Energy Bills 'Will Be Lower' Under New Policy

Written By Unknown on Kamis, 29 November 2012 | 18.56

Energy Secretary Ed Davey has said the Government's long-delayed Energy Bill would see consumers pay less for energy in the long-run.

As he introduced the legislation to Parliament, Mr Davey insisted: "The net effect of Government policy on energy bills is downwards not upwards."

The Government forecasts that - unlike what many critics claim - energy bills will be £94 less in 2020 if the measures are introduced.

The Bill is designed to create a "low carbon economy" by pumping more investment into renewable and "green" power generation to help bolster the country's ability to withstand energy shortfalls.

"In an era of rising global energy prices, by shifting to more home grown sources of power and by becoming more energy efficient, we can cushion our economy and households from the fluctuations of world gas markets," Mr Davey said.

He added that energy companies will be put under pressure to help lower consumers' costs.

"We intend to underpin this with reforms to the retail market to simplify tariffs and make sure consumers are able to get the best deal for them," he said.

The legislation gives ministers the authority to boost investment in green power from £2.35bn a year to £7.6bn in 2020.

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