(1 day, 6 hours ago)
Commons ChamberRead Hansard Text Read Debate Ministerial Extracts
Lillian Jones (Kilmarnock and Loudoun) (Lab)
Nick Smith (Blaenau Gwent and Rhymney) (Lab)
Graeme Downie (Dunfermline and Dollar) (Lab)
Jacob Collier (Burton and Uttoxeter) (Lab)
Josh Simons (Makerfield) (Lab)
The Secretary of State for Energy Security and Net Zero (Ed Miliband)
In the Budget, the Government decided to transfer the mineworkers’ pension scheme investment reserve to members of the scheme. At the end of last month, the first increase in payments was made to over 100,000 ex-miners and their families. That has meant an extra 32% rise in people’s pensions each month—an average of £29 per week. The overturning of that historic injustice demonstrates the difference made by a Labour Government.
Lillian Jones
I thank the Secretary of State for that reply and for his attentive engagement on the issue. I understand that British coal staff superannuation scheme trustees wrote to the Department last month with reform proposals. I urge the Secretary of State to meet them as soon as possible to rectify the long-standing injustice, especially given the increasing age and declining health of the beneficiaries.
Ed Miliband
I should say that the praise all goes to the Minister for Industry, my hon. Friend the Member for Croydon West (Sarah Jones), for the progress that has been made. She is in sole charge of the issue. I know that she has been engaging with the trustees of the BCSSS; indeed, I believe she met them yesterday. She knows the point my hon. Friend the Member for Kilmarnock and Loudoun (Lillian Jones) is making about that scheme.
Nick Smith
In Blaenau Gwent and Rhymney, 1,600 miners received the biggest number of increased payments from the mineworkers’ pension scheme in Wales. All of my uncles on my mum’s side were miners. Dessie Winter, who is alive and well, will benefit from the MPS changes, but my uncles Georgie and Jackie were pit supervisors who paid into the separate National Coal Board staff pension scheme. They have sadly passed, but their colleagues deserve fairness. Since 1994, the Government have received £3.1 billion from the BCSSS. Will the Secretary of State say if he will look again at the staff side’s surplus payments to benefit our pensioners?
Ed Miliband
My hon. Friend makes his point with customary eloquence. I know from personal experience that there were people who were waiting for the injustice to be remedied but unfortunately died before that happened. He refers to part of the issue raised by the Business, Energy and Industrial Strategy Committee, as it then was, about 50:50 surplus sharing. I know my hon. Friend the Minister for Industry is looking at that.
Graeme Downie
Correcting the injustice in the mineworkers’ pension scheme has made an incredible difference to the former miners in my constituency of Dunfermline and Dollar after so many years. At the weekend, I met representatives from the BCSSS in Fife, including the men and women who are particularly affected by that scheme and the women who worked in the canteens and other areas, who feel that they have been left behind by the changes to the MPS. Will the Secretary of State meet campaigners in Fife and across Scotland regarding this issue, and will he ensure that he makes progress as quickly as possible to correct the injustice that those people have suffered as well?
Ed Miliband
I know from my constituency that there is a strong feeling about the BCSSS. That is why my hon. Friend the Minister for Industry has moved at speed to meet the trustees. The schemes are not exactly the same in some of their arrangements, but my hon. Friend the Member for Dunfermline and (Graeme Downie) is right to say that there is certainly a read-across from some of the injustices in the MPS, and I know that the Minister for Industry is looking at that.
Jacob Collier
As a Collier, I welcome the Government’s announcement on the mineworkers’ pension scheme. However, as the Secretary of State has heard, the BCSSS members, including my constituent Mitch Wainwright, have raised concerns about unequal treatment, given the similarities between the schemes. What steps are the Secretary of State and the Minister taking to ensure that those former British Coal employees are treated as equitably as those in the MPS?
Ed Miliband
My hon. Friend is right about the read-across and the sense that the injustice that has been remedied in the MPS needs to be remedied in the BCSSS. There is also a real need for speed. That is why my hon. Friend the Minister for Industry is on the case, as she was so brilliantly on the MPS, delivering in less than five months the justice that the Conservative Government never delivered in 14 years.
