The boss of green energy firm Good Energy has slammed the Government’s response to the energy crisis as “inadequate.”
The Aim-listed firm recently reported a 11.8% rise in revenue to £146m last year, which it said was driven by “significant” price rises in response to rising wholesale costs.
The company, which is based in Wiltshire, added the “unprecedented” crisis - which has seen 28 suppliers collapse - resulted in a dip in its profits and earnings.
Chief executive Nigel Pocklington called the high cost of energy “a national crisis”, which had been “exacerbated” by Russia’s invasion of Ukraine.
Mr Pocklington said: “Whilst renewables should play a vital role in our long-term energy strategy, only the Government can bring short term respite. The response to date has been inadequate, and further support will undoubtedly be needed.
“In 2021, 28 energy supply companies failed, hitting customers’ bills and their trust in the industry. This was the result of both poor business practices and the UK’s continued reliance on volatile global fossil fuel markets."
A spokesperson for the Department for Business, Energy and Industrial Strategy (BEIS) said it “disagreed” with Mr Pocklington's comments.
The BEIS spokesperson added: “We are working hard to protect families which is why we have set out a £22bn package of support including a £200 energy bill discount in October to cut energy bills quickly for the majority of households.
“We benefit from having access to highly diverse sources of energy supply, but our exposure to volatile fossil fuels only further underlines the importance of our plan to generate more cheap, homegrown renewable energy. We will set out full details on our energy supply strategy soon.”
Home energy bills are set to rise by £693 from Friday (April 1), after regulator Ofgem confirmed in February it was hiking the energy price cap by 54% to a record £1,971 for a typical home.
The cap represents the maximum amount a utility company can charge an average customer in the UK per year for the amount of electricity and gas they use, preventing businesses from passing on higher costs to consumers.
Chancellor Rishi Sunak has announced measures including a £200 discount on all energy bills from October – which will have to be repaid over the next five years – and a £150 council tax rebate for people in bands A to D - around 80% of homes. He has also promised £144m to councils to support vulnerable people.
Unlike most energy suppliers, Good Energy is currently exempt from Ofgem’s cap due to its environmental credentials as a renewable supplier.
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