I raise a point on this, because it is relevant to a question that I asked on Second Reading. If there is a default on the repayment of a Green Deal loan by a bill payer, which of the parties bears the cost of that default? Is it the energy supplier, whose job it is to collect the repayment as an addition to the energy bill, or is it the provider who put up the money in the first place? I am not sure that I have yet had an answer to that question. I know that it is one that worries suppliers. Many of them are energy companies, which are likely to face considerable strain on their balance sheets due to the huge investment which they will be making in generation and transmission equipment over the next few years. They are anxious that if they find themselves liable to bear the costs of default under the Green Deal scheme, that may affect their balance sheets and the perception of the financial markets.
I do not know whether this is an appropriate point to raise that question, but we are talking about defaults, and that is a question which really needs an answer. My noble friend may well not yet be in a position to answer. I think that I am right in saying that it was not answered on Second Reading, but it is a question which is causing concern and to which, at some stage, there will have to be a full answer.
Energy Bill [HL]
Proceeding contribution from
Lord Jenkin of Roding
(Conservative)
in the House of Lords on Wednesday, 19 January 2011.
It occurred during Debate on bills
and
Committee proceeding on Energy Bill [HL].
Type
Proceeding contribution
Reference
724 c97-8GC 
Session
2010-12
Chamber / Committee
House of Lords Grand Committee
Subjects
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Timestamp
2023-12-15 20:59:00 +0000
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