The Scottish energy minister Fergus Ewing has written to the big six and Energy UK seeking “reassurance” that lower wholesale costs will be passed on quickly to consumers.
This follows calls from chancellor George Osborne saying that it is “vital” the major energy suppliers reduce customer bills on the back of oil prices hitting five year lows.
In the letter issued this morning, Ewing asked the chief executives of British Gas, EDF Energy, Eon, Npower, Scottish Power, and SSE for information on the “expected scale and timing of oil price impacts on domestic and business energy bills”.
He added: “I also seek your reassurance that any cost savings will be passed on to customers at the earliest opportunity and to the fullest extent possible.”
The Treasury is conducting internal studies into the utilities industry examining how far and how quickly the benefits of the recent oil price falls are feeding through to consumers and “if any action needs to be taken”.