Question

To ask the Secretary of State for Energy and Climate Change, what estimate her Department has made of the average per kwh cost of energy in each of the next five years; and if she will make a statement.

Energy price assumptions underpinning DECC’s 2015 Energy and Emissions Projections are available in Annex M of the supporting documentation available online.1 The table includes wholesale coal, crude oil, electricity, and natural gas price assumptions, and retail electricity, natural gas, and petroleum product price assumptions for a range of sectors. Assumptions are available out to 2035, and for a range of scenarios.

The Government is implementing a package of measures to reduce the projected cost of policies on the average household dual fuel bill by £30 from 2017. The bulk of these savings will come from reforms to the current Energy Company Obligation, which will be replaced by a new cheaper supplier obligation from April 2017. The new scheme will deliver on the government’s commitment to help 1 million homes see lower energy bills through energy efficiency improvements by the end of this parliament. The government is committed to ensuring that energy is affordable for families and businesses.

[1] Source: https://www.gov.uk/government/publications/updated-energy-and-emissions-projections-2015.