Josh Simons
In my constituency of Makerfield, more than 500 people stand to benefit from changes introduced by this Government to the mineworkers’ pension scheme. For years, those people and their families stood by and watched as the Conservative Government stole their pensions and disrespected their work. I want us to celebrate our industrial past and those who made this nation wealthy and powered our industrial revolution. Does the Secretary of State agree that we need to do more to remember the legacy of mining as well as to drive up the living standards of those on the mineworkers’ pension scheme?
Ed Miliband
My hon. Friend is right. I think I am right in saying—my hon Friend the Minister for Industry and I have had a discussion about this—that almost every constituency—
Ed Miliband
Every constituency has members of the MPS who are benefiting from this. I hope the Conservative party welcomes a Labour Government acting on this injustice—there is not much sign of that, though. My hon. Friend the Member for Makerfield (Josh Simons) makes the point about commemorating the work of miners, which is something that I feel strongly about and that we will pursue.
James Wild (North West Norfolk) (Con)
I am sure that any of my constituents who stand to benefit from this increase will welcome it, but how many members of the mineworkers’ pension scheme will be losing out on winter fuel payments worth up to £300 due to the decisions that this Government have taken?
Ed Miliband
This is actually to do with the disastrous economic legacy that was left by the Conservative party. The truth is that, even in tough times, the Labour Government are showing with their decisions on the MPS how we can make our society more just.
Lisa Smart (Hazel Grove) (LD)
One of the questions I was most frequently asked when I was the trustee of one of the larger local authority pension schemes was what more the fund could do to tackle climate change, particularly in relation to investing in fossil fuel companies. Will the Secretary of State update the House on the conversations that he has been having with the Pensions Minister to ensure that pension funds do their bit to help get us to net zero?
Ed Miliband
That is an excellent question, Mr Speaker. I will write to the hon. Lady with a good answer.
Calum Miller (Bicester and Woodstock) (LD)
I was pleased to see the Secretary of State saying last week that those who host clean energy infrastructure should benefit from it. When landowners and developers in my constituency are cashing in on building new solar, my constituents in Bicester and Woodstock think that it is only fair that benefits are shared. Will the Secretary of State tell me whether he will follow the model of other Governments in setting a mandatory—
David Chadwick (Brecon, Radnor and Cwm Tawe) (LD)
I should declare an interest in that many of my relatives across south Wales are former miners. In the autumn Budget, the Government quite rightly made the decision to end the pension injustice for miners who were part of the mineworkers’ pension scheme, but they did not do the same for the 40,000 miners who were part of the British coal staff superannuation scheme, including 151 former miners in my own constituency. Will the Government guarantee that these men and women get the pension they deserve and explain why they will have to wait longer for justice than many of their former colleagues?
Ed Miliband
The hon. Member and I both have constituency interests in this matter, and he is right to say that. None the less, I say gently to him that no action was taken on this for a very, very long time—indeed, since privatisation. This Government took action in the Budget in less than five months. That is the difference. I have made it absolutely clear that my hon. Friend the Minister for Industry is now turning her excellent attention to the BCSSS.
Mr Speaker
I am not sure whether there are many coalmines in Strangford, but come on then—I call Jim Shannon.
Jim Shannon
May I welcome what the Government and the Minister are doing on this matter? This good scheme takes care of an injustice from some 30 years ago. There are those in Northern Ireland who worked in the mines, and their families are still concerned about this issue. Can we have a timescale for the completion of the work on the British coal staff superannuation scheme, which some of them would have qualified for?
Ed Miliband
I thank the hon. Gentleman for his question. I am glad that he, too—like everyone else in this House, according to my hon. Friend the Minister for Industry—has constituents who will be benefiting from this work. The best I can say to him on this issue, which has now been rightly raised a number of times, is that the Minister for Industry will have heard the calls made with real urgency, which I think we all recognise, and will act accordingly.
Olly Glover (Didcot and Wantage) (LD)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)
Community energy will play a pivotal role in our mission for clean power. Last week, we published the clean power action plan, which contained more information about how we will meet this world-leading mission, and the report confirmed that community energy will play an important role, particularly through Great British Energy.
Olly Glover
Renewable energy schemes on community buildings in my Oxfordshire constituency of Didcot and Wantage, supported by the Low Carbon Hub in Oxford, have mostly benefited building owners up to now. Would the Minister support more flexibility in local energy systems and allow local energy trading to get more support for renewable energy schemes in our communities, so that more local people can directly benefit?
