192. In response to suggestions
from some witnesses that there was no Government policy on energy,[462]
the Minister outlined the Government's energy policy to us as
allowing "the disciplines of the marketplace to have a far
more significant effect" than there had been before privatisation.[463]
He added that the Government's energy policy also had environmental
and social features and involved the promotion of competition
in the domestic market and the promotion of greater liberalisation
across European energy markets.[464]
193. We do not accept the
proposition that the Government does not have an energy policy.
Clearly it does. However the Royal Academy of Engineering told
us it is "important that Government does not abdicate its
responsibility for national planning and overseeing energy supply
to support long-term economic development" and that "strategic
policy is naturally the province of Government".[465]
We agree. Therefore the question which needs to be asked is
whether the Government's policy is detailed enough to prevent
regulators crossing the boundary between policy-making and implementation.
Several witnesses expressed sentiments similar to those of the
GCC who told us that "there is a concern that Parliament
has entrusted complete responsibility for what are, in effect,
public policy decisions to the regulators".[466]
We recognise that the Government will need to review its energy
policy, from time to time, especially in the light of international
environmental obligations.
462 Mem. p.82. Back
463 Q.
1180. Back
464 Q.
1180. Back
465 Mem.
p.102. Back
466 Ev.
p.94; See also Mem. pp.42, 82, 102; Ev. p.175. Back
