Clause 10

Energy Bill – in a Public Bill Committee am 3:30 pm ar 14 Ionawr 2010.

Danfonwch hysbysiad imi am ddadleuon fel hyn

Reconciliation mechanism: regulations

Question proposed, That the clause stand part of the Bill.

Photo of Charles Hendry Charles Hendry Shadow Minister (Energy and Climate Change)

Briefly, the power for the reconciliation mechanism is permissive rather than an obligation. What will be considered to be a disproportionate number of eligible people? Does the Minister intend to change the mechanism from being a power to an obligation? That would ensure that a company that ends up with a disproportionate number of people who might benefit can be certain that its load will be shared.

Photo of David Kidney David Kidney Parliamentary Under-Secretary, Department of Energy and Climate Change

I understand the hon. Gentleman’s point; it is a bit like the debate that we had this morning about “shall” and “may”. There is no doubt that there will be a reconciliation scheme, but its design will take some time, owing to consultations with the energy companies, which have a great interest in the issue, and with other organisations. The provision is permissive, to enable it to happen, but it definitely will happen.

Photo of Simon Hughes Simon Hughes Shadow Secretary of State for Energy and Climate Change

One question. Has the Minister’s Department come to any conclusions under the present voluntary system as to whether the companies with the largest number of people in fuel poverty have been more or less generous relative to one another? Some companies will have had more customers “on their books” who are in fuel poverty. Have they been less helpful in supporting those in fuel poverty than companies that have had fewer such customers and that can, in theory, be more generous? Has the Department compared the numbers who have benefited against the numbers eligible under the present voluntary arrangement?

Photo of David Kidney David Kidney Parliamentary Under-Secretary, Department of Energy and Climate Change

I am pretty sure that there is a reconciliation scheme under the voluntary arrangement by agreement with the companies that is split according to the customer account numbers. The debate during last week’s evidence was about whether we should continue with customer account numbers or move to kilowatts per hour consumed. The point is that there is going to be a reconciliatory scheme at the request of the energy suppliers themselves, so the hon. Gentleman’s concern will not arise.

Question put and agreed to.

Clause 10 accordingly ordered to stand part of the Bill.

Clauses 11 to 13 ordered to stand part of the Bill.