Michael Shanks
The hon. Gentleman makes an incredibly important point about how local community groups can benefit from not just hosting the community energy, but from being able to sell locally. We have had a number of conversations on this topic already. I most recently met the community energy contact group, which does a lot of work to look at what regulations there might be, and we are happy to look at any proposals that come forward. We want to see a revolution in community energy right across the country so that more communities can benefit.
Mr Toby Perkins (Chesterfield) (Lab)
Under the previous Government, we had an energy market that worked for nobody. It was bad for consumers, and we also saw many energy companies go out of business as the Government lost any grip on the industry. Does my hon. Friend agree that with the greater stability we have under this new Labour Government, there are opportunities for community energy coming forward as part of the recovery of our whole energy infrastructure?
Michael Shanks
It will not surprise the House that I agree wholeheartedly with my hon. Friend, who, as always, makes an incredibly important point. He is right that stability is key, but so too is this Government’s commitment to invest in community energy. We have committed to upwards of 8 GW of energy from community sources over the course of this Parliament up to 2030. That commitment ensures not just that we have an energy mix where communities benefit, but that they benefit from the economic and social advantages of owning the energy they produce.
Sarah Dyke (Glastonbury and Somerton) (LD)
Community energy schemes provide a great opportunity for local communities to take ownership of clean energy production. In Glastonbury and Somerton, we have seen the benefits as Avalon Community Energy projects around Glastonbury are projected to save 1,000 tonnes of carbon per year. How will the Minister support community energy schemes and ensure that they play a fair and full role in creating clean energy?
Michael Shanks
The hon. Member has raised community energy on a number of occasions in this place, and I know she is a champion of it. She is right to highlight the examples of where community energy can make a huge difference. One of the key areas we want to drive forward is the local power plan, which will be delivered by Great British Energy. Unfortunately, her party did not in the end support the creation of Great British Energy, but I hope they will change that position and see the huge advantages of investing through Great British Energy in schemes like the one she mentioned, but also of helping to build capacity in community groups so that they are capable of driving those projects forward.
Brian Leishman (Alloa and Grangemouth) (Lab)
I declare the interest that I am a Unite the union member.
Communities all across Scotland rely on the Grangemouth refinery for their energy. As closure looms, Unite has given the Government a plan that will save jobs, help hit sustainable aviation fuel targets and build new green industries for the future. It is not too late to save those jobs and achieve the just transition that my community desperately needs. Will the Secretary of State agree that the plan has great potential and agree to meet Unite to see what the Government can do to achieve a truly just transition for the refinery workers and keep Scotland’s only refinery working?
Michael Shanks
As my hon. Friend knows, we have met Unite on a number of occasions over the past few months since Petroineos made the disappointing decision to follow through on its closure plans for the Grangemouth refinery. It is important that we look at every possible option, and we have done.
It is also important that the Government are clear that we want to see a long-term sustainable future for the refinery site. That is why we invested in Project Willow, which at the moment is coming up with credible investable propositions for the site. We want to protect the workers and do whatever we can to ensure a just transition at Grangemouth and for industry right across the country, but those options need to be long-term and sustainable so that we do not drive workers back into this process again a few years down the line. We are committed to ensuring that we invest in long-term sustainable propositions for the site, and of course we will meet anyone and discuss any propositions to help make that happen.
Pippa Heylings (South Cambridgeshire) (LD)
It is so good to hear the Minister affirm the need to bring the public onside, as well as private sector investment, to achieve the transformation towards green power and net zero. The Liberal Democrats support Great British Energy if community energy is at the centre of the Great British Energy Bill. Our colleagues in the Lords are debating amendments relating to direct participation in and benefit from community energy. Will the Minister agree to those proposals if they come to this House?
Michael Shanks
In the spirit of Christmas, I thank the hon. Lady for all the engagement and discussions we have had—[Interruption.] The Conservative Front Benchers groan, but I have joy for their party at Christmas as well. We are absolutely committed to community energy, which was in our manifesto. At every stage of the Bill, we have committed to community energy being right at the heart of what Great British Energy will do. If their lordships make any amendments in their consideration of the Bill, we will of course consider those amendments when the Bill comes back to this place. However, I say gently to the hon. Lady that her party did not support Great British Energy, so it cannot now claim credit for the things that Great British Energy will deliver.
