Central Ayrshire MP Brian Donohoe has attacked Ofgem – the power supply regulator – during a House of Commons Energy debate.Referring to Ofgem as 'almost a toothless tiger'.
Mr Donohoe called on Energy Minister Mike O'Brien MP to say what is being done to address the situation.Intervening in last week's energy debate in the House of Commons. o Mr Donohoe said: "It is clear in example after example in my constituency that Ofgem is powerless in a number of ways. What is being done to improve the situation so that we can best protect our constituents? Clearly, just now, Ofgem is almost a toothless tiger".
Replying, the Minister said the government had been clear that it expected Ofgem to use its powers robustly to ensure that competition in the power supply industry is effectively delivered and that consumers are fully protected. o However, he said that such demands had to be seen in the context of energy companies being expected to invest billions of pounds into new power stations and renewables. o He conceded that getting the balance right between the two was always going to cause a lot of debate and disagreement but pledged to deal fairly with suppliers.After the debate.
Mr Donohoe said: "I appreciate that investment is needed in order to deliver our energy needs. But at the same time I believe it would be folly to allow the energy companies to have us all over a barrel, so to speak. We may need them, but at the end of the day they need the customers, so the question is; who holds the upper hand here? I will be watching the situation carefully to see whether Ofgem does indeed start using its powers robustly, as the minister said he expects".