The Government is to review green electricity tariffs amid concerns energy companies could be exaggerating their environmental benefits, as a poll shows 75 per cent of consumers believe suppliers should be more transparent over their green credentials.

Energy Minister Anne-Marie Trevelyan has announced the review as the Government attempts to reign in over optimistic claims and create confidence as it looks to meetings its own targets for a greener future.

As consumers increasingly consider reducing their carbon footprint and the UK having more than quadrupled its renewable electricity generation since 2010, the Government wants to ensure and reassure consumers signing up to a green tariff know their energy is coming from green sources of electricity generation.

Energy companies are currently able to market tariffs as ‘green’ even if some of the energy they supply to customers comes from fossil fuels, as long as this is offset by purchasing enough Renewable Energy Guarantees of Origin (REGO) to cover their customer base. But some question whether the system around these certificates needs to be tighter, as well as whether suppliers need to provide clearer information to households about their green tariffs, including type of renewable energy used (such as wind or solar), where the renewable power was generated and when.

The Government is also publishing a separate call for evidence on third-party intermediaries in the retail energy market, such as price comparison sites, auto-switching services, and non-domestic brokers, with around half of households using them when engaging with the energy market. They currently operate outside of the retail market rules, and ministers will seek views on whether a general regulatory framework is needed.

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