Posted on: 16/05/2017
Jeremy Corbyn is planning to take the UK’s national grid back into public ownership, according to its General Election manifesto.
The party said it would renationalise the grid operators to end the “natural monopolies of the transmission and distribution grids”.
Labour would also create publicly-owned energy supply companies in each region, which would be tasked with tackling fuel poverty, offering cheap tariffs and supporting community energy projects.
A local energy task force would also be setup to advise people and businesses on how to start up community energy co-operatives.
The party said it would introduce an “emergency” price cap, bringing the cost of the average dual-fuel household bill to below £1,000 a year.
“Privatisation has failed to deliver an energy system that delivers for people, businesses or our environment,” the manifesto said.
It added that consumers “don’t have time to shop around, they just want reliable and affordable energy”.
Renewable energy commitment
Labour said it would insulate four million homes to improve energy efficiency and offer loans with 0% interest to encourage homeowners to waste less energy.
Corbyn’s party will commit the UK to generating 60% of its energy from renewable or other low-carbon sources by 2030.
It would support the building of nuclear power stations, but would ban hydraulic fracturing or “fracking” for shale gas.
Labour’s manifesto described tackling climate change as “non-negotiable”.
Meanwhile the Conservatives plans to introduce a cap on standard variable tariffs (SVTs) have elicited an angry response from the energy industry.
Lawrence Slade, Chief Executive of trade body Energy UK, said: “Today’s announcement effectively risks giving up on competition at a time when we need engaged consumers more than ever.
“Further intervention risks undermining so many of the positive changes we are seeing in the market which are delivering benefits for consumers.
“The solution is not to distort the market as a whole but see through the market reforms, allow competition to drive innovation and benefits for customers, while ensuring that there is targeted support for those most in need.”