Robbie Moore (Keighley and Ilkley) (Con)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)
We have made clear, through the clean power action plan that we announced last week, that where communities host clean energy infrastructure, we will ensure that they benefit from it. There are many options in that area, including community funds and direct support for households, and we are exploring all those options to ensure that communities can benefit from the clean power mission.
Robbie Moore
There is a proposal to build 65 wind turbines on protected peatland in the neighbouring Calderdale council area, which I am staunchly against. To make matters worse, if the development is approved, my constituents will not benefit from any community benefit scheme, despite being on the periphery of the proposed location. How will the Secretary of State ensure that my constituents get their fair share of any community benefit scheme should the proposal be approved?
Michael Shanks
I cannot comment on the specific details of the case. However, I would like to know more about why the hon. Gentleman’s community might not benefit, because the aim is for all communities affected by hosting infrastructure to benefit in different ways. We are looking at the options—be they money off bills, or the community benefit funds that exist at the moment—as we work through the answers to the consultation launched by the previous Government. However, we are clear that if communities host infrastructure that is nationally important and benefits the whole country, they should benefit from doing so.
Melanie Onn (Great Grimsby and Cleethorpes) (Lab)
Community benefits come in many different forms—in my constituency, Ørsted has contributed £1 million towards Horizon Youth Zone, and RWE is supporting Projekt Renewable, which is a box park learning zone—but the most wide-reaching benefit is to people’s pockets. Schemes such as the Octopus fan club bring down people’s bills when the use of renewables is at its highest. How can other energy retailers deliver similar savings for consumers?
Michael Shanks
My hon. Friend asks an extremely important question. All communities should benefit from the transformation that we want to make to the energy system. Part of the answer is improving how we use smart systems right across the energy system, so that people have much more consumer-led flexibility in their options—we are moving forward with that. In the clean power action plan that we published last week, we committed to doing much more to give people the power to take advantage of some of the opportunities she mentions.
Joy Morrissey (Beaconsfield) (Con)
Community engagement and funding are important. With large-scale solar farms planned for agricultural land, does the Secretary of State think that there are any circumstances in which local communities might know better than him?
Michael Shanks
Communities are, and will always be, able to speak about the plans for their local area, and to contribute to consultations and planning applications—we will not change anything about that. However, it is important to say that nationally important infrastructure will need to be built somewhere if we are to have the clean power future and energy security that everybody in this country needs. I gently say to the hon. Lady that, even in the most extreme statistics, less than 1% of land in this country would be used to build for solar. Either the Conservatives are in favour of keeping us on the rollercoaster of volatile fossil fuels, or they are in favour of building clean power. Her party used to be in favour of net zero, but now it seems to be running away from it at speed.
Amanda Hack (North West Leicestershire) (Lab)
David Pinto-Duschinsky (Hendon) (Lab)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Miatta Fahnbulleh)
We are getting on with delivering our warm homes plan. We are set to upgrade up to 300,000 homes next year. We are introducing new standards in the private rented sector and the social rented sector that will lift 1 million people out of fuel poverty, and we are making it easier for people to install heat pumps by removing planning restrictions, expanding our boiler upgrade scheme so that more people can get a discount and boosting the heat pump industry.
Amanda Hack
Modelling suggests that one in four residents in North West Leicestershire is in fuel poverty. Does the Minister understand the frustration many constituents will feel that, despite being in one of the wealthiest countries in the world, fuel poverty has become so commonplace? Will she write to me with an outline of the elements in the warm homes plan that will focus on delivery for those in fuel poverty?
Miatta Fahnbulleh
I share the frustration of my hon. Friend’s constituents. The scale of fuel poverty in this country is a shameful legacy of the last Government’s 14 years of failure. It is a legacy that we are determined to turn around through our warm homes plan and our winter support package, and we will do everything we can to make sure that cold, draughty homes are a thing of the past.
David Pinto-Duschinsky
The last Government left us far too reliant on foreign dictators for our energy needs. I congratulate this Government on their focus on ending that dependence and making us energy independent. What steps is my hon. Friend taking to reduce bills for residents in my constituency and to further ensure that Britain remains genuinely energy independent?
Miatta Fahnbulleh
My hon. Friend is completely right. Too many people cannot afford their energy bills—[Interruption.] That is your legacy. That is why we are running to deliver clean energy by 2030 and rolling out our warm homes plan, so that we can upgrade millions of homes to make them warmer and cheaper to run.
