Natural Gas: Fees and Charges

Department for Business, Energy and Industrial Strategy written question – answered on 11th June 2020.

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Photo of Alexander Stafford Alexander Stafford Conservative, Rother Valley

To ask the Secretary of State for Business, Energy and Industrial Strategy, whether Ofgem made an assessment of the potential risk of inefficient bypass as part of its decision to introduce changes to the Gas Transmission Charging Regime in October 2020.

Photo of Kwasi Kwarteng Kwasi Kwarteng The Minister of State, Department for Business, Energy and Industrial Strategy

Ofgem, as the independent energy regulator, has responsibility for matters relating to gas network charging and has made their decision in accordance with their statutory duties, including their principal objective which is to protect the interests of GB’s energy consumers.

Ofgem have considered the impact of the decision on different types of consumers and have concluded that consumers overall will benefit from the decision. Ofgem have said that they will consider proposals to introduce a gas shorthaul charge that seeks to address inefficient bypass of the gas network when they are brought forward by industry.

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