The energy watchdog has publicised the shake-up in store for Britain’s electricity market. Ofgem has brought out a factsheet about the simpler energy tariffs that it plans to introduce. The move is in response to a media furore around Energy Secretary Chris Huhne’s speech slamming the Big Six suppliers this week.
Under new proposals, suppliers can only offer one standard or ‘evergreen’ tariff for every payment method and fuel type. Suppliers must also just have one unit price for the ongoing tariff.
Ofgem wants all other tariffs to be fixed term, with a specified end date and set terms and conditions.
Ofgem’s proposals were first laid out in March, with more detailed plans and a draft impact assessment due later this year.