Tony Baldry
Main Page: Tony Baldry (Conservative - Banbury)
Chris Huhne
This is a real problem, in part because fuel poverty reduction is an objective for which the Government are not solely in control. Clearly, as energy prices bounce around, people get brought into or leave fuel poverty. As part of the fuel poverty review, I want us to set clearly obtainable objectives to deal with the root causes of fuel poverty. One key issue is that those on the lowest incomes often have enormously variable energy bills—varying, in fact, by a factor of six. If they are in modern social housing they can have low energy bills, but they can have very high bills if they are in private rentals. We must deal with energy efficiency issues.
Tony Baldry (Banbury) (Con)
On energy prices, how will my right hon. Friend ensure that the carbon floor price encourages investors to put money into green energy and does not simply become a mechanism that substantially increases energy bills?
Chris Huhne
That is one element of the proposals we will be bringing forward later in the consultation document. Indeed, we will make a statement on it. The Treasury will consult on the carbon tax element today. It is one of four key instruments that we will suggest should play a part in reforming the electricity market, taken together with our price support measures and our very keen enthusiasm to encourage market entrants. As competition is the best guarantee to consumers, I believe we can ensure that we have the best possible deal for electricity and gas supply in future.