Big Six Energy Firms Face Competition Inquiry
27 March 2014
Regulators are to investigate the activities of the 'Big Six' energy firms, as part of an inquiry into whether or not the firms in question are preventing effective competition within the UK marketplace.
Industry body OFGEM has called for the investigation, following a report in which it outlined a number of reasons why it believes the Big Six may be hampering fair competition conditions. The investigation will be carried out by the CMA (Competition and Markets Authority) and could take up to two years for the results to be published.
The Big Six firms in question are SSE, Centrica, EON, NPower, Scottish Power, and EDF. These companies account for approximately 95% of the current UK marketplace.
Concerns have been raised as to whether the pending investigation could damage possible investment opportunities and general confidence levels within the energy market. However, OFGEM Chief Executive, Dermot Nolan has insisted that the primary concern must lie with the protection of the energy consumer, through "simpler, clearer and fairer reforms". (BBC News)
The Secretary of State for Energy and Climate Change today insisted that the upcoming investigation is just one measure as part of the coalition's broader energy reforms and has indicated that further energy saving initiatives will be announced later this year, in relation to the Green Deal.
Back to listing