Energy: Prices

(asked on 23rd June 2014) - View Source

Question

To ask the Secretary of State for Energy and Climate Change, what steps he has taken to assess whether the whole of the reduction in costs levied for investment in renewables has been passed on to consumers by energy suppliers.


Answered by
Michael Fallon Portrait
Michael Fallon
This question was answered on 26th June 2014

In December 2013 the Government announced a package of measures to reduce household bills by an average of around £50 in 2014 compared to what they would have been. The package consisted of a £12 Government Electricity Rebate which will be delivered to customers of all licenced domestic electricity suppliers in autumn 2014 and 2015, proposed changes to the Energy Company Obligation (ECO), which will result in £30-£35 off bills, on average, this year and voluntary action by electricity distribution network companies to reduce network costs in 2014/15, which will allow a further one-off reduction of an average of around £5 on electricity bills. All of the big 6 have announced how they will be passing the benefits on to consumers. This is set out in an Energy UK publication available here:

http://www.energy-uk.org.uk/publication/finish/3-factsheets-and-guides/1106-eco-changes-major-energy-suppliers.html

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