Written evidence to be reported to the House
Energy Bill
12:00 pm
Alan Asher: From my point of view, I should like to praise companies such as British Energy—Scottish Energy, as it trades as in Scotland—and EDF Energy that are doing some really excellent things in social tariffs. Scottish Power has announced that it is introducing a social tariff, although, sadly, it is for only those over 60, but the rest of the companies are doing not very much at all. Some are spending a tiny sum: npower, for example, is spending less than 4 per cent. of all the money that is going into social tariffs. It has said plainly and publicly that it just will not do it unless it is required to.
Indeed, until now, even British Gas and EDF have said, “We just can’t stick at these voluntary contributions. If the other companies are going to undercut us in the market, we will have to withdraw these really good social tariffs.” I fear that for the Committee, this is one of the last chances. If Parliament says to suppliers, “We think that two doing something and one doing a little bit is enough”, the good social tariffs that we see in the market will soon disappear. Companies will get the view that all is okay, and they can go home until next time. However, if the Committee were to insert just an enabling power—not to impose anything, but just so that Parliament has the power if the companies start to pull out and leave consumers in the lurch—that would make all the difference.