Labour has promised to abolish Ofgem, and put a new regulator in place to protect consumer interest
Labour party says it will give a new regulator power to remove energy firms' licences, if it wins the next election according to BBC News.
The shadow energy secretary, Caroline Flint, has said, the Labour party would replace Ofgem with a new stronger energy regulatior body, who would have the power to cease energy suppliers’ licences.
In response, Ofgem, said it already had the power to remove licences from energy suppliers.
However, according to Labour the suppliers can breach the law deliberately and repeatedly but get rid of that by just paying fine. Therefore, Labour considers a stronger regulation to be implemented.
In reply, a Conservative party spokesman said the government has already been addressed the issue and carrying out an independent investigation to ensure a consumer friendly energy market.
News source: BBC News