BEIS Committee to hear from Minister and Ofgem on proposed energy price cap

The Business, Energy and Industrial Strategy Committee is to question the Consumers Minister, Margot James MP, on the Government’s proposed energy price cap as it continues its pre-legislative scrutiny of the draft Domestic Gas and Electricity (Tariff Cap) Bill. 

The Committee has previously heard from energy companies on the likely impacts of capping prices and will now be asking the Minister about the provisions of the Bill and how it aims to protect vulnerable users. MPs will also be questioning Dermot Nolan, chief executive of energy regulator Ofgem, which has responsibility for setting the price cap. 

Rachel Reeves MP, Chair of the Business, Energy and Industrial Strategy Committee, said: “This Committee has pledged to examine thoroughly the draft legislation to ensure it can deliver on the Government’s pledge to secure fairer bills for consumers.  

We’ll be using this session with the Minister to explore some of the criticisms of the Bill we have heard from energy companies and to test the Government’s commitment to breaking down some of the barriers that make it difficult for consumers to switch suppliers.  

We also want to find out more from Ofgem about how it will go about setting the price cap, in line with the Bill, and how it will determine when the market is working properly again and the cap is no longer needed.”