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Scottish energy minister attacks Ed Miliband's energy price freeze plan | Scottish energy minister attacks Ed Miliband's energy price freeze plan |
(35 minutes later) | |
Scottish Energy Minister Fergus Ewing has attacked Labour's promise of a UK-wide energy price freeze. | Scottish Energy Minister Fergus Ewing has attacked Labour's promise of a UK-wide energy price freeze. |
Ed Miliband has pledged to make the big energy companies freeze their prices for 20 months if Labour wins the next general election. | Ed Miliband has pledged to make the big energy companies freeze their prices for 20 months if Labour wins the next general election. |
Mr Ewing said the policy had been condemned as "completely unworkable". | Mr Ewing said the policy had been condemned as "completely unworkable". |
But Labour said failure to match Mr Miliband's commitment placed the Scottish government on the wrong side of the argument. | But Labour said failure to match Mr Miliband's commitment placed the Scottish government on the wrong side of the argument. |
Speaking at Holyrood, Labour's former Scottish leader Iain Gray challenged the energy minister to match the price freeze for an independent Scotland. | Speaking at Holyrood, Labour's former Scottish leader Iain Gray challenged the energy minister to match the price freeze for an independent Scotland. |
However, in reply, Mr Ewing said a similar policy had led to blackouts in California. | However, in reply, Mr Ewing said a similar policy had led to blackouts in California. |
He proposed an alternative "super-regulator" for an independent Scotland, which would oversee water, rail, telecoms and the energy industries. | He proposed an alternative "super-regulator" for an independent Scotland, which would oversee water, rail, telecoms and the energy industries. |
The minister added: "The record of regulators in the UK when one considers regulation of banking, the railway or payday loans isn't one to boast about. | The minister added: "The record of regulators in the UK when one considers regulation of banking, the railway or payday loans isn't one to boast about. |
"Consumer experts have said that before this freeze comes in the companies will whack the prices sky-high and companies may put off decisions by energy companies to invest in new cleaner generation capacity. | "Consumer experts have said that before this freeze comes in the companies will whack the prices sky-high and companies may put off decisions by energy companies to invest in new cleaner generation capacity. |
"An arbitrary price freeze has been tried before in California in 2000, which led to blackouts and an increase in the wholesale price of 800%. | "An arbitrary price freeze has been tried before in California in 2000, which led to blackouts and an increase in the wholesale price of 800%. |
"Never can I recall a measure introduced by a leader of a major political party in the UK which has received such widespread, utter and total condemnation as being completely unworkable. | "Never can I recall a measure introduced by a leader of a major political party in the UK which has received such widespread, utter and total condemnation as being completely unworkable. |
"And worst of all for Scotland, such an arbitrary measure threatens to impair the essential investment in renewable energy schemes which are so important for this country." | "And worst of all for Scotland, such an arbitrary measure threatens to impair the essential investment in renewable energy schemes which are so important for this country." |
The Scottish government recently announced the setting up of an expert commission to look at how the gas and electricity industry might be regulated in an independent Scotland. | |
In a statement released following Mr Ewing's remarks, it said the expert commission could consider the feasibility of a price freeze on gas and electricity prices in an independent Scotland | |
'Control prices' | 'Control prices' |
Speaking after the exchange at Holyrood, Mr Gray said: "Sadly, the SNP has chosen the side of the big energy firms over hard-pressed families being hit with growing energy bills. | Speaking after the exchange at Holyrood, Mr Gray said: "Sadly, the SNP has chosen the side of the big energy firms over hard-pressed families being hit with growing energy bills. |
"Ed Miliband's plan to freeze energy bills and reform the energy market was welcomed by families who will be dismayed that the SNP government has failed to match this pledge. | "Ed Miliband's plan to freeze energy bills and reform the energy market was welcomed by families who will be dismayed that the SNP government has failed to match this pledge. |
"Not only are the SNP refusing to support a price freeze, they have set their face against a regulator with the power to control prices in the long run. Fergus Ewing spoke today for the energy companies and against the Scottish consumer." | "Not only are the SNP refusing to support a price freeze, they have set their face against a regulator with the power to control prices in the long run. Fergus Ewing spoke today for the energy companies and against the Scottish consumer." |
On Wednesday, Youth Employment Minister Angela Constance described the price freeze proposal as "very well intended" but urged Mr Miliband to publish the research behind the policy. | On Wednesday, Youth Employment Minister Angela Constance described the price freeze proposal as "very well intended" but urged Mr Miliband to publish the research behind the policy. |
Scottish Liberal Democrat energy spokesperson Liam McArthur said: "The nationalists are all over the place. In two days two ministers have taken two diametrically opposed positions. | Scottish Liberal Democrat energy spokesperson Liam McArthur said: "The nationalists are all over the place. In two days two ministers have taken two diametrically opposed positions. |
"This demonstrates that the nationalists will say anything to anyone to achieve independence. I tend to agree with the Mr Ewing. It's a pity his own ministerial colleagues don't seem to." | "This demonstrates that the nationalists will say anything to anyone to achieve independence. I tend to agree with the Mr Ewing. It's a pity his own ministerial colleagues don't seem to." |