Tariff reduction clause added to energy bill

electricity pylon
The government has today tabled new clauses to the energy bill.

Designed to ensure that consumers get a better deal on their energy bills, the Department of Energy and Climate Change says that the complexity and number of energy tariffs available for consumers will be reduced, and bills simplified, to deliver on the prime minister’s commitment to help consumers get the cheapest tariff available.

Clauses were also tabled to grant government powers to set a 2030 decarbonisation target range for the electricity sector in 2016, once the Committee on Climate Change has provided advice on the level of the 5th carbon budget, and when the level of this carbon budget is set in law. 

Energy secretary Ed Davey said: “I am determined to ensure that consumers get the cheapest tariff they can. So, we will amend the Energy Bill to reduce the bamboozling array of tariffs available on the market and to simplify bills, whilst continuing to work with Ofgem to deliver a simpler, more competitive market.

“We will also take powers to set a decarbonisation target range for the power sector in 2016, which will provide a clear signal to industry and investors that we are serious about moving to low-carbon economy.”