Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, what discussions he has had with Ofgem about the balance between standing charges and unit rates for farmer and grower businesses.

My Rt. Hon. Friend the Secretary of State has regular discussions with Ofgem on a range of issues.

Standing charges predominantly recover fixed costs that do not vary by energy use. This includes supplier’s operational costs and the cost of essential network maintenance and upgrades.

Levels of standing charges in the non-domestic market are a commercial decision for suppliers and are not subject to the Energy Price Cap, which only applies to the domestic market. We know that too much of the burden of the bill is placed on standing charges, and we are committed to ensuring that standing charges are fair to all consumers.