UK Parliament / Open data

Energy Bill

Proceeding contribution from Luciana Berger (Labour) in the House of Commons on Monday, 3 June 2013. It occurred during Debate on bills on Energy Bill.

Forgive me for the delay in getting to my feet, Madam Deputy Speaker. I was expecting the Minister to go first—I am so used to coming after him.

Amendments 2, 3 and 4 to part 1 of schedule 14 relate to gas customers. Amendments 5, 6 and 7 to part 2 cover electricity consumers. We are proposing these changes for a simple reason: we need to do everything we can to protect consumers who lose out when energy suppliers break the rules. I sincerely hope that Members on both sides of the House agree about that. My right hon. Friend the shadow Energy Secretary called for a system to guarantee compensation to customers who have been ripped off as far back as October 2011, which is a year and a half ago now, so it is nice to see that the Government are finally following our advice and doing something to give redress to consumers.

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We therefore welcome the fact that the Bill gives Ofgem powers to compel energy companies to award compensation. At present the regulator can only try to negotiate voluntary agreements with suppliers. We have

seen in the past that they do not always deliver the best deal for people who have lost out through no fault of their own. It is good that this wrong is being corrected. However, these new powers do not go far enough.

There are two important aspects of the Bill that need to be addressed. First, it places an arbitrary cap on the amount of compensation that can be paid to customers who have been treated unfairly. Secondly, it contains a crucial loophole.

About this proceeding contribution

Reference

563 cc1332-3 

Session

2013-14

Chamber / Committee

House of Commons chamber
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