Oral Answers to Questions

Debate between John Baron and Lord Barker of Battle

Thursday 14th March 2013 Commons Chamber

[Mr John Baron (Basildon and Billericay) (Con)]

17. What steps he is taking to increase competition in the energy market.

[The Minister of State, Department of Energy and Climate Change (Gregory Barker)]

Like my hon. Friend, we want more competition. One of the biggest barriers to entry and to greater competition is low liquidity in the wholesale power market. Ofgem is currently taking forward reforms to address that issue, and we are supportive of its progress, but the Government are also seeking backstop powers in the Energy Bill to allow us to act, should Ofgem and industry actions prove insufficient.

[Mr Baron]

I thank the Minister for that response. The billing stakeholder group produced a number of recommendations to increase competition, including putting more tailored information on the face of quarterly bills. Those recommendations were taken up by Ofgem and they chime with what the Prime Minister has said, but we know that the energy companies oppose them. Will the Minister give us an assurance that the energy companies will not be allowed to row back on those recommendations?

[Gregory Barker]

Yes, I can. I pay tribute to my hon. Friend for ensuring that these proposals, which will make a transformational difference to consumer bills, end up being enacted, and for the work of his stakeholder group. I can tell him that the proposals will be part of the licence conditions, and that if energy companies fail to deliver on them, they could be fined up to 10% of turnover. We are of course taking powers in the Energy Bill as well.

Oral Answers to Questions

Debate between John Baron and Lord Barker of Battle

Thursday 13th December 2012 Commons Chamber

[Mr John Baron (Basildon and Billericay) (Con)]

T6. Will the Government do what they can to support the billing stakeholder group’s key recommendation, which has been adopted by Ofgem in its present consultation, that would oblige energy companies to be much more transparent in their bills? That chimes with the Prime Minister’s statement, but we know that the energy companies do not like it.

[The Minister of State, Department of Energy and Climate Change (Gregory Barker)]

I thank my hon. Friend for his dogged determination in pursuit of this issue. I assure him that, although we cannot yet declare victory, we have victory within our grasp. Thanks to the leadership of the Prime Minister and our determination to legislate, we are moving towards bills that not only offer greater transparency and clarity, but instil greater competition. I think that our final model will be based on the modelling that my hon. Friend has shared with us.

Energy Bill [Lords]

Debate between John Baron and Lord Barker of Battle

Wednesday 14th September 2011 Commons Chamber

[Mr Baron]

In short, does the Minister accept the three recommendations of the billing stakeholder group, which are contained in new clause 19? I accept that we do not need to press the matter and put them in the Bill.

[Gregory Barker]

I broadly support those recommendations, although we might have to address some of the detail, such as the nature of the communication. We want to ensure that we have the best possible advice. However, I am happy to confirm that we are on exactly the same page in broadly supporting the three recommendations my hon. Friend has made.

In summary, although I am sympathetic to the well intentioned principles behind many of the amendments, and I apologise if I have been unable to speak in detail to some of them, I hope that the hon. Members for Liverpool, Wavertree, for Ogmore, for Rutherglen and Hamilton West, for Southampton, Test, for Brighton, Pavilion, and for Gower, and my hon. Friend the Member for Basildon and Billericay, have found my reassurances, explanations and commitments satisfactory, and that they consider not pressing their proposals to a Division, given that we have moved a long way since the Bill was first published—

Oral Answers to Questions

Debate between John Baron and Lord Barker of Battle

Thursday 10th February 2011 Commons Chamber

[Gregory Barker]

I tell you what—it will not take us 13 years to come up with a plan for a green investment bank. It was this Chancellor of the Exchequer who announced plans for a green investment bank, this coalition that is working on plans for it and this coalition that will bring it forward. The hon. Lady will just have to contain her excitement. She would do better to dwell on the Opposition’s abysmal record on green investment, instead of asking fatuous questions from the Dispatch Box.

[Mr John Baron (Basildon and Billericay) (Con)]

6. What plans he has for the inclusion of provisions on cheapest tariff information in the forthcoming Energy Bill.

[The Minister of State, Department of Energy and Climate Change (Gregory Barker)]

We are taking powers in the Energy Bill to require energy suppliers to provide their domestic customers with clear information about their lowest tariff. Initially, we are seeking the suppliers’ agreement to provide that information voluntarily. However, if there is no satisfactory agreement to do so by the end of the summer, we will use this power.

[Mr Baron]

The Minister will recognise the importance of this issue, given the recent price increases and the confusion caused by the hundreds of different tariffs. He will be aware that I submitted detailed proposals about how cheapest tariff information could be displayed on domestic bills, in consultation with the consumer magazine Which?. Will he meet me to discuss this issue further?

[Gregory Barker]

My hon. Friend is one of the House’s leading experts on this issue. It is complex and the answers are not easy. He has submitted information to my Department, which has been extremely valuable. We are determined to get this right and I would be delighted to meet him in the Department.