Energy Markets Competition Assessment

Sammy Wilson Excerpts

Thursday 27th March 2014 Commons Chamber

[Mr Davey]

I strongly agree with my hon. Friend and I am genuinely pleased at the way in which the discussion has gone among the parties in the House. It is important that we allow the independent competition authorities the time to get to the bottom of the matter. Let the professional experts deal with it, and let the political parties listen to them and follow their advice.

[Sammy Wilson (East Antrim) (DUP)]

The report highlights that, because of local monopolies, barriers to entry and colluding between the big six, they have been able to hold on to 95% of the market share and increase their profits. Is that not an indication that now is the time for quick action rather than further reviews, and would one quick action be to reduce the subsidies to the renewables industry, which the Secretary of State’s own Department admits currently add 10% to energy bills?

[Mr Davey]

I certainly do not recognise that figure, and the hon. Gentleman needs to look at what has been driving up bills: it has been the price of wholesale gas. Whether it is that trend in the past decade or the events in Ukraine and Crimea, people should worry about relying on just importing gas from abroad. We need to diversify, so we need to invest in renewables, nuclear, carbon capture and storage, and energy efficiency. We need a diverse approach. That is the best way to ensure that we get prices down and keep the market competitive.