Oral Answers to Questions

Janet Daby Excerpts

Tuesday 19th September 2023 Commons Chamber

[Elliot Colburn (Carshalton and Wallington) (Con)]

15. What steps she is taking to support heat network customers with energy bills.

[Janet Daby (Lewisham East) (Lab)]

17. What assessment she has made with Cabinet colleagues of the potential merits of introducing a mandatory price cap on heat networks.

[The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Amanda Solloway)]

The Government are providing millions in support for remedial work through the heat networks efficiency scheme. We are supporting customers with their bills via the energy bills discount scheme. Through the Energy Bill we will appoint Ofgem as a heat network regulator, so that customers benefit from fairer prices.

--- Later in debate ---

[Amanda Solloway]

I know how hard my hon. Friend works for his constituents and I thank him for bringing this scheme to my attention. We want all heat network customers to receive a high-quality service and fair pricing, which is why we are appointing Ofgem as a regulator through the Energy Bill and currently consulting on how it will operate. Of course I will meet my hon. Friend.

[Janet Daby]

Many of my residents are locked into district heat network schemes. They have been paying up to 13 times more than the rest of the UK because they are not protected by the energy price cap. Do the Government not think it is time to implement a mandatory price cap straight away?

[Amanda Solloway]

At this moment in time we do not think that a uniform price cap would benefit consumers, given the huge diversity in size and scale of providers in the market. However, through the Energy Bill, the Secretary of State will have powers to introduce a price cap, should one be beneficial in future.