Jan 16 - Evening Standard; London (UK)

The household energy market is not rigged, the Government's regulator said today, despite rising concerns over how power companies appear to act in concert with rip-off price increases.

The country's six main domestic energy supplies make billions of pounds in profit every year and Chancellor Alistair Darling called on Ofgem, the market regulator, to look into allegations of collusion.

Despite recent reports that energy bosses meet on a regular basis, Ofgem said today that there is no cartel.

Ofgem chief executive Alistair Buchanan said: "We have no evidence of any anti-competitive behaviour." Yesterday London electricity group EDF said it is putting up prices, adding about Pounds 100 a year to the average household bill. That mirrors a price rise by npower, with British Gas expected to make a similar move soon.

Mr Buchanan said: "Ofgem wants to reassure customers that we constantly monitor the competitive marke. We see companies gaining and losing significant market share, record switching levels and innovative deals." Ofgem said increases were due to rising global oil prices, the costs of investing in green energy and upgrading the electricity and gas mains networks, and closed markets on the continent forcing up the price of supplies from Europe..

(c) 2008 Evening Standard; London (UK). Provided by ProQuest Information and Learning. All rights Reserved.