Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, with reference to the Government's response to the Competition and Markets Authority's heating oil market study, what the terms of reference are for the Government's further assessment of the current provision of price transparency.
The government has confirmed that it plans to strengthen regulations in the market for the first time, making sure households who use heating oil are treated fairly.
Next steps will include extensive stakeholder engagement. We will work with those recommended by the CMA in their final report, including the Scottish Government and Northern Irish Executive (where heating oil and consumer protection and advocacy is either fully or partially devolved), and relevant regulators including Ofgem and the Utility Regulator.
We’ll also work with industry and consumer bodies such as, but not limited to, UKIFDA and the Northern Ireland Oil Federation. This engagement will help build the evidence base needed to develop the right options for stronger regulations.
This will take time, and it’s important we get it right, to ensure the best outcomes for consumers.
In the meantime, we will also work across relevant government departments and with industry to strengthen consumer protection measures in the Codes of Conduct, and consider minimum order volumes, access to smaller deliveries and payment plans as well as whether further action is needed to support price transparency. We will look at whether any of the existing rules and guidance on minimum order volumes is unnecessarily restricting consumers’ options, and assess the coverage, accessibility and reliance of existing price transparency provisions. This will determine whether, and what, government intervention is required.
We will set out more detail on the approach to taking forward the recommendations as soon as possible.