Anne McGuire
Main Page: Anne McGuire (Labour - Stirling)
Michael Fallon
There are no examples from the United States of hydraulic fracturing contaminating groundwater because, as the hon. Gentleman will appreciate, the fracturing takes place very much deeper than any groundwater levels. I am happy to look at the specific point that he mentions about baseline monitoring.
Mrs Anne McGuire (Stirling) (Lab)
6. What steps he is taking to improve competition in energy markets.
Susan Elan Jones (Clwyd South) (Lab)
7. What steps he is taking to improve competition in energy markets.
The Secretary of State for Energy and Climate Change (Mr Edward Davey)
The Government are strongly committed to improving competition. Since 2010, 12 new companies have entered the market, meaning that there are now 19 independent domestic suppliers competing with the big six. Latest figures show that half the households that switch are moving to independent suppliers and we are set to halve the time it takes to switch. Ofgem’s retail market reforms have delivered a simpler, clearer market, and its market maker obligation is improving wholesale market access for smaller suppliers. Last year, we asked the competition authorities to make an annual assessment of competition in energy markets. Consequently, Ofgem has consulted on a market investigation reference, which we strongly support.
Mrs McGuire
Notwithstanding the Secretary of State’s answer, around 98% of homes in Britain still take their energy supplies from the big six. Wholesale prices are falling and consumers are seeing no benefit. Does he not wish that he had been a bit braver in the Energy Act 2013 to ensure that when wholesale prices fall, consumers get some of the benefit? He could have included such proposals in the recent Act.
Mr Davey
I am grateful to the right hon. Lady for her question, but let me just correct her. The market share of the independents is now nearly 6% compared with less than 1% in 2010. That extraordinary growth in such a short period shows the value of competition, with 1 million people switching to independent suppliers over the past year. However, she makes an important point about wholesale energy prices, and we discussed that at length yesterday. We have taken action both through competition and through supporting the competition inquiry, which has real teeth. That stands in stark contrast to the previous Government. When the Leader of the Opposition was doing my job, he failed to take any action, even though wholesale energy prices fell much faster than they are doing now.