The Energy Independence Bill has been introduced to parliament, aimed at a fairer energy system, cheaper bills and greater public control.
The government will bring forward amendments to the Bill to support plans to scrap standing charges on household gas bills. This will give around 23 million households greater control over their energy costs, with around 60 per cent of gas account holders expected to save an average of £45 a year.
Often will get stronger powers to crack down on rogue energy companies and bosses, including unfair bonuses and energy brokers will be regulated to tackle mis-selling and hidden commissions. This is expected to save businesses around £100 million a year.
Local authorities will also get stronger powers to tackle rogue landlords who fail to meet energy efficiency standards, including fines of up to £30,000. This measure supports plans to save households in upgraded rented homes around £210 a year by 2030.
The Bill aims to make home upgrades easier, by establishing the Warm Homes Agency in law to help families access support to improve their homes and cut heating costs.
Developers will be required to offer communities up to a 20 per cent stake in new renewable projects, alongside mandatory community benefits so local people share in the rewards.
Furthermore, the government aims to build a stronger grid by establishing a publicly owned Great British Grid in law through an upcoming amendment. This is alongside reforms to speed up electricity infrastructure and help homes and businesses connect faster.
Prime Minister Andy Burnham said: "For too long, families have paid the price for an energy system that isn’t working for them. Bills are too high and events around the world can send costs soaring.
"That’s why we’ve taken immediate action to help people with energy bills, with £50 off the annual price cap and our new £100 energy payment for 20 million households. And this Bill will make the changes needed for the long-term: protecting people when energy companies let them down, giving communities a stake in the power produced on their doorstep, and building more cheap, green power here at home.
"Together, these changes will bring bills down for good, give families greater security and put Britain back in control of its energy future."
Energy Secretary Miatta Fahnbulleh said: "Energy is an everyday essential. No one should have to worry about being ripped off by rogue companies or see bills driven up by price shocks thousands of miles away.
"Today is a first downpayment on fixing a broken system, protecting consumers from unfair costs and putting the public back in control.
"Through this Bill, we will build a clean energy future which people feel in their pockets, households and communities, ensuring support reaches those who need it most."
