21 March 2011

Juliet Davenport, CEO of 100% renewable electricity supplier Good Energy, said:

"Good Energy welcomes any proposals that could improve transparency in the electricity market and simplify tariffs for consumers. However, we are cautious about the potential restriction that could be imposed on smaller suppliers offering innovative local tariffs linked to local renewable generation.

"The proposals for better price transparency in the wholesale market are long overdue.  We believe that 20% auctioning is a step in the right direction but misses the opportunity to bring better transparency to the whole market, which would make the landscape for new investors more attractive.

"It's reassuring to see OFGEM take this bold step and recognise that, although the market reform of 2002 brought down prices, it did not encourage new investment and new entrants into this market."

ENDS