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Chris Huhne pledges to 'get tough' over energy prices Chris Huhne pledges to 'get tough' over energy prices
(40 minutes later)
  
Energy Secretary Chris Huhne has said he is determined to "get tough" with the six biggest energy companies, in his speech to the Lib Dem conference.Energy Secretary Chris Huhne has said he is determined to "get tough" with the six biggest energy companies, in his speech to the Lib Dem conference.
He set out plans to help save money by making it easier for people to spot cheaper deals and switch providers. He said he wanted to help people save money by making it easier to spot cheaper deals and switch providers.
He also said Ofgem should be given power to force companies to give money back to customers for "bad behaviour". But he denied telling a newspaper that consumers were too lazy to shop around for lower prices.
Mr Huhne also used his speech to say that Lib Dems will not let the UK's ties with Europe be watered down. Mr Huhne also said Ofgem should be able to force companies to give money back to customers for "bad behaviour".
The conference in Birmingham is due to debate the NHS shake-up, adult social care and green economic growth on Tuesday, and will hear a speech from Pensions Minister Steve Webb. The energy secretary said the government wanted to see "simpler tariffs" and a system in which firms were required "to tell you whether you could buy more cheaply on another tariff".
Cheaper tariffs He did not give details of exactly how firms would be forced to change their practices, but did discuss beefing up Ofgem's regulatory powers.
Mr Huhne is still waiting to hear whether he will face charges over allegations he asked his wife to accept his speeding points for him in 2003 - which he denies. 'Consumer charities'
He took the conference stage on Tuesday to pledge to help people get better deals from the "big six" energy companies - British Gas, Scottish Power, Scottish and Southern, Npower, E.On and EDF. Mr Huhne has faced criticism after he was quoted by the Times newspaper as saying consumers "do not bother" to hunt for better deals on electricity and gas, and spent more time shopping for "£25 toaster" than an energy supplier.
The energy secretary said: "We want simpler tariffs, requiring energy companies to tell you whether you could buy more cheaply on another tariff." But the minister told the conference in Birmingham: "Contrary to the Times' report, I neither said nor meant that this was laziness.
He said the energy regulator Ofgem should get new powers to make firms pay up to customers when there has been "bad behaviour" - such as breaching licence conditions. "It is just that consumers still think that they face the same bill whoever they go to."
Ofgem already has powers to fine companies up to 10% of their annual turnover. As well as promising to take action against the "big six" energy companies - British Gas, Scottish Power, Scottish and Southern, Npower, E.On and EDF - Mr Huhne said he wanted to encourage new, small firms to enter the energy market.
He also said he wanted to see "consumer-friendly" organisations - co-ops, partnerships, consumer charities - dedicated to doing the shopping around for consumers to make sure that you are always on the best deal, even if you do not have time to check yourself".
Ofgem already has powers to fine companies up to 10% of their annual turnover, but Mr Huhne said it should get new powers to make firms pay up to customers when there has been "bad behaviour" - such as breaching licence conditions.
Other plans include stopping delays to Ofgem rulings by giving firms a right of appeal - rather than allowing them to refer rulings to the Competition Commission, which can hold up the process.Other plans include stopping delays to Ofgem rulings by giving firms a right of appeal - rather than allowing them to refer rulings to the Competition Commission, which can hold up the process.
And he criticised those who keep prices high for millions of customers, while offering cut-price deals online - something he says is anti-competitive.And he criticised those who keep prices high for millions of customers, while offering cut-price deals online - something he says is anti-competitive.
He said: "It's not fair that big energy companies can push their prices up for the vast majority of their consumers, who do not switch, while introducing cut-throat offers for new customers that stop small firms entering the market. 'More investment'
"It's not fair that big energy companies can push their prices up for the vast majority of their consumers, who do not switch, while introducing cut-throat offers for new customers that stop small firms entering the market," he said.
"That looks to me like predatory pricing. It must and will stop.""That looks to me like predatory pricing. It must and will stop."
He also said it "makes sense" to reduce reliance on expensive oil and gas and promote instead low-carbon energy businesses.He also said it "makes sense" to reduce reliance on expensive oil and gas and promote instead low-carbon energy businesses.
And he pledged to make people in "fuel poverty" - defined as households which spend more than 10% of their income on fuel costs - a priority for the government's Green Deal - which aims to allow people to make their homes more energy efficient and pay for it out of the resulting savings to their gas and electricity bills in the long term.And he pledged to make people in "fuel poverty" - defined as households which spend more than 10% of their income on fuel costs - a priority for the government's Green Deal - which aims to allow people to make their homes more energy efficient and pay for it out of the resulting savings to their gas and electricity bills in the long term.
'No Tea Party' John Cridland, CBI director general, welcomed help for consumers, but said high energy prices also partly reflected "the critical need for energy investment for a low-carbon future".
Mr Huhne also used his address to deliver a strong message to Conservative Eurosceptics, stressing the importance of working with Britain's partners in Europe on issues such as the environment and exports - and vowing to block renegotiation of existing EU treaties. And he added: "We do need ministers to be crystal clear on energy policy if vital business investment is to be secured."
"We will not, as Liberal Democrats in government, weaken the ties that deliver our national interest through Europe," he said. Mr Huhne is still waiting to hear whether he will face charges over allegations he asked his wife to accept his speeding points for him in 2003 - which he denies.
"Whatever we think of the Conservative campaign in the AV referendum - and I for one thought the vilification of Nick [Clegg] was appalling - for Liberal Democrats compromise is not and cannot be a dirty word."
He said the "danger" of refusing to compromise is "now clear from America".
"There the markets looked over the brink when the mad-cap Republican right in Congress would not compromise with the President.
"Let that be a warning to the Conservative right here: we need no Tea Party tendency in Britain.
"If you fail to compromise, if you fail to seek the common ground that unites us, if you insist that only you have the answers, if you keep beating the anti-European drum, if you slaver over tax cuts for the rich, then you will put in peril the most crucial task of this government.
"You will wreck the nation's economy and common purpose. We are all in this together and we cant get out of it alone."