Plans may be scrapped for quarterly price cap

Ofgem has been pushed to abandon plans for a more frequently reviewed price cap.

The End Fuel Poverty Coalition, which represents environmental and health campaigners, trade unions and consumer groups, local authorities, suggests a quarterly price cap increase in January 2023 will “penalise” households.

It disputes that adjustments to the price cap must be created to support those on prepayment meters and those who live off-gas and on heat networks.

The group also calls for Ofgem to work with energy suppliers to produce a package of extra support from suppliers for this winter, As an astonishing number of households face fuel poverty.

The said package would be similar in scope to that introduced during the Covid-19 pandemic.

Campaigners also call for an urgent reform of the “regressive” standing charges regime.

The previous week, Ofgem Chief Executive Jonathan Brearley confirmed that the regulator will look at whether the cost of the standing charge could be cut.

Ruth London from Fuel Poverty Action stated: “Ofgem has supported higher charges for people on prepayment meters and has added to the burden of the standing charge element of bills.

“Both force people on low incomes to pay for energy at much higher rates than the wealthy. The current crisis makes it urgent to reverse this grotesque injustice and bring in energy for all – a free band of energy to make sure that everyone can keep warm and keep the lights on.”

“Protecting consumers is our top priority and we take all representations very seriously from consumer groups, as part of the many open consultations we run. We have received the letter this week and will reply fully in due course.” An Ofgem spokesperson stated.

Plans may be scrapped for quarterly price cap

, , , , , , , , , , , , , ,
Previous Post
£1bn for colossal insulation scheme
Next Post
Nord Stream gas flow reductions again in EU

Related Posts

1/3 Brits are eager

Non-domestic RHI scheme extended

Non-domestic RHI scheme extended: A 14-month extension has been announced by the UK Government for non-domestic Renewable Heat Incentive (RHI) scheme applicants to complete projects delayed by the coronavirus pandemic. The move is aimed at companies to help them avoid missing the start-dates for their projects, protect investment in the renewable heat industry and provide…
Read More
1/3 Brits are eager

Greencoat Renewables improves profile with wind farm

Greencoat Renewables improves profile with wind farm: Greencoat Renewables PLC, an investor in renewable energy infrastructure assets, has declared the acquisition of an Irish wind farm and the ending of a new €200 million (£180m) term loan. Situated in Tipperary, the 11.5MW An Cnoc wind project consists of 5 wind turbines that have been working…
Read More

Subscribe to our newsletter!

You have successfully subscribed to the newsletter

There was an error while trying to send your request. Please try again.

British Utilities will use the information you provide on this form to be in touch with you and to provide updates and marketing.