Julian Morgan, managing director of the price comparison, switching and advice service said the announcement was welcome as switching supplier remained the most effective way for consumers to keep their energy bills down.
The pledge follows the release of an interim report by the Competition and Markets Authority (CMA) last month, which found that one-third of consumers had never considered switching supplier even though those who shopped around paid less for their energy.
“Reducing the time it takes to switch to 24 hours from the current average of weeks is an ambitious target that we welcome,” Mr Morgan said.
“There’s no doubt that switching times are a factor in deterring consumers from changing suppliers.
“Many domestic and business energy users feel – wrongly – that changing supplier is a time-intensive and pointless process, and switching times contribute to this perception.
“Reducing the time it takes to switch would no doubt help to persuade consumers that changing energy supplier is as quick and simple as changing their mobile phone provider.
“For too long, energy suppliers have done their best to make switching complicated because it’s in their financial interest for consumers not to move. “
Ministers have confirmed their goal to ensure that by 2018 it takes no longer than 24 hours to switch supplier – a process that currently takes more than a fortnight. They will also consider the Competition and Markets Authority’s proposal for a “safeguard tariff” putting a ceiling on charges to protect people who do not or cannot switch.
Junior Energy Minister Lord Bourne said: “The CMA has rightly identified that one of the biggest concerns is people not shopping around to get the best tariff.”
But Mr Morgan said switching times were not the only reason consumers failed to change supplier regularly,
“Trust remains a major problem, as many consumers believe that suppliers simply don’t have their best interests at heart,” Mr Morgan said.
“Bills are also still too complex, which makes it difficult for consumers to compare like-for-like in the marketplace.
“We welcome any improvement in the time it takes to switch but more fundamental changes are needed so that consumers can easily identify cheaper tariffs in the first place.
“Using a trusted and reputable independent service like EAL makes it much easier than doing it alone, but consumers need encouragement to pick up the phone or go online to get in touch in the first place.”
The Energy Advice Line is one of the UK's leading price comparison and switching services for business and domestic energy customers. It is also an advocate for energy market reform and has campaigned for a better deal for energy users, including calling for a ban on cold calling and changes to regulations to make it easier for all consumers to switch suppliers.
The service is completely independent and free. Consumers can quickly and simply search the market for the best available energy deals from an extensive panel of small and large energy suppliers. The service also offers a free advice line for business energy customers.
For further information visit www.energyadviceline.org.uk