Harriet Cross (Gordon and Buchan) (Con)
The Secretary of State, the Minister for Energy and the Minister for Consumers have all said in this House that the National Energy System Operator’s report shows that the Government’s 2030 target will lower energy bills. However, the report itself explicitly says that it does not do so, and the chief executive officer of the NESO told the Energy Security and Net Zero Select Committee last week that it “did not set out” to determine “what bills are for consumers.” Will the Minister explain those inconsistencies and take the opportunity to correct the record?
Miatta Fahnbulleh
I suggest that the hon. Lady actually reads the report. On page 77, the NESO sets out in black and white the system costs of a clean power system, and then what it calls
“Bill components resulting from clean power pathways”
and “Other bill changes”. The total impact in 2030 is to reduce electricity costs by £10 per megawatt-hour. Of course, as the NESO says, it is for the Government to make the policy choices to reduce energy bills—which we will—but it is absolutely clear that our clean power plan will reduce system costs.
Ellie Chowns (North Herefordshire) (Green)
Citizens Advice has found that more than a third of private tenants could not afford to heat their house to a comfortable temperature last winter, and in research published a month ago, it found that 80% of private landlords have no plans to invest in the energy efficiency of their properties in the next five years. Can the Minister explain what the Government will do to support and incentivise private landlords to drive up minimum energy efficiency standards in their properties, and when they will do it, so that tenants can stay warm all year round?
Miatta Fahnbulleh
We know that the quality of too many of our homes in the private rented sector is not high enough. That is why we are moving forward to introduce minimum energy efficiency standards, so that we can raise those standards, lifting 1 million people out of fuel poverty. We are running in order to get that done.
Pippa Heylings (South Cambridgeshire) (LD)
After the Conservative Government’s failure to tackle insulation, fuel poverty is on the rise. In my constituency, almost 20% of households with young family members—those between five and 10 years—are fuel poor, living in cold, damp houses and choosing between eating and heating. While we await the warm homes plan that will deal with upgrading current housing stock, will the Minister meet the Minister for Housing and Planning to ensure that all future homes will come forward with an energy rating that is a minimum of C or higher, but not beyond 2025 for the future homes standard?
Miatta Fahnbulleh
We are working very closely with Housing, Communities and Local Government Ministers to deal with the future homes standard. We recognise that the fact we are building homes that are not up to the standard is a problem, and we are getting on with fixing it.
Mr Alex Barros-Curtis (Cardiff West) (Lab)
Perran Moon (Camborne and Redruth) (Lab)
The Secretary of State for Energy Security and Net Zero (Ed Miliband)
Last Friday, we published our landmark clean power action plan, which sets out the route towards our world-leading 2030 clean power mission, including wholesale reform of the grid and planning to make it happen. This is the route to getting off the rollercoaster of fossil fuel markets and delivering energy security, lower bills and good jobs for the British people, as well as tackling the climate crisis.
Mr Barros-Curtis
I thank the Secretary of State for that answer. Given Wales’s tradition and history of fuelling the UK’s energy needs, can the Secretary of State tell us what his plans are to put Wales at the heart of our energy security and net zero agenda?
Ed Miliband
My hon. Friend asks a really important question. The whole clean power plan is about benefiting all four nations of the United Kingdom, including Wales, and we work closely with the Welsh Government on these issues. Before this Labour Government came to office, they were actually trailblazers on how we could have publicly owned generation, and that is one of the things that we and GB Energy are working with them on.
Perran Moon
Meur ras, ha myttin da, Mr Speaker. We have seen the terrible consequences for households of fossil fuel energy insecurity, and we cannot allow this to happen with the transition to renewables. However, to achieve our net zero goals, we will have to see a massive increase in demand for critical minerals such as tin and lithium, much of the supply and processing of which will be dominated by economically bad actors. Will the Minister meet me to discuss how the Government will be mitigating this clear and present danger?
Ed Miliband
I very much enjoyed my trip to my hon. Friend’s constituency before the general election. He is an incredibly powerful advocate for the way his area can source some of the critical minerals we need, including lithium, and he is right about this. The concentration of supply chains, including critical minerals, has taken a generation to arrive, but we must unwind it, and it is one of the many things we are working on as a Government.
Greg Smith (Mid Buckinghamshire) (Con)
Small modular reactors are less land intensive, are very efficient and would get us to clean energy very quickly if the Government were to get on and actually support some orders. As land is in scarce supply, when will the Government get on board with nuclear, instead of shackling themselves to the inefficient, land-destroying, countryside beauty-destroying and inefficient solar.
