(5 years, 10 months ago)
Commons ChamberI will rattle through what I have to say very quickly, then, Madam Deputy Speaker.
As both Front Benchers have said, the key to solving fuel poverty is twofold: on the one hand, we reduce the price of energy; and on the other, we help consumers to use less energy. In the two minutes and 30 seconds remaining, I will very quickly whizz through some of the things that we could do that are relatively low-hanging fruit for the Government. First, the costs of running the energy system are growing too much, and we have a number of very comfortable, monopolistic companies that perhaps we could screw down on a little in order to see whether the growth in system costs could be curbed.
Secondly, while the price cap is a useful temporary measure, there is a huge opportunity for market reform in order to take advantage of the very cheap renewable energy that can now be generated, and the flexibility that now exists within the system that can make use of those renewables without the need for quite so much in the way of back-up generation.
We can also make some really good progress on allowing energy and heat as a service to come through as a proposition to consumers. I would like Ofgem to do more to work with the companies that are likely to provide those services so that we can put in place a regulatory construct that will allow consumers to start to take advantage of this sort of initiative very quickly. I know that the Government are leading on the changes to the feed-in tariff, but we must start to look at how we encourage people to generate behind the meter for their consumption behind the meter, because that will reduce their energy costs, too.
But generation is just half of the story—using less is very important, too. Many of the measures I have mentioned, particularly things like heat and energy as a service, will naturally lend themselves to greater energy efficiency, particularly as the companies that are delivering those services are quite likely to want to install the energy efficiency measures within a home or business because they make a greater margin by being able to do that in the most efficient way possible. Lots of companies out there are innovating all the time in terms of what can be put in walls, rooms, doors, windows and floors in order to let less heat escape from a business or a home.