HC Deb 22 June 2004 vol 422 cc1319-21W
Mr. Tynan

To ask the Secretary of State for Trade and Industry what duty she has to ensure security of electricity supply; what powers she has to carry out that duty; and what steps she has taken in the last three years in respect of that duty. [R] [178316]

Mr. Timms

Security of supply is one of the four goals of the Government's energy policy, as set out in the Energy White Paper, published in February 2003. Energy security is a shared responsibility. Ofgem and the Government have duties, in carrying out their primary function of protecting the interests of consumers, to secure that all reasonable demands for electricity are met and to secure a diverse and viable long-term energy supply.

The Electricity Act 1989 requires my right hon. Friend the Secretary of State to take security of supply into account in exercising her functions under Part I of the Act. These include: her powers to grant exemptions from the need for a licence for electricity generation, transmission, distribution and supply; her powers to veto modifications to the conditions of electricity licences; the making of regulations relating to regular, safe and efficient supplies of electricity, and the appointment of electricity inspectors; the making of legislation relating to the renewables obligation; and the giving of directions in relation to fuel stocks at generating stations.

The Government have worked to create and maintain competitive energy markets in the UK, Europe, and internationally, in particular successfully negotiating an agreement on the principles that are currently being incorporated into a new Framework Treaty for future cross-border oil and gas co-operation with Norway, which will help to secure gas supplies including for electricity generation, and agreeing measures to liberalise EU energy markets. We have also established mechanisms to monitor developments and provide information to the market, particularly through the Joint Energy Security of Supply Working Group (JESS); investigated power failures in the UK to ensure that the lessons are learnt for the future; promoted energy efficiency; and further developed our plans for dealing with emergency situations.