The policies, including support for renewable energy, will add 27% to the price of electricity.
However, he said that energy efficiency measures, such as home insulation, would cut bills by more than that. So the overall effect would be a £94 reduction in bills, a drop of 7%.
The figures ignore any increase in the underlying price of gas and electricity, which will add significantly more to the cost of heat and power.
The government is introducing a Green Deal next year, enabling households to pay for insulation out of the future savings they achieve from having it installed.
Energy companies will have to provide £1.3 billion a year to ensure everyone is able to benefit from the Green Deal, no matter their income or the type of house they live in.