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To ask the Secretary of State for Energy Security and Net Zero, what steps he is taking to support farmers with increased electricity standing charges.
To ask the Secretary of State for Energy Security and Net Zero, what steps he is taking to support farmers with increased electricity standing charges.
Network charges are set by the independent energy regulator, Ofgem, in line with the Connection and Use of System Code. As part of setting electricity transmission price controls under its RIIO‑T3 (ET3) Final Determinations, Ofgem carried out an impact assessment considering the overall effect of its decisions on domestic and non-domestic consumers. Details of Ofgem's impact assessment can be found through the following link: RIIO-3 Final Determinations – Impact Assessment
The Government and Ofgem closely monitor the impact of energy prices on businesses and communities and are committed to ensuring that energy costs are recovered fairly, including considering the ongoing role of standing charges.
This Government is taking decisive action to support farmers and fishers by cutting the duty on red diesel to its lowest rate in over 20 years, reducing the rates on red diesel by a third. Government has acted to prevent unfair practices like price-gouging, help those who rely on heating oil, and ensure businesses get a fair deal on their bills.
Lords motion to consider. Agreed to on question.
Lords motion to consider. Agreed to on question.
My Lords, these draft regulations were laid before the House on 8 June and, in case noble Lords think we are suffering from a small dose of déjà vu, similar regulations, which we debated at the time, were laid months ago for reasons that I will come to in a...
My Lords, these draft regulations were laid before the House on 8 June and, in case noble Lords think we are suffering from a small dose of déjà vu, similar regulations, which we debated at the time, were laid months ago for reasons that I will come to in a...
I thank the Minister for presenting the regulations before us. I express the hope that he stays in his position, as indeed does the Whip. We do not like changes in the House of Lords.
I will make a couple of comments. Eons ago, I served as the shadow Environment Minister...
I thank the Minister for presenting the regulations before us. I express the hope that he stays in his position, as indeed does the Whip. We do not like changes in the House of Lords.
I will make a couple of comments. Eons ago, I served as the shadow Environment Minister...
I think that, in fact, our government lectern is higher than the opposition lectern.
I think that, in fact, our government lectern is higher than the opposition lectern.
For very good reason.
For very good reason.
As we are all about the same height at this end, we do not need it. We should not worry about that.
Can the noble Lord write to me—I have asked this on more than one occasion—to tell me whether he, the department and the Government are inclined to look into...
As we are all about the same height at this end, we do not need it. We should not worry about that.
Can the noble Lord write to me—I have asked this on more than one occasion—to tell me whether he, the department and the Government are inclined to look into...
My Lords, I thank the Minister for the way in which he introduced these regulations. It is almost like double déjà vu because we have considered the Northern Ireland regulations and we considered these ones very recently. We had a good debate on them last time, so I will be...
My Lords, I thank the Minister for the way in which he introduced these regulations. It is almost like double déjà vu because we have considered the Northern Ireland regulations and we considered these ones very recently. We had a good debate on them last time, so I will be...
My Lords, I declare my interest as chairman of both Amey and of Acteon subsea engineering company, which works on offshore wind and oil and gas around the world, and as chairman of Buckthorn Partners, all of which are involved with energy transition.
I am very grateful to the Minister for...
My Lords, I declare my interest as chairman of both Amey and of Acteon subsea engineering company, which works on offshore wind and oil and gas around the world, and as chairman of Buckthorn Partners, all of which are involved with energy transition.
I am very grateful to the Minister for...
My Lords, I apologise for the interruption due to the vote. I was simply going to give the Committee one example of the consequences of overreliance on renewables.
On 23 June this year, NESO, the National Energy System Operator, faced severe supply constraints caused by high electricity demand for cooling during...
My Lords, I apologise for the interruption due to the vote. I was simply going to give the Committee one example of the consequences of overreliance on renewables.
On 23 June this year, NESO, the National Energy System Operator, faced severe supply constraints caused by high electricity demand for cooling during...
I thank noble Lords for their constructive contributions and hope they will forgive me if I do not tarry too long in my closing speech and try to give a detailed response to everything that has been put forward. They are all very valid points but, among other things, we...
I thank noble Lords for their constructive contributions and hope they will forgive me if I do not tarry too long in my closing speech and try to give a detailed response to everything that has been put forward. They are all very valid points but, among other things, we...
In the interests of transparency, will the Minister write to us with the outcome of that report, so that this Committee, and indeed the House, are fully apprised of what happened that day and the actions being taken?
In the interests of transparency, will the Minister write to us with the outcome of that report, so that this Committee, and indeed the House, are fully apprised of what happened that day and the actions being taken?
Yes, I am very happy to do that, but I anticipate—I do not know whether the noble Lord has this actively in mind—that we may have an Urgent Question coming on this, so we may be able to start talking about it at that point.
On the wider question of frequency...
Yes, I am very happy to do that, but I anticipate—I do not know whether the noble Lord has this actively in mind—that we may have an Urgent Question coming on this, so we may be able to start talking about it at that point.
