Key Facts

• The Energy Charter Treaty allows foreign companies to sue governments outside national legal systems through secretive tribunals.
• There have been at least 135 claims under the ECT, making it the world’s most litigated ISDS agreement.
• The UK could face claims of up to £9.4 billion from the ECT if following IEA’s recommended pathway for cancelling oil and gas projects.
• The new clause requires the Secretary of State to publish a report within three months of the Act's passage.
• The report must cover policies, programmes, financial support for funds such as Rural Community Energy Fund and Urban Renewable Energy Fund.
• Annual assessments are required over five years, including details on total financial support provided, number and capacity of schemes completed or in development.
• New clause 87 requires a report from the Minister within three months on future support for community energy.
• The report must cover measures needed before REMA improvements come into effect and extend support periods if necessary.
• Sharma emphasizes the need to restart or relaunch urban and rural community energy funds that closed when initial funding was used up.
• The UK shared prosperity fund provides £2.6 billion in funding for investment in places, including community infrastructure projects.
• Ofgem supports community energy projects and welcomes applications to the industry voluntary redress scheme.
• The Government have reintroduced the community energy contact group to strengthen engagement with the sector.
• The Authority (Ofgem) must conduct a review into domestic supply contract competition.
• Reviews must consider progress on installing smart meters for domestic customers.
• Reports must be published by Ofgem and sent to the Secretary of State within specified timelines.
• The Domestic Gas and Electricity (Tariff Cap) Act 2018 introduced procedures for determining the duration of the tariff cap.
• Clause 161 in the original Energy Bill extended these arrangements to 2024 and 2025, but was removed by Lord Callanan's small clause amendment.
• The new clause aims to restore the conditions that were originally intended in the bill.
• The Domestic Gas and Electricity (Tariff Cap) Act 2018 was modified by the Energy Prices Act 2022.
• The tariff cap will remain in force until the end of March 2024 to protect households from price spikes.
• A consultation on the future of the price cap is intended for later this summer.
• Ofgem has consulted on the future of local energy institutions and governance with a focus on regional system planners.
• The consultation by Ofgem closed on 10 May.
• Clauses 119(2)(b) and 134(3)(a) allow for other functions to be conferred on the ISOP under legislation.
• The amendment introduces new clause 91—Variations of consents under section 37 of the Electricity Act 1989.
• Section 37 relates to consent required for overhead power lines.
• Unlike current requirements, this change would allow existing consents to be varied rather than requiring a new application.
• The target is 50 GW of offshore wind energy deployment by 2030.
• Currently, 14 GW of offshore wind is deployed.
• New clause 90 aims to remove the automatic triggering of public local inquiries if a planning application is objected to by a local authority.
• Section 36C of the Electricity Act 1989 allows generation projects to have their consents amended without requiring new consent applications.
• New clause 91 seeks parity between grid infrastructure and generation infrastructure in planning considerations.
• The speed of electricity consenting in Scotland is critical for achieving net zero commitments and improving energy security.
• Areas of the Scottish planning system need review to enable rapid deployment of renewable energy generation.
• The Electricity Act 1989 applies differently to projects under 132 kV and less than 2 km in England and Wales compared to Scotland.
• Section (Prohibition on disclosure) does not prohibit a disclosure of protected material by the OGA.
• The OGA can disclose information to Ministers of the Crown, HMRC, CMA, and other specified bodies for specific purposes.
• Regulations under sub-paragraph (6) are subject to the affirmative procedure.
• New Schedule 2 contains provision about appeals against decisions made by the OGA.
• The amendments include rules for persons affected by OGA decisions on information and samples plans and notices requiring provision of information or samples.
• The Tribunal has the power to affirm, vary, quash, remit for reconsideration, or substitute its own decision in appeals.
• Amendment 114 is proposed to clause 275.
• The amendment requires consultation with the Scottish Ministers on draft regulations.
• It also mandates obtaining consent from the Scottish Parliament for such regulations.
• Government amendment 171 provides powers to the Secretary of State for hydrogen transport business models.
• Amendments 123, 133, and 175 ensure new clauses related to Ofgem net zero duty, energy-intensive industries, and Great British Nuclear come into force two months after Royal Assent.
• Amendment 19 includes the Treasury's authority for regulations made by statutory instrument under paragraph 9 of Schedule 7.
• Amendment 11 agreed to.
• Amendment 173 inserts “and transportation” into the long title after “production”.
• Amendment 134 adds a clause about financial support for persons carrying on energy-intensive activities.
• The Energy Bill has been debated constructively in a cross-party manner.
• Virendra Sharma acknowledges the Clerks and other Members for their contributions.
• The Committee will proceed to Report stage after agreeing to report the amended Bill.