The new bill will enable MPs to introduce new powers to slash consumer energy bills, as well as accelerating the introduction of clean energy technology and measures aimed at improving and modifying the grid.
Further details of these intended measures will become available when the Bill comes before parliament for debate prior to its introduction into law.
“After the second fossil fuel crisis in half a decade, our clean power mission is the only way to bring down bills for good and take back control of our energy” said Energy Secretary Ed Miliband. “The Energy Independence Bill is the next step in delivering on our mission – giving us the power we need to drive forward with clean power to cut bills, support families out of fuel poverty and deliver well-paid secure jobs for a generation of young people.”
Yselkla Farmer, CEO of BEAMA, the trade body for manufacturers of electrical equipment, commented that the policy measures announced by the government over the course of the past year could benefit BEAMA members, including acceleration of grid deployment, improving domestic energy efficiency, launching a Warm Homes Agency, facilitating energy flexibility and improving cybersecurity.
“We hope that despite the current political turbulence the Government and its officials can retain focus on delivering policy changes that can accelerate electrification to benefit industry, improve our energy system and boost energy security” added Ms Farmer. “BEAMA’s Market Pulse shows that political and policy uncertainty hurts investment and market growth, so we hope that the Government is able to reassure us as soon as possible on the details and timings for implementation of policies – many of which are already running on challenging timelines.”
Alan Chang, CEO and Co-Founder of Fuse Energy welcomed the direction taken by the bill but argued it falls short of a truly effective domestic energy strategy. He is instead is calling for policy to prioritise more power generation, infrastructure, and manufacturing on home soil.
“The bill moves the industry in the right direction, but moving in the right direction slowly is still falling behind” said Mr Chang. “Removing planning friction on EV chargers is the obvious call. But the same logic applies to solar, batteries, and every asset that helps deliver lower cost energy to UK households. On manufacturing capacity, Europe has over 30 gigafactories producing EV chargers, while the UK has just one. That leaves the country reliant on external supply rather than building a resilient domestic base. You can't electrify a nation with infrastructure you don't control.”
Rachel Fletcher, Director of Economics and Regulation at Octopus Energy, said that the company has long campaigned against unfair charges when people sell energy back to the grid from their solar panels, batteries and electric cars, so it’s great to see the government taking action to fix this.
“People can now be even more confident buying EVs and home batteries – cutting their bills whilst making the grid cheaper and more efficient for everyone else too” added Ms Fletcher. “The System Operator must now act quickly to pay consumers instead of fossil fuel generators, slashing the cost of power for everyone.”
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