WQ82158 (e) Wedi’i gyflwyno ar 24/02/2021

A wnaiff y Gweinidog ddatganiad mewn ymateb i benderfyniad Utilita Energy i gynyddu ei gyfraddau trydan nos i breswylwyr gwledig nad ydynt yn gallu cael gafael ar gyflenwad nwy o'r prif gyflenwad?

Wedi'i ateb gan Gweinidog yr Amgylchedd, Ynni a Materion Gwledig | Wedi'i ateb ar 08/03/2021

In February, Ofgem announced changes to the domestic energy price cap applied to default and standard variable tariffs. With effect from April, the level of the price cap will increase by £96 from £1,042 to £1,138. For customers paying by pre-payment meter, which Utilita specialise in, the level will rise by £87 from £1,070 to £1,156. Ofgem claims the increase is primarily driven by a global recovery in wholesale energy prices in recent months.

I have noted this significant increase in the domestic energy fuel cap with disappointment and concern. At a time when bill arrears are at their highest, the increase is unwelcome. I disagree with any measures which unfairly penalise those who live in rural parts of Wales. Whilst comparing the market to find a cheaper tariff remains one way to save money on energy bills, switching suppliers to secure a lower tariff is not an option for many lower income households who are in arrears with their current energy supplier.

I wrote to the Minister of State for Business, Energy & Clean Growth, copied to the Chief Executive at Ofgem on 19 February to register my dissatisfaction. The increase in the price cap was also raised by the First Minister when he met with the Ofgem board on 24 February.