Energy investment costs must be kept under control for consumersPlans announced ahead of next week’s Energy Bill
23 November 2012
The government’s plan to encourage private investment in nuclear, wind and other renewable energy sources will be paid for from consumers' gas and electricity bills over the next 10 years and beyond.
Energy secretary Ed Davey has confirmed the government is looking for £110 billion of investment in more sustainable energy sources.
Which? executive director Richard Lloyd said: ‘Huge investment is undoubtedly needed if we are to keep the lights on, but everything possible must be done to keep costs under control, especially at a time when rising energy prices are already one of people’s top financial worries.’
Wind and nuclear power
Mr Davey plans for this agreement to help the UK reach carbon reduction targets and reduce our dependence on imported gas.
Consumer trust in their energy suppliers is already low. They need to know that any increase in bills as a result of renewable energy investment will be scrutinised and controlled.
Scrutinise energy supply contracts
Mr Lloyd wants to see more scrutiny of new energy supply contracts:
‘Real transparency and tough, independent scrutiny of the government’s plans are now vital to avoid unnecessary costs that consumers can little afford.’
We want to see contracts for new energy supplies studied by an independent panel of experts, including consumer representatives, before being presented to Parliament, to reassure the households that will foot the bill that this is good value for their money.
Footing the energy bill
Which? wants the government to ensure its own policies are not going to send people’s already high and rising energy bills through the roof.
The government needs to convince us how it is going to keep a tight grip on the costs that will result from this agreement.