On the wider question of frequency...
The Government have worked with Ofgem to bring forward low or no standing charge schemes, which are supposedly open for trial. I cannot find them and neither can my residents. The access to those schemes is so small, so what are the Government doing to make them available to more people now?
The Government have worked with Ofgem to bring forward low or no standing charge schemes, which are supposedly open for trial. I cannot find them and neither can my residents. The access to those schemes is so small, so what are the Government doing to make them available to more people now?
I will share details of that with the hon. Lady. We are also undertaking the cost allocation review, which deals with those issues.
I will share details of that with the hon. Lady. We are also undertaking the cost allocation review, which deals with those issues.
I will share details of that with the hon. Lady. We are also undertaking the cost allocation review, which deals with those issues.
The Government have worked with Ofgem to bring forward low or no standing charge schemes, which are supposedly open for trial. I cannot find them and neither can my residents. The access to those schemes is so small, so what are the Government doing to make them available to more people now?
To ask the Secretary of State for Energy Security and Net Zero, whether his Department has made an assessment of the potential merits of requiring electricity resellers on park home sites to itemise (a) standing charges and (b) unit rates separately when billing residents.
To ask the Secretary of State for Energy Security and Net Zero, whether his Department has made an assessment of the potential merits of requiring electricity resellers on park home sites to itemise (a) standing charges and (b) unit rates separately when billing residents.
The Government is very clear that resellers such as landlords should not profit from reselling energy to consumers. The maximum price at which gas or electricity can be resold to domestic consumers is the same price that the reseller (such as the park home site operator) paid for it, including standing charges. This Maximum Resale Pricing (MRP) provides transparency and protections for consumers and is a matter for Ofgem as the independent regulator.
Currently, consumers who suspect that MRP has been breached can request evidence from landlords, review bills and contracts and, if necessary, pursue disputes through tribunals or civil courts.
However, Ofgem realise that enforcement mechanisms are failing to protect some consumers. Ofgem’s current review of the MRP sought views on fair pricing and consumer protection, with a policy consultation planned for Summer 2026.
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential impact of recent increases in electricity standing charges on agricultural and horticultural producers in Great Britain.
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential impact of recent increases in electricity standing charges on agricultural and horticultural producers in Great Britain.
Network charges are set by the independent energy regulator, Ofgem, in line with the Connection and Use of System Code. As part of setting electricity transmission price controls under its RIIO‑T3 (ET3) Final Determinations, Ofgem carried out an impact assessment considering the overall effect of its decisions on domestic and non-domestic consumers. Details of Ofgem's impact assessment can be found through the following link: RIIO-3 Final Determinations – Impact Assessment
The Government and Ofgem closely monitor the impact of energy prices on businesses and communities and are committed to ensuring that energy costs are recovered fairly, including considering the ongoing role of standing charges.
Recent instability in the Middle East has shown how global events can push up prices here at home. Through Clean Power by 2030, we are investing in clean, homegrown power to strengthen energy security and bring bills down for good.
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential impact of increases in electricity standing charges on farm businesses in Fylde constituency.
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential impact of increases in electricity standing charges on farm businesses in Fylde constituency.
The Government recognises concerns about the impact of standing charges on business consumers and is committed to ensuring that energy costs are recovered fairly.
We are working closely with Ofgem as it undertakes its Cost Allocation and Recovery Review, which is considering how fixed system costs, including those commonly recovered through standing charges, are allocated across domestic and non-domestic consumers and whether they could be recovered in fairer and more progressive ways, including in relation to regional differences.
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the impact of recent increases in electricity standing charges for business customers in Cumbria on businesses; and what steps he is taking to ensure charges are proportionate.
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the impact of recent increases in electricity standing charges for business customers in Cumbria on businesses; and what steps he is taking to ensure charges are proportionate.
Levels of standing charges in the non-domestic market are a commercial decision for suppliers, who typically set their prices based on network charge differences, leading to regional variations in electricity standing charges.
Nonetheless, the Government understands that for too many consumers, too much of the burden of the bill is placed on standing charges and is committed to lowering the cost of standing charges. Ofgem have recently launched a Cost Allocation Recovery Review to review how ‘fixed’ costs should be recovered in the future energy system. This includes whether costs could be recovered from consumers, including businesses in more progressive and fairer ways.
To ask the Secretary of State for Housing, Communities and Local Government, what assessment he has made of the potential impact of i) service charges, ii) daily standard charges for electricity, and iii) ground rent on retirement home sales in Chichester constituency.
To ask the Secretary of State for Housing, Communities and Local Government, what assessment he has made of the potential impact of i) service charges, ii) daily standard charges for electricity, and iii) ground rent on retirement home sales in Chichester constituency.
My Department does not hold data on average service charges in Chichester.
I otherwise refer the hon. Member to the Written Ministerial Statement made on 27 January 2026 (HCWS1278) and to the draft Impact Assessment for the draft Commonhold and Leasehold Reform Bill which can be found on gov.uk here.