Bill Esterson has called for the government to move remaining energy-transition policy costs from electricity bills to gas bills as part of a wider plan to cut energy costs.
The Commons Energy Security and Net Zero Committee, which Esterson chairs, said targeted support would be needed for gas customers least able to benefit from moving away from fossil fuels. It also recommended that future policy costs should not be placed on billpayers.
The committee said ministers should identify where windfall profits are being made across the energy system and use the excess to reduce bills. It also wants Ofgem to be able to require operators to give customers a clear breakdown of what they are paying for.
Its report urged the government to speed up work on reducing the role of gas in setting electricity prices and to make better use of contracts for difference, power-purchase agreements and interconnection with neighbouring countries.
It also argued that passing all the costs of new electricity infrastructure to households and businesses could undermine the transition, and called for the wider energy sector to contribute to network expansion.
Esterson said the transition should be judged on costs and security rather than political division. The committee's proposals are recommendations rather than government policy and ministers will now have to decide whether to accept them.
