The government has introduced the Energy Independence Bill in Parliament.
Labour says that the “landmark” legislation will enable families and businesses to benefit from a fairer energy system, cheaper bills and greater public control.
The Energy Independence Bill is what the government describes as a ‘down payment’ on longer-term reforms that aim to fix the energy system and help deliver clean power.
The government will bring forward amendments to the Bill to support plans to axe standing charges on gas bills, a change that was announced in the Budget.
The legislation will also put the decision to shift 75% of domestic Renewables Obligation costs from energy bills to public spending on a lasting legal footing. Labour says this will protect savings already delivered to households.
Prime Minister Andy Burnham said: “For too long, families have paid the price for an energy system that isn’t working for them. Bills are too high and events around the world can send costs soaring.
“That’s why we’ve taken immediate action to help people with energy bills, with £50 off the annual price cap and our new £100 energy payment for 20 million households. And this Bill will make the changes needed for the long-term: protecting people when energy companies let them down, giving communities a stake in the power produced on their doorstep, and building more cheap, green power here at home.”
Other measures in the Bill include increasing consumer protections, giving local authorities stronger powers to tackle landlords who fail to meet energy efficiency standards and building a stronger grid.
The government says the bill will also deliver on its “pragmatic approach” to the North Sea by ending licences on new oil and gas fields and supporting existing licenced projects.
However, the Energy Secretary still remains quiet on the Rosebank oil field decision.
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