Ed Miliband
I can tell the hon. Gentleman that we support the SMR programme, and we are driving it forward through Great British Nuclear. I am afraid he is making a terrible mistake, which is that we need all of these clean technologies at our disposal—we need nuclear, we need renewables, we need carbon capture and storage—and the difference is that this Government are getting on with it. We have delivered more in five months than the last Government did in 14 years.
Llinos Medi (Ynys Môn) (PC)
Despite lifting the onshore wind ban in England, the clean power action plan shows that, by 2030, 8,600 MW of onshore wind will be needed in England and Wales, 5,000 MW of which will be mainly in Wales, with bits in England. Can the Secretary of State outline exactly how Wales will be benefiting from this huge ramp up in onshore wind, rather than the benefits being extracted out of Wales?
Ed Miliband
I have to say to the hon. Lady that I do not see it that way. The reality is that the country is totally vulnerable to the rollercoaster of the fossil fuel markets. We do not need to look into a crystal ball; we just need to look at the record: we saw the worst cost of living crisis in generations. So long as we are exposed in this way, people in Wales and across the country are vulnerable. That is why clean power is so important, and the Opposition should get on and support it.
Andrew Bowie (West Aberdeenshire and Kincardine) (Con)
In the clean power 2030 document published last week, the Government state that they are
“progressing the post-2030 generation interventions, with final decisions on Sizewell C and the Great British Nuclear-led Small Modular Reactor programme”,
but no date is specified for the final investment decision on Sizewell, no date is specified for completion of the down-selection SMR process, there is no indication of a route to market for advanced modular or other technologies, and there is no mention of Wylfa at all. So is it any wonder that the nuclear industry holds a suspicion that this Government are not serious about nuclear, that the damascene conversion to nuclear power professed by the Secretary of State is a false one and that, for the Government, it is renewables at any cost and the exclusion of everything else?
Ed Miliband
I find the hon. Gentleman quite extraordinary, and not in a good way. The last Government left not only a generalised absolute mess in the public finances, but lots of the programmes that he is talking about were not even funded. The difference with this Government and my right hon. Friend the Chancellor is that she put the money for Sizewell in the Budget. That is something the Conservatives simply do not understand. [Interruption.] You get the point.
Andrew Bowie
It was us in government who bought the Wylfa and Oldbury sites from Hitachi last year, giving much-needed certainty to the workforce and local communities on both sites. It was on 22 May that we announced that Wylfa was our preferred location for a third gigawatt-scale reactor, again giving a boost to that community and the wider industry. I have three questions. Is it still the Government’s intention to reach 24 GW of nuclear power by 2050? Does the Secretary of State acknowledge that that is impossible without another gigawatt-scale reactor? If a third gigawatt-scale reaction is planned, will it be built at Wylfa and, if not, what is the future for the Wylfa site?
Ed Miliband
The hon. Gentleman’s story about Wylfa says it all. He says his Government had this great plan for Wylfa, but they had no money behind it.
Ed Miliband
Yes, but the hon. Gentleman does not say how the power station will be funded. The truth is that this is elementary economics. If things are announced, they need to be able to be funded, and the Conservatives need to learn that lesson.
Jayne Kirkham (Truro and Falmouth) (Lab/Co-op)
Lorraine Beavers (Blackpool North and Fleetwood) (Lab)
Euan Stainbank (Falkirk) (Lab)
The Minister of State, Department for Energy Security and Net Zero (Sarah Jones)
The national wealth fund is delivering a key manifesto commitment to set up a Government-backed investor—in some ways like the sovereign wealth funds we see in other countries—that will support the UK’s industrial strategy and economic growth. It will play a central role in our clean power mission by creating jobs in rapidly growing green industries. My role sits across the Department for Business and Trade, where I work on industrial strategy, and this Department, where I work on industrial decarbonisation, so I have a unique vantage point to see the benefits of the national wealth fund and all the opportunities it will bring.
Jayne Kirkham
As the Minister knows, I am concerned about kick-starting floating offshore wind in the Celtic sea. The infrastructure and supply chain need building out quickly, but in a co-ordinated way, and the previous Government’s floating offshore wind manufacturing investment scheme was not enough to do that. Will the Minister please confirm that she is working with the wealth fund on a strategy and then speedy investment in ports such as Falmouth and the local supply chain, so that they are ready to take on the challenge of floating offshore wind?
