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Written Question
Energy: Standing Charges
Wednesday 8th February 2023

Asked by: Baroness Altmann (Conservative - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what assessment they have made of the impact of increasing the retail customer energy standing charge; and what proportion of the increase in the standing charge is due to the need to compensate the customers of failed energy firms.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

The maximum standing charge is limited by the Ofgem price cap. Ofgem reviewed the components of the standing charge in the Summer of 2022 and concluded that maintaining the existing methodology would protect consumers with the greatest energy needs.

Standing charges vary by region, billing method and energy type and range from approximately £99 to £205. In figures published by Ofgem in November 2022, Supplier of Last Resort costs (for those customers whose provider ceases trading) accounts for £61 in the average customer’s energy bill.


Written Question
Buildings: Energy
Wednesday 8th February 2023

Asked by: Lord Taylor of Warwick (Non-affiliated - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what steps they are taking to introduce new energy performance standards; and when they expect them to be introduced.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

In September 2020, the Government published an Energy Performance Certificate Action Plan detailing a series of commitments to maximise the effectiveness of Energy Performance Certificates. In November (2021), the Action Plan Progress Report was published detailing the significant progress made in delivering the commitments. The Department continues to work closely with the Department for Levelling Up, Housing and Communities on progressing the outstanding actions in the Energy Performance Certificate Action Plan.


Written Question
Audit: Reform
Wednesday 8th February 2023

Asked by: Baroness Bennett of Manor Castle (Green Party - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government when they intend to publish the draft Audit Reform Bill.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

The Government published its Response to the White Paper, ‘Restoring Trust in Audit and Corporate Governance’ on 31 May 2022. The Response stated that the reforms will be delivered by a variety of mechanisms. This includes changes already made by the regulator and by Ministerial Direction. The Government is committed to legislating when Parliamentary time allows.


Written Question
Liquefied Petroleum Gas: Retail Trade
Wednesday 8th February 2023

Asked by: Baroness Bennett of Manor Castle (Green Party - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government how many liquified petroleum gas retailers there are in the UK; how many have closed in the past year; and what plans they have to ensure supplies continue for the next decade.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

The Government does not collect this data. However, Liquid Gas UK reports that they know of 31 companies which distribute liquid petroleum gas (LPG) to customers and businesses across the UK and none have closed in the past year.

The UK continues to enjoy a robust supply chain for LPG, which is met by domestic production and by imported cargoes. The Government works closely with industry to monitor the LPG supply position throughout the year and proactively take steps to mitigate any risks that may affect distribution to customers and essential services.


Written Question
Electricity: Prices
Wednesday 8th February 2023

Asked by: Baroness McIntosh of Pickering (Conservative - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what plans they have (1) to reduce the standing charge on domestic household bills, and (2) to charge this to the recent profits announced by electricity distribution companies.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

The setting of the standing charge is a commercial matter for individual suppliers. Under the Price Cap, a supplier’s default and standard variable tariffs unit rate and standing charge together must not exceed the level of the cap set by Ofgem.

The profits made by distribution network companies are regulated by Ofgem through the price control to ensure sufficient incentives for networks to deliver for consumers, whilst protecting consumers from high costs. The next price control begins in April, where returns for these companies will be set lower than previous price controls.


Written Question
Health Professions: Migrant Workers
Wednesday 8th February 2023

Asked by: Lord Willis of Knaresborough (Liberal Democrat - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what assessment they have made of reports that individual healthcare recruits from India are being charged significant sums of money to obtain a work permit and visa; and whether this is prohibited by section 6(i) of the Employment Agencies Act 1973.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

We have noted the reports of unethical and exploitative practices in this sector. To address this the Department for Health and Social Care (DHSC) has recently published guidance aimed at candidates who are applying for health and social care jobs in the UK from abroad. It provides information on how to avoid scams, working rights and standards, what to consider when deciding whether to take a health or care job in the UK and where to go for further guidance, help or support.

