§ Mrs. OrganTo ask the President of the Board of Trade (1) for what reasons the price of calor gas is not regulated; [33743]
(2) if she will seek to regulate the price of calor gas. [33744]
§ Mr. Battle[holding answer 12 March 1998]Given the level of competition in LPG supply generally, I see no need to regulate prices.
The Director General of Gas Supply regulates the supply of gas "through pipes". The supply of LPG in cylinders and tanks does not come within this definition.
The Director General of Fair Trading is responsible for keeping this industry, along with others not subject to specialist oversight, under review in order to detect monopolies and exploitation of market power.
OFT reviewed the price increases in LPG supply last Winter to see if they were an indication of such exploitation. It was concluded that they were not.
OFT is currently negotiating with the LPG supply industry, with DTI encouragement, with a view to establishing code of conduct covering charges for the removal of rented tanks. This would make switching by consumers easier.