Energy MPs call for Competition Authority to probe SSE and N-Power merger

Rachel Reeves, MP
Rachel Reeves, MP

MPs on the Business, Energy and Industrial Strategy (BEIS) Committee have called on the Competition and Markets Authority to investigate the proposed merger between the retail energy businesses of SSE and Npower.

The BEIS Committee is concerned that the merger may lessen competition and affect energy consumers.

Labour MP Rachel Reeves, Chairman of the BEIS Committee, said: “The energy market isn’t working for consumers.

“The proposed merger between SSE and Npower risks damaging the development of a more competitive energy market, reducing consumer choice, and threatening to be a bad deal for energy consumers.

“The CMA needs to look at the potential impacts of this merger and launch a full investigation if there is any risk to competition within the energy market”.

The GMB trade union has also called for the proposed merger between SSE and N-Power to be halted on (lack of) competition grounds.

Reeves added: “The merger would reduce the Big Six energy companies to five with almost half of the domestic energy share held between Scottish-British gas and the proposed SSE-N-power merged business.”

A spokesman for the Perth-based SSE utility denied there was a competition law case to answer and stated that the merger would ‘increase’ competition.

5 Dec 2017

Pixie Energy

Pixie logo Pixie Energy is an incubator and a facilitator of strategic research and project work, focusing on energy regulation, policy and markets at the local and national level. Find out more about Pixie Energy here.

Local Energy Matters: Scotland

Local Energy Matters: Scotland is a free-to-download brochure with a focus on energy tariffs in the two Scottish electricity distribution regions, as well news on local energy and low-carbon schemes.

Previous editions can be download here.

Scottish energy market overview

You can read an overview of the Scottish energy market here.

Scottish Government energy feed