The news reports from yesterdays Energy Select Committee in Parliament appear to have generated more questions than answers. One of these is why did the six largest companies  send senior executives rather than the CEO or Chairman of each of these companies to be grilled by our MPs. One of the reports I read suggested that this was in part because the committee was assembled at short notice. This could explain the absence of some of the  big hitters, but surely not all 6, unless of course their cartel extends to diary setting? Then there is the prospect that these organisations took the view that as their CEOs and Chairmen have easy access to No 10 and No 11 Downing Street, let alone Ed Davey and his Department of Energy & Climate Change, that attending a select committee was a bit beneath them personally. A third possibility is that Parliament is held in such low regard that these captains of the Industry that keeps all other Industries at work, wanted to send a clear message to our elected representatives as to who is in charge. Perhaps power like banking and rail understands that it is too large to be allowed to fail or get into serious trouble. Our MPs have made it clear over a period of time that they are not big fans of OFGEM who also attended yesterdays committee. At the end of July the energy and climate change committee published a report which suggests that the regulator is not doing enough to protect consumers. They accused the watchdog of an “astonishing” lack of action to improve openness among energy companies regarding their profits. The committee said Ofgem needs to get forensic accountants to work out exactly how energy suppliers make their money, as consumers remain suspicious that their soaring bills are helping to produce huge profit margins. Sadly this challenge to OFGEM did not seem to be matched with an ability to apply forensic scrutiny by yesterdays Select Committee

The issue of power costs is not unrelated to the issues that David Cameron raised in the House of Commons last week during the Prime Ministers Questions. No sooner had he told the nation that the Green levies were to be rolled back, than a range of businesses which are ensuring our new homes more energy efficient, and retrofitting older dwellings had written to him explaining how Green taxes provide benefit for the whole nation as well as for the residents involved. Like the rest of the UK these businesses were not prepared for the announcement made at the dispatch box, particularly as it came only a week or so after the Prime Minister had spoken about the vital role that Green subsidies play and how determined he was to see them strengthened.

All of us need access to sustainable sources of power and that sustainability must extend to ensuring that any profits are proportionate to the risk and investment being made by the companies concerned. It also needs to ensure that the power is generated in the most environmentally sustainable way. What we do not need or want are Political leaders who can in a few short days say that Green subsidies are good for us, and then that they are bad for us. We need MPs who have the integrity to offer credible alternatives to the agencies they criticise, particularly if like OFGEM, they set them up in the first place!