Ofgem’s Corporate Strategy commits us to explore how best to rely more on principles in the way we regulate the retail energy market. For now, we are focused on the domestic retail supply market, where there is lots of prescription and the biggest scope for change.
We think that relying more on principles will better protect consumers, help future-proof our regulation and place a greater onus on suppliers to understand and deliver what is right and fair for consumers. We are committed to striking the right balance between principles and prescriptive rules and welcome views on how best to do this.
We are also committed to ensuring we can support this transition through effective engagement, monitoring, compliance and enforcement. We will think hard about how to manage these practical challenges within our own organisation. We recognise the challenges in making this change successful. This consultation is to seek views on how best to do so.
This document is intended for all stakeholders in the domestic retail market. We welcome views on our proposals and invite you to participate in workshops planned during the consultation period. This will help us finalise our next steps. This consultation closes on 11 March 2016.