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Utility Week 24th April 2015

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UTILITY WEEK | 24TH - 30TH APRIL 2015 | 15 Next week: Regulation and competition E L E CT I O N C O U N TD O W N : 1 3 D AY S TO G O UTILITY WEEK LOBBY POLL TRACKER 19 April 2015 – YouGov poll Party Share Change (from 12 Apr) Conservatives 34% +13 Labour 33% -1 Lib Dems 8% +1 Ukip 13% 0 Green 5% 0 Other 5% -1 LABOUR MANIFESTO Labour's manifesto arrived with a huge sense of deja vu. Leader Ed Miliband unveiled his party's plans for government, trying to show the fiscal responsibility the public doubt Labour has. Miliband unveiled the price freeze pledge in September 2013. The manifesto confirmed it last week – leaving commentators feeling a little like they'd strayed on to the set of Groundhog Day. Shadow energy secretary Caroline Flint announced plans for energy efficiency to become a national infrastructure priority. The 2015 mani- festo set outs plans for a "major drive for energy efficiency". Last September, shadow environment secre- tary Maria Eagle set out her vision for a reformed water sector, with companies signing up to a national affordability scheme. That idea was confirmed here. The manifesto aimed to show that Labour can be financially responsible, as well as looking out for hardworking people and the NHS, and to make Ed Miliband look prime ministerial. If they can successfully pull both off, the party still (publicly at least) says it has a chance of winning a majority. On energy, plans are well rehearsed. A new Labour government would introduce a 20-month price freeze that prevents prices rising, but allows them to fall. The reforms of the energy market will take place, starting by giving Ofgem powers and a duty to force suppliers to pass on falling wholesale costs. The party will look to break up the vertical integration of the big six, reintroduce an energy trading pool, and create a new watchdog "with teeth" that will protect consumer interests – as well as filling the roles currently occupied by Ofgem. Plans for an Energy Security Board, to fulfil an Office for Budgetary Responsibility-type role for the energy sector were also confirmed. As were Labour's intentions to give the Green Investment Bank more powers to borrow money, and to issue green bonds to support community and renewable energy projects. The Lib Dems have adopted a similar stance. Repeats of their stance on shale gas – a "robust regulatory regime" is required before explora- tion can take place – were shown, as was Labour's plan to introduce a decarbonisation target, which aims for a zero carbon electricity system by 2030. The pledge to shake up the water sector, by giving Ofwat new powers to change licences – reigniting the section 13 debate – and the creation of a manda- tory national social tariff also reappear. There are few rabbits pulled out of a hat or unanticipated goodies in the Labour manifesto. That is fully intentional. The aim of the game for the opposition is to portray itself as responsible, with policies that are long in gestation, but that will make a real and beneficial difference to voters. Announcing a surprise bonus only a few weeks away from the election would mess up the hard work the party has put in over the past few years to show itself to be prudent. Whether it is enough to convince voters to vote Labour, only polling day will reveal, but currently 40 per cent of them still view the Conservatives as more trustworthy fiscally than Labour (21 per cent), according to Opinium Research. The SNP has backed plans to force energy suppliers to cut energy bills when wholesale prices fall. Launching the SNP manifes- to, leader Nicola Sturgeon said a vote for her party is "a vote for action on energy bills". She also pledged the SNP would push to keep the winter fuel allowance. This chimes with Labour's commitment for Ofgem powers to force suppliers to cut energy bills to reflect falling wholesale prices – and could smooth confidence and supply negotia- tions should a minority Labour government need SNP backing in the House of Commons. Rather than just ruling out working with the Tories, Sturgeon went as far to say she would look to join the "anti-Tory majority af- ter 7 May, and vote to stop a new Tory government even getting off the ground". "This is a manifesto bursting with ideas and ambition." SNP Labour: 258 seats "This is a very meaty, policy-rich manifesto." Michael Gove, chief whip ( Conservative) "The three old parties collude to reinforce failing energy policies that will do nothing to reduce global emissions… Their 'green' agenda does not make them friends of the earth; it makes them enemies of the people." Roger Helmer MEP, energy spokesperson SNP leader Nicola Sturgeon "The most expensive ransom note in history." Michael Fallon defence secretary (Con)

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