Energy suppliers to inform customers of cheapest tariff

Energy suppliers to inform customers of cheapest tariffAccording to new regulations, energy suppliers in the country will now have to inform their customers of the cheapest tariff available.

Ofgem releases proposed reforms to the industry regulations that would not require energy suppliers to let customers know about the cheapest tariff offered. The regulator said that the consumers in the country re being confused due to the complex tariffs.

The regulator said that the new regulations will make it easier for the consumers to understand tariff system. It said that the new proposed reforms will lead to 'simpler, clearer, fairer and more competitive' energy market.

Experts say that the new regulations only require companies to inform customers of the cheapest tariff but not actually shift customers to the cheapest tariff, as recommended by Prime Minister David Cameron. He said in his comments in the House of Commons that the regulations will require energy companies to offer cheap tariffs.

The comments crated a lot of confusion in the market and within the government. Liberal Democrat Energy Secretary Ed Davey did not back the comments and Conservative Energy Minister John Hayes said that various options are being considered by the government.