Business News

Energy regulator Ofgem has stepped up its investigation into the ‘big six’ suppliers. Five months ago Ofgem said it had evidence the leading energy companies had pushed up prices in response to rising costs more quickly than they reduced them when costs fell.

Energy giant Npower blamed the “volatile global wholesale market” for making a big hike in its prices. Npower will raise gas prices by 15.7 per cent and electricity prices by 7.2% from the first day of October, it said. The firm said customers with a dual fuel tariff would see prices rise by 12.2% from October.

The government has been warned that there will be a 30 per cent rise in consumer energy bills by 2020 as a direct result of the coalition’s policies. The projected figure is blamed on policies like carbon pricing which are designed to promote the use of renewables.

A local scheme offering discounted heating oil has become so successful it is being expanded nationwide. The idea generated with Oxfordshire Rural Community Council (ORCC) as a means to raise extra income.

A new poll has revealed consumers trust modern smart meters offered by mobile phone and tech firms far more than those from energy firms. According to those surveyed, power and utility companies are seen as a having an “impersonal and transactional” relationship with their customers. Many questioned the motives of energy firms’ involvement in the rollouts and failed to understand why power companies would want to provide them with tools to reduce their energy bills.

Chris Huhne has urged consumers to switch energy suppliers as a method of gaining the cheapest available deal. The energy secretary said people also have to check that they are on the cheapest tariff and whether they could save money by paying by direct debit. Mr Huhne was talking after a summit with the six biggest power firms.

The Office for National Statistics (ONS) has blamed energy prices as the major factor in the highest UK inflation figures for three years. The rate of Consumer Prices Index inflation, which was introduced 14 years ago in the UK, matched its record high in September – increasing to 5.2 per cent. The ONS, which released the data, said: “By far the largest upward pressure to the change in CPI…

The government wants to slash the feed-in tariffs available to domestic and small-scale solar business installations, from 43p per kWh to just 21p per kWh. Under the proposals the new tariffs would apply to all new solar PV modules with an eligibility date on or after December 12, 2011. This has resulted in criticism from the solar industry, with one Twitter remark stating: “So you ‘consult’ until 23 Dec but cut off tariff from 12th?

The latest figures suggest 1.5 million people are in debt with energy bills in the UK. The statistics, collated from spring 2011, include 850,000 electricity and 700,000 gas customers. Bills are rising 18% this winter so there is a fear that more people would be pushed into debt.

Small and medium sized businesses will be able to access a fund worth up to £5 million in order to implement a variety of energy-efficiency measures, a news report on the matter has revealed.

Both the UK Government and companies should do a lot more about implementing energy efficiency measures, said the CBI (Confederation of British Industry) in a public call to action.

Local authorities across the UK are becoming increasingly interested in the concept of energy efficiency, most of them actually having some sort of plan set up in order to make the buildings they manage more efficient and cut down on bills.