The House of Lords Industry and Regulators Committee today
launches its first inquiry which will investigate the role of
Ofgem, the UK’s energy market regulator.
Ofgem oversees the UK energy market, which will play a key role
in the UK’s transition to net zero emissions by 2050. The
Committee will scrutinise Ofgem’s role in the wider energy system
and its relationship with Government and Parliament, how Ofgem’s
regulation interacts with net zero transition, and how net zero
impacts Ofgem’s other objectives, including affordability and a
secure energy supply.
The Committee invites evidence on a number of issues including:
- Ofgem’s role in the wider energy system
- Ofgem’s statutory objectives, duties and powers
- Ofgem’s relationship with Government and Parliament
- The impact of Ofgem’s environmental objectives on the cost of
energy, particularly for consumers
- The security of the UK’s energy supply during the net zero
transition
The Committee invites interested individuals and organisations to
submit written evidence by Sunday 22 August.
Find the full Call for
Evidence and further information on the Committee’s webpage.
On Tuesday 29 June, the Committee will hear from
energy experts in the second public meeting of the inquiry,
having already heard from academics. Watch the session live on
Parliament
TV from 10.15am.
, Chair of the Committee, commented:
“This inquiry kickstarts the Committee’s scrutiny of the UK’s
regulators. Ofgem regulates the UK’s electricity and gas markets,
giving it a key role in overseeing a sector that is crucial to
meeting the UK’s net zero target. The target is likely to lead to
an even greater role for electricity in sectors such as heating
and transport, increasing demand and potentially putting greater
pressure on Ofgem to provide reliable, green energy without an
unaffordable increase in energy prices. The inquiry will look at
Ofgem’s role in the net zero transition, scrutinising its
regulation in relation to the target and the potential impacts on
energy consumers and the wider energy system.
“The inquiry will also consider what the net zero target means
for Ofgem’s responsibilities across a broad range of issues,
including a secure energy supply, affordability and customer
protection, particularly for vulnerable customers. The inquiry
will look at Ofgem’s duties and powers and its relationship with
the Government, aiming to ensure that Ofgem has clear objectives
and the powers to meet them.
“The Committee wants to hear from a broad range of people as part
of its inquiry. If you have a view on Ofgem, or energy regulation
more widely, please look at our Call for Evidence and let us know
what you think.”
