To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential effect of the draft Domestic Gas and Electricity (Tariff Cap) Bill on future investment by UK energy companies in (a) renewable energy, (b) nuclear power generation, (c) gas-fired power plants and (d) battery storage; and if he will make a statement.
2 March 2018
The Domestic Gas and Electricity (Tariff Cap) Bill is clear that Ofgem must have regard to the need to ensure that holders of supply licences who operate efficiently are able to finance activities authorised by the licence. It would be for the independent regulator, Ofgem, to make its assessment of efficient operations. Ofgem is not required to have regard to investment projects that are outside the scope of the activities authorised by the supply licence.