

[Chris Huhne]

We will continue to investigate this matter with the energy companies. Some people on prepayment meters used to pay higher tariffs than even the standard rate, but that is no longer the case and they now pay less. That is a substantial step forward, but it is not the end of the story. We will continue to work on this, as I am aware—as is the right hon. Member for Don Valley (Caroline Flint)—that it is a key area of vulnerability.

[Gordon Henderson (Sittingbourne and Sheppey) (Con)]

The planned roll-out of smart meters across the UK will entail millions of homes being fitted with new devices. Will steps be taken to ensure that such devices are interoperable so that they do not act as a disincentive to consumers switching suppliers in order to get a better deal?

[Charles Hendry]

My hon. Friend makes a very important point. That is fundamental to our approach. Smart meters are designed to give consumers more control over the energy they use in their homes, and allowing people to switch and take advantage of different tariffs will be a fundamental part of their success.