The Labour frontbencher has come out in support of the competition authority and urged energy secretary Amber Rudd to adopt the solution proposed by the CMA “to bring an end to overcharging by the big six”.
She said: “A protected tariff would make sure that no household is ripped off on their energy bills, and I am calling on the government to put five years of inaction behind them and back this approach.”
Flint’s call on the government to impose the CMA’s safeguard tariff is largely at odds with the industry, with both major and independent suppliers voicing concerns over the proposal.
Centrica has slammed the remedies put forward by the CMA, saying they are based on “unsound” analysis and that the plan for the safeguard tariff is “disproportionate” to the level of disengagement and based on “selective” customer surveys.
This view is shared by a number of the other major suppliers, notably RWE Npower, which called for the CMA to conduct further work before the final report due in December.
A constant concern made by the independent suppliers in their submissions to the CMA is that such a tariff would discourage customers from switching as they would settle to paying slightly more and avoid the perceived hassle of changing supplier.
Business supplier Haven Power suggested that a safeguard tariff should only apply to the big six because the customer base of the independents are, by their nature, made up of customers that have already actively switched.
Others have called for it to be based on the number of vulnerable customers in a customer base.