Oral Answers to Questions Debate

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Oral Answers to Questions

Alan Reid Excerpts
Thursday 19th June 2014

(9 years, 10 months ago)

Commons Chamber
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Ed Davey Portrait Mr Davey
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My hon. Friend is absolutely right. An energy price freeze would hit investors, hit investment, hit energy security and hit our efforts to decarbonise. Worst of all, it would hit consumers, because energy companies would put up their prices directly after the freeze. Everybody knows that, and it is one of the reasons why we have been pushing competition. Competition means not merely freezing bills—five of the big six have announced that they will freeze their bills this year—but, because of independent suppliers, enabling people to cut their bills. Our policy is to cut bills; the Opposition’s is simply to freeze them. We are the ones who are ambitious and on the side of the consumer.

Alan Reid Portrait Mr Alan Reid (Argyll and Bute) (LD)
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Many of my constituents live off the gas grid, and there is limited competition for liquefied petroleum gas or heating oil to heat their homes. Many of my constituents depend on one local supplier and have to pay whatever prices that supplier chooses to charge. What can my right hon. Friend do to help my constituents who are in that position?

Ed Davey Portrait Mr Davey
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My hon. Friend makes a really important point. The Minister of State, my right hon. Friend the Member for Sevenoaks (Michael Fallon) has been working with the industry on the concordat. The statistics that have emerged from the new fuel poverty definitions show, unlike previous ones, that much fuel poverty is in off gas grid areas. When we bring forward the fuel poverty strategy shortly, we will be focusing on off gas grid customers, because they are really suffering, and—guess what?—the previous Government did nothing about it.

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Michael Fallon Portrait Michael Fallon
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Of course, we have been considering the state aid case and what has to be notified to the Commission in Brussels, but we need to see a subsequent plan. We can only act on the basis of a plan put forward by UK Coal Ltd, which is a private company. We are ready to help with any new plan that may emerge from the discussions going on at the moment with potential investors. I need to make it clear to the House that UK Coal Ltd has already had nearly £140 million-worth of taxpayers’ support during the past 10 to 12 years, and it is very important that any new loan represents good value for money for the taxpayer.

Alan Reid Portrait Mr Alan Reid (Argyll and Bute) (LD)
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People who live in park homes are often on low incomes. What will the Secretary of State do to improve their access to energy and so help to bring down their bills?

Lord Barker of Battle Portrait Gregory Barker
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We have taken it on board that, to date, and particularly under the last Government, people who live in park homes have had a very poor deal. We are doing two things. First, we are making the energy company obligation more applicable to people who live in park homes, accepting that there are challenges with insulating such properties. Secondly, we are exploring whether it is possible to pay the warm home discount to people who live in such homes. We understand that they do not receive that currently because they pay their bills through the site operator.