British Regulator Launches Annual Review

British energy regulator Ofgem launched October 31 its annual State of the Energy Market report. It gives a "detailed assessment of how well the energy market is working for consumers in terms of competition, affordability, decarbonisation, and security of supply," it said.

Anti-trust agency the Competition & Markets Authority recommended, after its probe into retail markets that ended in 2016, that Ofgem produce a wide-ranging assessment of them, in order to improve transparency and inform policy-making. This report is Ofgem’s response to that recommendation.

Energy markets are rapidly transforming to provide clean, secure, affordable energy and changing patterns of consumption, it said, and the pace and scale of change is unlike anything ever seen before in the sector.

Ofgem CEO Dermot Nolan said: “Transparency is crucial in informing debate and policy development in the energy sector. This annual report shines a light for the public, experts and stakeholders on where the market is, and where it isn’t, working for consumers."

Last week, the government published a review of the British electricity market that it had commissioned energy economist Dieter Helm to produce. It found that regulation and government interventions were among the reasons for high household bills against a background of lower commodity prices. Northern Ireland, part of the UK, has a separate energy and utilities regulator.

William Powell