Retail Energy
Debate between Greg Clark and Julian Lewis(6 years, 7 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Greg Clark
As I said earlier, that is being considered as a separate exercise.
The hon. Gentleman referred to pre-legislative scrutiny by the Select Committee. I think that that is necessary so that we can establish a consensus and allow the technical scrutiny that is needed, so that once the Bill has passed that scrutiny and been introduced to the House, it can proceed with the strongest possible consensus.
Dr Julian Lewis
Given the time that will elapse before the cap is introduced, is there a danger that the energy companies will raise prices as much as possible in the hope of influencing the level at which the cap will be set? What will the Government do to prevent such a tactic from succeeding?
Greg Clark
Ofgem has powers, and that is one of the reasons why it is responsible for setting the cap. The prices must reflect the actual costs, and extensive powers are available to Ofgem to prevent that kind of abuse.