Finance
Britain seeks to beef up Ofgem energy regulator's powers
Published by Global Banking & Finance Review®
Posted on December 19, 2024
2 min readLast updated: January 27, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on December 19, 2024
2 min readLast updated: January 27, 2026
Britain plans to strengthen Ofgem to aid its shift to green energy by 2030 and protect consumers, with a consultation open until February.
LONDON (Reuters) - Britain set out plans on Thursday to strengthen its energy regulator Ofgem to help facilitate the country's shift towards a decarbonised energy system by 2030 and better protect consumers against bad treatment by suppliers.
The Labour government, elected in July, has set out plans to radically overhaul how electricity is generated in Britain, shifting almost entirely away from fossil fuels in favour of green energy sources.
Meeting that goal is seen as a huge challenge that will require massive private and public investment as well as big changes to the energy grid, which Ofgem has a role in approving.
Launching a consultation on new powers for the regulator, the energy department said the review would look at how to improve Ofgem's current involvement in regulating energy infrastructure to better support private investment.
It did not set out those proposed reforms in detail in a statement announcing the consultation.
Ofgem has faced heavy criticism in recent years, most notably after dozens of energy suppliers failed due to spiking wholesale gas costs in 2022, forcing some customers to pay extra charges.
The government said it wanted to give the regulator better powers to force suppliers to treat customers more fairly and stamp out bad practices which have damaged public trust in the industry.
The consultation launch is the first step in the reform process. It called for input from energy users, consumer groups and industry and will close at the end of February.
(Reporting by William James; Editing by Emelia Sithole-Matarise)
The article discusses Britain's plans to enhance the powers of the energy regulator Ofgem to support a shift towards a decarbonised energy system and protect consumers.
Ofgem is being strengthened to facilitate the UK's transition to green energy and to better protect consumers from unfair practices by energy suppliers.
The UK faces challenges such as massive investment needs and significant changes to the energy grid in its transition to green energy.
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