Annual Energy Statement

Debate between Justin Tomlinson and Chris Huhne

Wednesday 23rd November 2011 Commons Chamber

[Chris Huhne]

I have had continued discussions with Ofgem and, indeed, with the First Minister of Scotland. He and I think absolutely alike on the importance of moving to a regime that does not penalise energy sources for being further away from the market, precisely because renewable sources will inevitably be located where the renewables are. Also, nuclear is generally not welcome in the middle of our cities. For those reasons transmission charging should be amended. Ofgem is looking at that at present, but it is up to it to do so as an independent regulator.

[Justin Tomlinson (North Swindon) (Con)]

The majority of consumers seek to shop around when their tariff rises, only then to run the danger that their new tariff will rise even further only days later. What measures are being considered to protect consumers on new tariffs for either six or 12 months?

[Chris Huhne]

The hon. Gentleman is right. Consumers have the option to choose a fixed rate of course, which will be for a specified period. At the time of the recent consumer energy summit, we made the key point that the big six, which supply 99% of our households, had announced their tariff changes and that some of them had committed to keeping them all the way through the winter. Right now is therefore a rather good time to compare prices and switch to the cheapest tariff.