Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment his Department has made on potential effect of the Government's proposed energy price cap on investment in the energy sector.

The draft Domestic Gas and Electricity (Tariff Cap) Bill is clear that Ofgem must have regard to the need to ensure that holders of supply licences who operate efficiently are able to finance activities authorised by the licence. It would be for the independent regulator, Ofgem, to make its assessment of efficient operations. Ofgem is not required to have regard to investment projects that are outside the scope of the activities authorised by the supply licence.