Wednesday, 7 March 2018

Ofgem proposes reducing £5bn from household energy bills over five years

Ofgem has proposed new rules that it says would lead to UK consumers saving £5bn on energy bills over five years.

The regulator wants to cut how much consumers contribute towards energy network investment via their bills.

Ofgem says the the proposals will lead to £15-£25 in savings per year for household consumer.

The price controls will come into force in 2021 and significantly reduce the profits energy network companies receive.

National Grid, which runs Britain's main energy infrastructure, said it would continue to work with Ofgem "to achieve the best outcomes for all stakeholders".
The firm said it appreciated that Ofgem was taking into consideration key concerns for its business.

These considerations include the need to plan for long-term investment in critical infrastructure, as well as the need to ensure that both consumers and shareholders were kept happy.

BBC     News.