David Cameron writes for MSE on his plans to help on energy bills

tagq2

Michael_C_Feltham wrote: »

The Free Market is about competition: real competition: now how can we have real competition when the suppliers (British gas, mainly) dominate the gas supply market?

The free market is about being as free to market as you are able without theft or fraud - anything else is a regulated market. It may produce a healthy competitive environment, it may produce an inefficient competitive environment; it may increase customer awareness, it may produce information asymmetry; it may produce an oligopoly. The free market, like evolution, does not have sentience or a goal. It simply exists for sufficiently intelligent beings to take advantage of it.

What should be done is emulate the old American model: energy suppliers should be only allowed to charge a set statutory price per unit of energy; and no more. This should be calculated to produce a small, regular profit margin: but no super-profits.

The Ofwat way? This is just admitting not-for-profit energy delivery is best without making the ideological admission that a free market doesn't always work.

Lugh_Chronain

What's ridicules as well is how utility companies have helped to push consumer price inflation up. Aren't some of our politicians who are supposedly put in place to represent us educated in economics? Why did they not see this coming, why didn't they do something about this before things worsened?

It doesn't make sense that politicians such as Chris Huhne are sending out patronising letters to consumers when they have a complaint in stead of sorting out the issue in the first place. Did they really not see this coming?

macman

Because PPMs cost more to manufacture, install and run?

Lugh_Chronain

PPMs? Please explain?

Cardew

The impact of subsidies for 'Green' energy on all our bills is increasing, and set to increase further.

The system of paying Feed in Tariffs of 43.3p per kWh for PV generation is crazy. Even worse is allowing 'Rent a Roof' companies funded by venture capitalists to cash in on subsidies clearly intended for individual householders.

These subsidies are paid not by the Government, but a levy on all electricity users, pensioners; the poorest in our society, council house owners, flat dwellers etc; all who either cannot have or afford PV panels. Aptly described as 'Robin Hood in Reverse' robbing the poor to pay the rich!

'Robin Hood in Reverse' would be a good sound byte.

macman

Lugh_Chronain wrote: »

PPMs? Please explain?

Pre Payment Meters.

Butti

As others have said, this is not an energy market it's an energy cartel. They put prices up, and occasionally down, as a pack. We need them either re-nationalising or opening up to a LOT more companies so the big 6 don't dominate.

Also how do you explain the conflict of interest in them being responsible for encouraging us with energy efficiency measures but also being answerable to their shareholders.

grahamc2003

Keep bills the same, so no reduction.

Close off all 'green' subsidies which are generally rediculous methods of power generation (wind farms, solar power, biofuels etc etc). As well as the direct cost savings, there would also be billions saved in the abolition of the need for grid infrastructure additions in order to handle the engineeringly insane unreliable and unpredictable 'green' generation.

Divert all the cash saved into a rapid development of safe, tried and tested Nuclear to produce a high percentage of our electricity needs 10 years into the future, a la France, to tackle the underlying problem/reduce our imports/to stop us stealing food from the starving to fuel ourselves/to ensure a hiugh degree of fuel independence ... the benefits go on and on. If Nuclear power were invented today, it would be hailed as an almost miraculous cure to the world's energy problems.

One immediate solution to help ease electricity generation problems would be to give away power during Economy Seven hours. This modification of the demand curve would be self financing imv.

Friends_of_the_Earth_2

Hi Martin,

We've launched our Final Demand campaign today calling for an independent public inquiry into the Big Six. We're out and about on the streets today - we'll Tweet you the link to a short video and our petition or a quick Google News search for Friends of the Earth should yield some results. Hoping you have opportunity to flag this at the Energy Summit.

RisingDamp

Martin, I live in a small 15th century cottage which leaks energy, but because it is listed, can do little to cut my bills. No initiatives have ever addressed this issue, and it is one that needs raising urgently. Also, being rural, am tied to oil heating - What is being done to regulate this market for consumers?