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Majour issues raised in the background to the energy industry
Descripción
UK energy market spider diagram
Sin etiquetas
ofgem
energy industry
swiggity swooty
Mapa Mental por
Miles Drakeford
, actualizado hace más de 1 año
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Menos
Creado por
Miles Drakeford
hace más de 9 años
11
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Resumen del Recurso
Majour issues raised in the background to the energy industry
Value for money
Dealing with information failure
Reduce the number of tarrifs
Just four
Compulsory to tell customers
If theres a cheaper tarif
Likely bill over 12 months
Ease of switching suppliers
normally takes a months
Ofgem wants one day
Enforcement action
Fines levied
Paid to customers facing fuel poverty
Transparency
Costs, prices and profits
Helps new smaller firms
Price control
Told acceptable prices by Ofgem
Security of supply
Ofgem
Can't compel them to extra capacity
Because it'd lie idle for too long
EU regulations
Closing down older powerstations
Before the end of their life
Reducing capacity
Sustainability
Reducing demand
Switching away from fossil fules
Introducing smart meters
Exact record
"minute by minute record"
Ofgem competition
£50 million prize
For ways to reduce demand
Or develop environmentally friendly methods
Implementing government regulations
Reducing emmisions
1990-2050 80% reduction
Renewables obligation
growing proportion of electricity from renewable sources
Feed in tariff system
Buy electricity from small scale producers
Energy Companies Obligation
Reduce domestic consumption
Warm House Discount Scheme
Give discounts of £300 million
Ofgem assessment
How affective is it?
CMA shows weaknesses
"Ofgem may have unwittingly contributed to the problem of weak competition and high prices"
Profits of the bug six have increased
CMA
Competition and Market Authority
Responsible for protecting customer rights
Increase contestability
Outline the possible reasons of harm
Vertical intergration
Big six produce as well as supply
Dominance of the big six
Tacit collusion
Unwillingness of customers to switch
Weak incentives
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