The announcement of an inquiry into the wholesale gas market in the UK reflects the increasing concern about the way in which pricing structures operate in a business with a limited number of powerful players. It would be wrong to prejudge the specific inquiry. What matters is that the sector as a whole needs to regain consumer trust.
From the wholesale electricity business and retail gas supply, to the negotiations between the government and private sector over subsidies to wind and nuclear power generation, there is a culture of complexity with too many decisions taken in private. The commitment to transparency from the new energy minister, John Hayes, is very welcome and long overdue. Read more