Sarah Jones
My hon. Friend is a great champion for her area, and we have talked about the opportunities of Falmouth and the surrounding areas previously, and I am sure we will do so again. For too long, our coastal areas have lacked the jobs and opportunities they deserve, and we are determined to change that. Through the national wealth fund we will invest in our ports, and Great British Energy will look to crowd in private sector funding to emerging technologies such as floating offshore wind. We are developing our strategies and working as fast as we can.
Lorraine Beavers
I welcome the Government’s publication of the “Clean Power 2030 Action Plan” last week. It will mark a transformative shift towards clean energy that will bring good jobs and industry to the whole country. The plan proposes the use of the national wealth fund to explore nascent renewable generation projects. The Minister will know of the potential for tidal range on the west coast. What steps is the Department taking to explore that potential? Will she meet me to discuss the potential for tidal range projects in my constituency?
Sarah Jones
I would love to hear more, as I am sure would the Minister for Energy, my hon. Friend the Member for Rutherglen (Michael Shanks). We are committed to all forms of renewable energy if they are economical, which is why we ringfenced tidal in the latest contracts for difference auction, which resulted in six tidal projects being successful, securing up to 28 MW. We continue to look at what more we can do to support this more nascent technology, including the role that GB Energy can play in the future.
Euan Stainbank
The Government’s quick action when they took office to commission Project Willow is welcome, but confirmation of the decision by Petroineos to close the Grangemouth refinery next year has caused further concern and uncertainty throughout the workforce in the central belt. With the sustainable aviation fuel mandate starting in 2025 requiring 10% of jet fuel to be SAF by 2030, what consideration has the Minister given to using the role of the national wealth fund to support the rapid conversion of Grangemouth into a sustainable aviation fuel facility?
Sarah Jones
I appreciate the uncertainty faced by people in my hon. Friend’s constituency. We have Project Willow and the plan for the site’s future. A joint committee, which I co-chair, has just been set up with the Department for Transport looking at sustainable aviation fuel and other options to fund and support that, to ensure that we have that emerging industry.
Mr Gregory Campbell (East Londonderry) (DUP)
The fund’s title is the national wealth fund. Will the Minister outline what she intends to do to ensure that industries across the nation of the United Kingdom will benefit from it?
Sarah Jones
The national wealth fund makes decisions on what it funds and what it does not, but our plan is for the whole country. For too long, this country has been held back in every corner, and the national wealth fund is a really important part of the future growth of this country in Northern Ireland and everywhere else.
Tim Farron (Westmorland and Lonsdale) (LD)
Does the Minister agree that it is something of a tragedy that the UK, which is surrounded by the highest tidal range on planet Earth after Canada, uses so little of that for tidal and marine energy? She may agree that the reason is that while the lifetime cost of such schemes is as cheap as chips, the up-front costs are expensive. Could the national wealth fund ensure that we can build things—for example, in Morecambe Bay—that will generate secure renewable energy for all our lifetimes?
Sarah Jones
The hon. Gentleman puts his finger on the problem. That is what vehicles such as the national wealth fund and GB Energy are looking to resolve. We are of course open to it, and we will do what we can.
Dr Roz Savage (South Cotswolds) (LD)
Johanna Baxter (Paisley and Renfrewshire South) (Lab)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Kerry McCarthy)
We know that nature-based solutions have a key role to play in climate mitigation and keeping to 1.5°C at home and abroad. I have met the Minister for Nature, my hon. Friend the Member for Coventry East (Mary Creagh), and the Government have appointed two special representatives for climate and for nature, who will be working closely together too.
Dr Savage
The climate and nature crises are now recognised as inextricably interlinked—we cannot resolve the climate crisis without addressing the nature crisis—but that is not recognised in current legislation. Will the Minister meet me to discuss my Climate and Nature Bill and its potential to achieve the Government’s stated goal of integrating UK climate and biodiversity policy?
Kerry McCarthy
We are not convinced that the Bill is necessary as a well-developed legislative framework with legally binding targets is already in place, including, of course, the Climate Change Act 2008 and the carbon budgets. However, I appreciate the action on both climate and nature and the hon. Member’s commitment to both. I believe that our offices are already trying to find a date for us to meet.
