Centrica response to Labour Party Conference announcement
Centrica understands fully the concerns about energy prices and is deeply conscious of their impact on household budgets. The fact is that the rise in prices over the last five years has been due to three factors – higher commodity costs where Centrica has to compete to buy gas in a global market; increases in regulated transportation and distribution charges; and environmental costs and taxes.
If prices were to be controlled against a background of rising costs it would simply not be economically viable for Centrica, or indeed any other energy supplier, to continue to operate and far less to meet the sizeable investment challenge that the industry is facing. The impact of such a policy would be damaging for the country’s long term prosperity and for our customers.