MORE competition in gas and electricity may result in higher prices, the National Consumer Council fears.
Lady Wilcox, the council's chairman, yesterday called on the Government to protect consumers' interests in the energy markets and examine in full the possible effects of more competition.
Addressing a London conference, Lady Wilcox said the council was not against more competition per se, but she added: "We are saying that the case so far is not proven. Any radical changes to the structure of energy supply must be accompanied by full analyses of the costs and the benefits such changes will bring - especially their effect on domestic customers."
Privatisation had created a "black hole" at the heart of energy policy. "Unless the Government takes the lead, consumers' interests will be sucked into this Bermuda Triangle at the heart of policy- making on energy," she said.
Her remarks come as the Government prepares to respond to the Monopolies and Mergers Commission's report on British Gas. It recommends that the company divests its gas trading arm but that full competition in domestic gas supply is delayed for almost …