Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what steps she is taking to address the loyalty penalty paid by households reliant on (a) heating oil and (b) LPG; and whether she has asked the Competition and Markets Authority to make an assessment of the adequacy of competition in markets for these products.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
We believe consumer choice provides the best long-term guarantee of competitive prices.
The structure of the heating oil market allows for switching of suppliers on a delivery-by-delivery basis. There are commercial price comparison sites and the trade association UKIFDA provides a ‘Find a distributor’ facility at https://ukifda.org/find-a-distributor/.
There is similar consumer choice for bottled LPG users, supported by the trade association LGUK ‘Supplier search’ facility (https://www.liquidgasuk.org/domestic/supplier-search). The bulk domestic LPG market is subject to regulation under the Competition and Markets Authority’s LPG Orders (https://www.gov.uk/government/publications/liquefied-petroleum-gas-lpg-market-orders-and-calculator) to enable easier switching of domestic bulk LPG supplier by domestic customers and the CMA continues to monitor that market.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if she will make an assessment of the role of shared ground loops in decarbonising heat for properties without the space for individual heat pumps.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
Heat pumps connected to shared ground loops have a role to play in decarbonising heat, particularly in properties, like blocks of flats, that might otherwise be less well suited to individual heat pumps. To support their installation, the Government has announced that it will increase the capacity limit for shared ground loops under the Boiler Upgrade Scheme from 45kW to 300kW. Additionally, we have supported the installation of shared ground loops under schemes like the Social Housing Decarbonisation Fund.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what steps her Department is taking to support clean heat installations in Wave 3 of the Social Housing Decarbonisation Fund.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Social Housing Decarbonisation Fund (SHDF) is a 10-year, £3.8bn 2019 manifesto commitment. To date, total committed grant funding for SHDF and the associated demonstrator is over £1bn. The £6bn energy efficiency support package announced in December 2023 allocated £1.25bn towards the SHDF between 2025 and 2028. This funding will provide long-term certainty, support supply chain growth, and ensure we can scale up our delivery over time. SHDF Wave 3 is still being designed but it will continue to provide incentives and funding for the installation of low carbon heating technologies in social housing.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment her Department has made of the adequacy of the Green Heat Network Fund for supporting shared ground loop installations.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
Shared ground loop installations which satisfy the eligibility criteria for the Green Heat Network Fund can apply to the scheme for support. To be eligible, applicants must demonstrate that their networks can deliver a minimum of 2GWh per year of heat. Typically, shared ground loops serve a smaller number of homes than other heat networks and will often fall below this requirement unless they are aggregated into larger, combined projects. However, small-scale shared ground loop installations can receive support from other schemes, such as the Boiler Upgrade Scheme and the Social Housing Decarbonisation Fund.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if she will remove the Boiler Upgrade Scheme's exclusion of larger shared ground loop systems.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
Shared Ground Loops are an effective solution for reducing the costs associated with installing Ground Source Heat Pumps, and are currently eligible for support under the Boiler Upgrade Scheme.
To support their installation, the Government has announced it will increase the capacity limit under the scheme from 45kW to 300kW, increasing the number of properties able to transition to low carbon heat at the same time and reduce costs.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if her Department will make an assessment of the potential merits of shared ground loops in decarbonising heat.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Government already recognises the merits of shared ground loops in decarbonising heating. To support their installation, the Government has announced that it will increase the capacity limit for shared ground loops under the Boiler Upgrade Scheme from 45kW to 300kW. Additionally, we have supported the installation of shared ground loops under the Social Housing Decarbonisation Fund.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what discussions her Department has had with Ofgem on its decision to allocate the temporary adjustment to the price cap to customers equally.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
The Departmental for Energy Security and Net Zero’s ministers and officials regularly discuss with Ofgem issues relating to energy market.
The setting of the price cap rate is a matter for Ofgem, and the temporary adjustment announced is to address suppliers’ costs related to increased levels of consumer debt. It will be added to bills of customers who pay by direct debit or standard credit. Prepayment customers will not be impacted by the extra charge as many do not build up the same level of debt because they top up as they go.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if she will hold discussions with Ofgem on the potential merits of including standing charges for the non-domestic sector in its review of standing charges on energy bills, announced on 16 November 2023.
Answered by Amanda Solloway - Government Whip, Lord Commissioner of HM Treasury
Ofgem issued a Call for Input on standing charges on 16 November 2023. It includes an invitation to submit views by 19 January 2024 on the issues affecting standing charges in the non-domestic retail sector that Ofgem should consider further.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether her Department is taking steps to help support commercial laundries to reduce their energy usage.
Answered by Graham Stuart
As part of the Government’s target to cut energy use by 15% by 2030, the Government is considering ways to support energy reduction and decarbonisation across industrial sectors. The Government acknowledges the important role played by commercial laundries in supporting the NHS and UK hospitality.
Commercial laundries are already eligible for the Climate Change Agreements scheme, receiving reduced rates of Climate Change Levy for cutting energy consumption. This reduces energy bills, supporting businesses to invest in further energy saving measures.
The Department engages with commercial laundries via the Textile Services Association and consultations on policy developments.
Asked by: Derek Thomas (Conservative - St Ives)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, when she plans to publish a plan to increase public engagement on the Government’s net zero policies.
Answered by Graham Stuart
As published in Net Zero Growth Plan, the Government will set out further detail on how it will increase public engagement on net zero. This will include setting out how Government will (i) support public awareness of its actions through digital platforms, (ii) develop a roadmap setting out plans and proposals under net zero and (iii) construct a guiding framework, in conjunction with partners and trusted messengers, to amplify net zero messaging. The Government will publish the roadmap and framework in the coming months.