Huhne to 'get tough' with energy's big six

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Chris Huhne has set out plans to "get tough" on the largest six energy firms and pledge to help customers save money.

In a speech to the Liberal Democrat conference in Birmingham, the energy secretary said ministers will order energy companies to pay customers unlimited refunds to compensate for "bad behaviour".

He also set out how the low carbon economy "is our route to recovery".

Huhne announced an increase in powers for energy regulator Ofgem that will allow it to stop companies from blocking reforms.

He also told conference he wants smaller companies to get a share of the market.

The energy secretary announced changes that will make it easier for customers to switch suppliers so they can lower their energy bills by up to £200 each year.

"We are determined to get tough with the big six energy companies to ensure that the consumer gets the best possible deal," he said.

"We want simpler tariffs. Requiring energy companies to tell you whether you could buy more cheaply on another tariff. And you could save real money.

"I want to help households save money, simpler charging, clearer bills, quicker switching and more consumer-friendly firms - co-ops, partnerships, consumer charities - dedicated to doing the shopping around for consumers to make sure that you are always on the best deal, even if you do not have time to check yourself.

"I believe Ofgem should have new powers to secure redress for consumers - money back for bad behaviour - and we will stop the energy companies from blocking action by Ofgem, which can delay matters by a year."

Huhne told delegates that energy companies have agreed to add information on to bills this winter that will direct customers on how to switch to cheaper tariffs.

Huhne also set out why "getting off the oil and gas price hook and onto clean, green energy makes sense".

"Green business is good business," he told conference.

"There are now a million jobs in low carbon goods and services in Britain, and they are growing rapidly.

"New jobs in cars, where Nissan will produce the all-electric Leaf at Sunderland with a £5,000 premium for each car from our government.

"New jobs in energy saving, where our Green Deal, launched next October, is set to create 250,000 jobs across the nation, up from 27,000 now.

"With the Green Deal, we are stopping the scandal where we use more energy to heat our homes than in Sweden, despite their icy winters.

"Saving money that can be spent at home on British jobs, not foreign gas."