Simplyswitch.com: Energy white paper

As expected, a raft of measures have been set out, with the focus on cutting greenhouse gases, making UK homes more energy efficient and tackling the future security of the UK's energy supply. It has also been announced that a consultation on new nuclear power stations will last until October.

Karen Darby, founder of SimplySwitch.com, the price comparison and switching service, comments: "On first inspection, the Energy White Paper contains many positive steps that will help secure the UK's energy supply and meet demanding targets in the fight against global warming.

Security of supply

"Any measures to increase energy generation in the UK are welcome – we would be in a better state as a nation if we were a net energy exporter rather than importer and today's announcement goes some way to address this issue.

"Energy generation within the UK would not only help us manage carbon emissions, but would also help stabilise price fluctuations and security of supply. As existing nuclear facilities become obsolete, Britain is set to become up to 90% more reliant on energy imports from Russia . With news this week that the Russian Government has approved plans for an oil pipeline that could tighten Moscow's grip over Europe's energy supplies, concerns over security of supply will be heightened.

Smart Meters

"Plans for visual displays and 'smart meters' to be installed in homes will encourage people to use less energy by displaying up-to-the-minute analysis of their energy usage and costs. Also, as they can be read remotely, suppliers don't need access to read the meter, so they will do away with the archaic way in which customers are billed.

"It could take over 10 years to install meters and cost up to £8bn. While the cost and timescale are significant, the future benefits cannot be ignored. This is about the long-term future, and a 10 year installation programme would be a small price to pay if the true benefits can be realised.

Energy saving measures

"Plans were also announced to ensure suppliers work more closely with customers to deliver measures to improve energy efficiency. These are steps welcome, but as there is a huge difference between the prices that energy companies charge, we don't want to see consumers tied to one supplier.

"Levels of fuel poverty have doubled since 2003, now affecting nearly 4 million households in the UK. Although there is a long way to go, the steps announced today will help ensure that suppliers work closely with consumers to help eradicate the problem.

Future plans

"With a consultation on nuclear power set to run to October and renewable projects being developed, it is clear the Government is taking steps in the right direction. These measures will help maintain the security of the UK's energy supply and ensure the UK has a reliable mix of energy sources."