With wholesale energy costs making up around 50 per cent of a typical domestic consumer’s energy bill it is essential that competition continues to function effectively and that it promotes choice, competitively priced energy and secure supplies to consumers.
Competition in the wholesale energy markets has brought considerable benefits to industrial, commercial and domestic customers. Effective competition helps keep the pressure on costs, to the benefit of customers.
Competition has also helped to promote more diversity in gas supplies, as indigenous production has declined, and electricity supplies.
Our priority is to protect customers interests, which we do through the promotion of effectively functioning competitive markets. We help markets operate effectively by removing barriers which may prevent this, for example by ensuring there is greater transparency of information to all parties including customers, and, when necessary, we use our powers to monitor and address any anti-competitive behaviour or practices which may affect the market.
We also work with industry through seminars and working groups to ensure that the market rules remain fit for their purpose.