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Ofgem Must Be Scrapped

Monday, July 29, 2013

GMB Calls For Ofgem To Be Scrapped And For The Government To Take Over As Regulator Accountable To Parliament

It is clear OFGEM have been a miserable failure in terms of looking after the interests of customers.

GMB the union for energy workers commented on the Energy and Climate Change Committee report on OFGEM published today 29th July 2013. See notes to editors below.

Gary Smith, GMB National Secretary for energy said, “This report shows that OFGEM must go and a different regulatory framework put in place. The government its self should take over as the regulator and be accountable to Parliament for that role.

The Committee is right to be "astonished at OFGEM's failings". It is clear OFGEM have been a miserable failure in terms of looking after the interests of customers. But given their failings the answer isn't to give them more responsibility but to scrap them.

OFGEM have put bureaucracy in the way of delivering energy efficiency measures like the Energy Company Obligation (ECO). The committee wants to see money spent on energy efficiency measures. The fact is there are hundreds of millions of pounds that have gone unspent because of OFGEM. This is money that could have been spent reducing the poorest people's energy bills this winter.
 
The Committee registers concern at the projected increase in wholesale electricity prices for those who depend on electricity only for heating. The fact is OFGEM have slashed investment in the replacement of gas mains by nearly 20%. The big cuts OFGEM are imposing on the gas industry are bad for customers, they won't reduce bills by a penny and they are bad for safety and jobs.”


Ends

Contact: Gary Smith, GMB national Secretary on 07710 618909 or GMB press Office: 07974 251823 or 020 7391 6755.

Notes to Editors:

Energy and Climate Change Committee Report is available at http://www.publications.parliament.uk/pa/cm201314/cmselect/cmenergy/108/10802.htm

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