Energy Intensive Industries: Natural Gas

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

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Photo of Alex Cunningham Alex Cunningham Shadow Minister (Justice)

To ask the Secretary of State for Business, Energy and Industrial Strategy, with reference to Ofgem's decision to implement gas transmission charging changes with effect from 1 October 2020, if he will make representations to Ofgem on the introduction of a replacement for short haul to keep affected energy intensive industries (a) on Teesside and (b) in the UK on the national gas grid.

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

BEIS have been in regular discussion with Ofgem regarding the impact of its decision to implement a new charging regime. BEIS will continue to work closely and engage with Ofgem on all matters, whilst respecting Ofgem's responsibility as an independent regulatory authority.

Ofgem have said that they will consider proposals to introduce a gas short haul charge that seeks to address inefficient bypass of the gas network when they are brought forward by industry.

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