Source · Select Committees · Business and Trade Committee
Recommendation 4
4
Not Addressed
Paragraph: 37
We recommend that Ofgem implements the recommendations of the Oxera report in full to ensure...
Recommendation
We recommend that Ofgem implements the recommendations of the Oxera report in full to ensure that it has the proper frameworks for defining consumer interests and competition. We call on Ofgem to carry out rigorous quantitative impact analysis to underpin regulatory reforms and to make these publicly available for scrutiny. Ofgem must take urgent steps to improve the quality of its governance and the effectiveness of its Board by proactively challenging decisions made within the organisation, ensuring it has the necessary information and sufficient time to vigorously deliberate issues and make evidence-based decisions.
Government response summary AI-generated
The response outlines the contents of a report to the Committee, not the specific actions recommended regarding Ofgem's frameworks, impact analysis, governance, and Board effectiveness.
Summary of the government's response below — read the verbatim text to verify.
Paragraph Reference:
37
Government Response
Not Addressed
HM Government · verbatim extract
Not Addressed
Ofgem accepts the recommendations of the Oxera report in full, including the development of consumer interest and competition frameworks. An ex-ante framework to define and measure consumer interests was discussed with the Board in July 2022 and is being further developed based on their feedback. Ofgem published the proposed consumer interests framework as part of the Net Zero Britain report in July and will seek further views from stakeholders. Development of the competition framework has also been launched, with the intention to deliver both frameworks as soon as possible. Ofgem is committed to apply both frameworks to decision-making across all energy regulation. All relevant Board papers will be required to factor the consumer interest and effective competition frameworks into problem identification, options analysis, and conclusions and recommendations.
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