Written questions by German.

What contingency plans are in place to protect fuel supply, heating oil availability, fertiliser supplies and food distribution in Wales in the event of prolonged disruption to global oil and gas supply routes, including through the Strait of Hormuz.

The UK benefits from a diverse and resilient fuel supply chain and remains well supplied across all fuel types. The Government works closely with industry to monitor supply, demand, and market conditions. Government’s long-standing contingency plans include the National Emergency Plan for Fuel. A summary of the plan is published on gov.uk and sets out measures to respond to supply and distribution disruption, ensuring that, in the unlikely event of a sustained disruption, fuel can be prioritised for essential services and critical supply chains. The Government does not assess that the current situation warrants, or is approaching, the threshold for the use of emergency powers.

For what reason wholesale electricity prices are set by gas‑fired generation under the marginal pricing system; and what assessment he has made of the impact of this pricing structure on household energy bills.

Our recent announcement on 21 April set out several measures that will help break the link between the price of gas and the price of electricity. These measures include voluntary long term fixed contracts and an updated Electricity Generators Levy. Marginal pricing is a description of how competitive commodity markets function. It is the foundation of all commodity markets across the OECD. Marginal pricing incentivises the cheapest sources of energy production to provide as much power as possible, more expensive producers are only used when it is necessary to meet demand. The issue is that we are too often relying on gas to provide our power. Accelerating the deployment of renewable generation, as we are through our Clean Power 2030 Mission, will reduce the amount of time when gas is setting the price and will help to rapidly decouple electricity from gas prices without the need for more complex arrangements. This will in turn reduce the exposure of consumer bills to volatile international prices.

What assessment he has made of the potential impact of wholesale electricity prices being set by the marginal cost of gas generation on the extent to which consumer bills reflect lower-cost renewable generation.

Marginal pricing incentivises the cheapest sources of energy production to provide as much power as possible, more expensive producers are only used when it is necessary to meet demand. The real problem is that we rely too much on volatile fossil fuels – and the solution is our clean power mission: upgrading our grid while accelerating the rollout of clean, homegrown energy, so the price of electricity is instead set by clean power that we control. Every wind turbine we switch on and solar panel we deploy helps reduce our exposure to volatile fossil fuel markets.

What assessment he has made of the potential impact of inaccurate or prolonged estimated energy billing on small and microbusinesses.

Billing issues, for both domestic and non-domestic customers, are a matter for Ofgem as the sector regulator. Ofgem’s licence conditions require suppliers to take all reasonable steps to reflect accurate meter readings in bills or statements sent to customers where these have been provided by a customer or obtained by the supplier. We are rolling out smart meters to smaller businesses, and our latest data shows that almost two thirds of meters in non-domestic premises are smart or advanced meters. Smart meters enable accurate billing by automatically recording energy use in every half-hour period, allowing bills based on actual rather than estimated usage.Since December 2024, Small and Medium Enterprises (SMEs) with fewer than 50 employees have been able to access free support to resolve issues with their energy supplier through the Energy Ombudsman. This means that 99% of British businesses can now access this service with outcomes ranging up to £20,000 in financial awards. We consulted in late 2025 on measures to strengthen the Ombudsman’s tools for ensuring suppliers implement decisions in a timely manner.

What data his Department holds on the frequency and duration of estimated billing for small business energy customers.

Billing issues, for both domestic and non-domestic customers, are a matter for Ofgem as the sector regulator. Ofgem’s licence conditions require suppliers to take all reasonable steps to reflect accurate meter readings in bills or statements sent to customers where these have been provided by a customer or obtained by the supplier. We are rolling out smart meters to smaller businesses, and our latest data shows that almost two thirds of meters in non-domestic premises are smart or advanced meters. Smart meters enable accurate billing by automatically recording energy use in every half-hour period, allowing bills based on actual rather than estimated usage.Since December 2024, Small and Medium Enterprises (SMEs) with fewer than 50 employees have been able to access free support to resolve issues with their energy supplier through the Energy Ombudsman. This means that 99% of British businesses can now access this service with outcomes ranging up to £20,000 in financial awards. We consulted in late 2025 on measures to strengthen the Ombudsman’s tools for ensuring suppliers implement decisions in a timely manner.

What assessment his Department has made of the value for money of the new Contract for Difference awarded to Drax Power Station compared with alternative (a) low-carbon generation and (b) storage technologies.

The National Energy System Operator (NESO) has provided analysis that without large-scale biomass, we could face increased security of supply risks from 2027 to 2031. Alternative low carbon generation such as wind or solar power, need to be supplemented with dispatchable generation to ensure security of supply. Government has secured the best value for money deal to provide the dispatchable capacity required. Our analysis estimates that the alternative option of procuring the required capacity through the capacity market, which storage technologies bid into, would cost in the region of £170m more per year than the new arrangement with Drax.