Energy: Prices

(asked on 7th March 2022) - View Source

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

To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he is taking with Ofgem to help support residents with communal heating systems not subject to the energy price cap.


Answered by
Greg Hands Portrait
Greg Hands
Minister of State (Department for Business and Trade)
This question was answered on 15th March 2022

The Government is aware of the steep increases that some consumers on communal networks are facing. For this reason, the Government is taking action worth more than £9.1billion supporting households through initiatives such as the Energy Bills Rebate, the Household Support Fund, Warm Home Discount, Winter Fuel Payments and Cold Weather Payments. These measures are intended to cover heat network consumers and the government is engaging closely with industry and consumer groups to understand the specific impacts in the heat network sector.

In order to further ensure that heat networks consumers continue to receive fair pricing in the future, the Government will appoint Ofgem as the regulator for heat networks on the introduction of market regulation, which the Government aims to introduce in this parliament. Regulation will provide Ofgem with powers to ensure fair pricing across all UK wide heat networks. This will enable equivalent protection for domestic heat network customers as well as ensuring heat network operators are securing good purchasing deals for their consumers. This will mean that consumers are charged a fair rate for heating whilst encouraging further investment in heat networks.

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