MPs to probe energy prices
Record highs in gas and oil prices have prompted a committee of MPs to launch an investigation into their effects on companies and households.
The Trade and Industry Select Committee has announced that it will look into the issue following a recent report by Ofgem, which stated that consumers face a combined increase in power bills of £3.6 billion per year.
The cross-party body will look into whether the rises are likely to be temporary or are the beginning of a long-term trend.
Consumers are facing increasingly higher energy bills following a raft of rises by energy companies hit by massive jumps in wholesale oil and gas prices.
The inquiry will also focus on responding to the increases and discovering the best course of action that should be taken by regulator Ofgem and the Department of Trade and Industry.
Price hikes have been driven by fears over the security of oil provisions, largely due to political unrest in oil-producing countries such as Nigeria, but the committee will decide whether these fears are short-term concerns or whether they are likely to stay.
The closing date for submissions of evidence to the Committee is Wednesday 24th November, with the Committee expected to take oral evidence in December.
Crude oil prices on the American stock markets hit over $54 a barrel this week, before retreating to the $52 mark. Though when inflation is taken into account the prices are below those seen in the 1980s, they are still up by nearly 30 per cent on last year.
