02.10.12
Scrap Ofgem, says Labour
Energy regulator Ofgem should be replaced, Labour has suggested.
Speaking at the party’s annual conference yesterday, shadow energy secretary Caroline Flint said Ofgem had failed to force large energy companies to pass on price reductions to their customers.
She said: “Why, when prices rise, do bills go up like a rocket but when they come down they fall like a feather – if at all?
“The reason is – they’re allowed to run their businesses in such a complicated way that it's almost impossible to know what the true cost of energy is. This must end.”
Ofgem would be replaced by a more trustworthy regulator, she went on to say and added that Labour could help people to save on their energy bills even while they were not in Government.
Unveiling new energy policies, Flint called for public sector companies to switch energy providers collectively to achieve lower prices.
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