Energy: Prices

Baroness Maddock Excerpts

Monday 9th December 2013 Lords Chamber

[Baroness Verma]

My Lords, I do not wish to avoid answering any questions but, given the time, I have to answer as much as I can of the questions that I am given. The Government Procurement Service purchases energy on behalf of many public sector organisations, including, I am sure, the organisations to which the noble Baroness refers. Harnessing that collective purchasing power and buying directly on the wholesale market results in lower energy costs.

[Baroness Maddock (LD)]

My Lords, does my noble friend remember, like me, that the present leader of the Labour Party was once the Secretary of State for Energy? Does she also remember that, far from increasing competition in the market, which is the one way that we will drive down prices, we saw competition decrease on his watch?

[Baroness Verma]

My noble friend is absolutely right. When the party opposite came to power, there were 14 energy companies. When it left, there were six. I am glad to announce that since then eight independent generators have come on the scene.