Section 6 of the Employment Agencies Act 1973 (EAA 1973) prohibits the charging of work-finding fees to work-seekers wherever they are recruited from, provided the agency is operating in Great Britain. Agencies are permitted to charge fees for other paid-for services and can pass on visa costs to work-seekers, but this should be clearly set out in writing to the work-seeker. The Employment Agency Standards (EAS) Inspectorate continues to work closely with DHSC to ensure their guidance aligns with these requirements.


Written Question
Renewable Energy: Suffolk
Wednesday 8th February 2023

Asked by: Lord Foster of Bath (Liberal Democrat - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what assessment they have made of the impact on (1) tourism, (2) tourism-related jobs, and (3) the environment, by (a) the planned building of Sizewell C, (b) offshore wind farms, and (c) the associated infrastructure in the Suffolk coastal area.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

No individual pre-emptive assessments are made by the Government to avoid prejudicing planning decisions which are taken on the merits of each individual case.

All projects are consented after thorough consideration of all relevant information, including cumulative impacts. Environmental and socio-economic impacts are considered in line with policy in the National Policy Statements.

The rationale for the Secretary of State’s decision for development consent in relation to Sizewell C, consented offshore wind farms and associated infrastructure are set out in the published decision letters available on the relevant project pages of the Planning Inspectorate’s National Infrastructure Planning website.


Written Question
National Grid: Public Appointments
Wednesday 8th February 2023

Asked by: Lord Foster of Bath (Liberal Democrat - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what factors prevent the establishment of the National Grid Future Systems Operator by 2023.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

In the Government’s consultation response published in April 2022, we proposed the creation of a new, independent Future System Operator (FSO). Depending on a number of factors, including timings of legislation, updating licensing arrangements, amending industry codes, and discussing timelines with key parties, the FSO could be established by, or in, 2024.

The Primary Legislation required to establish the FSO is contained within the Energy Bill 2023, which is currently passing through Parliament. Subject to reaching Royal Assent, we aim to establish the FSO as soon as practicable, while maintaining the safety and stability of the energy systems and ensuring a smooth transition.


Written Question
Public Houses
Wednesday 8th February 2023

Asked by: Lord Pendry (Labour - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what plans they have to provide support to pubs deemed "at risk" by the Campaign for Real Ale (CAMRA), given increased energy costs, rising food prices, and consequently suppressed consumer demand.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

The Government recognises that pubs and other hospitality businesses are facing cost of living pressures.

The Energy Bill Relief Scheme ensures businesses are protected from excessively high energy bills up to the 31 March 2022. Following a review of this scheme, a new Energy Bills Discount Scheme (EBDS), will provide all eligible UK businesses and other non-domestic energy users with a discount on high energy bills from 1 April 2023 until 31 March 2024.

Additionally, my Rt. Hon. Friend Mr Chancellor of the Exchequer announced a range of support measures regarding business rates worth £13.6 billion over the next 5 years.


Written Question
Energy Bill Relief Scheme: Hospices
Wednesday 8th February 2023

Asked by: Baroness Lister of Burtersett (Labour - Life peer)

Question to the Department for Business, Energy and Industrial Strategy:

To ask His Majesty's Government what assessment they have made of the impact that replacing the Energy Bill Relief Scheme with the Energy Bill Discount Scheme will have on the hospice sector.

Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

The new Energy Bill Discount Scheme (EBDS) will run from April until March 2024 and continue to provide a discount to eligible non-domestic customers including hospices. An HMT-led review into the operation of the current Energy Bill Relief Schemes was conducted with the objective of significantly reducing the overall burden on the taxpayer/public finances, and ensuring support is targeted at those most in need and unable to adjust to recent energy price rises. The review considered a range of qualitative and quantitative evidence, including input from businesses and stakeholders. The new scheme strikes a balance between supporting non-domestic customers and limiting taxpayer’s exposure to volatile energy markets, with a cap set at £5.5 billion.