Johanna Baxter
My constituency of Paisley and Renfrewshire South is home to the beautiful RSPB Lochwinnoch nature reserve. In addition to supporting our biodiversity, the reserve serves as a natural carbon sink. Globally, wetlands hold approximately 20% to 30% of the Earth’s soil carbon despite covering only 5% of the land surface. Will the Minister outline how the Department is integrating wetland and peatland restoration into its strategy for meeting the UK’s carbon capture and storage targets?
Kerry McCarthy
I am aware of the excellent work being carried out at Lochwinnoch. We know that protecting and restoring our peatlands is essential for tackling the climate crisis. We are committed to restoring approximately 280,000 hectares of peatland. We are also looking at innovative ways of getting funding into those nature-based solutions so that they can thrive.
Kenneth Stevenson (Airdrie and Shotts) (Lab)
Andrew Pakes (Peterborough) (Lab)
The Minister of State, Department for Energy Security and Net Zero (Sarah Jones)
Great British Energy will deliver well-paid jobs in industrial communities. It will own and invest in projects across the country, it will crowd in private investment, and it will develop those crucial supply chains that will make us more resilient as a country and deliver more jobs.
Kenneth Stevenson
I was delighted to see the Government’s commitment to reindustrialise our nation, creating thousands of jobs in the process. This is the difference that a Labour Government can make, cleaning up the mess of the Tories and putting this country back on track. My constituency of Airdrie and Shotts is at the heart of Scotland’s central belt. Once an industrial heartland, it is full of skills and potential waiting to be unlocked. Will the Minister work with me to ensure that the benefit of the significant job creation that the Government are undertaking will be felt in my constituency?
Sarah Jones
I will work with my hon. Friend on creating the jobs that we all want. It has been announced that Great British Energy will be located in Aberdeen, and there are two additional sites, one in Glasgow and one in Edinburgh. The national wealth fund has just announced a £20 million investment in XLCC, to support a world-leading factory in Hunterston producing cables. That will support 900 jobs. We have seen a £1.6 million investment by Sarens PSG to provide specialist equipment and skilled workers, and to set up a centre for excellence in Aberdeen. Those are the kinds of projects that we want across our communities, in his constituency and beyond.
Andrew Pakes
An important aspect of Great British Energy’s work will be ensuring industrial strength in all areas of the UK. Places such as Peterborough are well placed to develop high-skilled jobs and great opportunities in green hydrogen to support that transition, through the work of National Gas in Werrington and our new university campus, Anglia Ruskin University Peterborough. Does the Minister agree that the success of GB Energy will be the breadth of opportunities that it creates in places such as mine?
Sarah Jones
My hon. Friend is absolutely right. Green hydrogen is vital, not just for the decarbonisation of heavy industry but for aviation and maritime. It has the potential to create thousands of very highly skilled jobs in every region of the country. We have already confirmed support for 11 green hydrogen projects from Cumbria to Cornwall, and from Scotland to Kent. I look forward to saying more on our hydrogen journey soon.
Claire Coutinho (East Surrey) (Con)
The Labour party promised 650,000 jobs through Great British Energy, but the Secretary of State has endorsed a carbon tax of £147 in 2030—double the Department’s current forecast. It would be the highest carbon tax in the world, and devastating for British industry. Can the hon. Lady confirm how many British jobs would be lost as a result?
Sarah Jones
I do not recognise those figures at all. I would be interested to see where she got them from—perhaps from her Twitter threads, which contain things that we do not quite recognise. We inherited a mess in this country—no stability or economic growth, and stagnation. We are fixing the foundations and putting that right. We will create hundreds of thousands of jobs in the growing green sector of the future.
Charlie Dewhirst (Bridlington and The Wolds) (Con)
The Secretary of State for Energy Security and Net Zero (Ed Miliband)
We are already seeing the benefits of our energy superpower mission and investment in jobs. Since the start of November, we have seen a £1 billion investment in Hull by Siemens Gamesa, supporting 1,300 jobs in blade manufacturing. Ørsted has announced £100 million of orders for UK firms, and we have reached financial close on the UK’s first carbon capture in Teesside. That is what it means to have a Government delivering jobs and investment for the British people.
Charlie Dewhirst
There appears to be inconsistency between what Ministers are saying about the report by the National Energy System Operator and what the CEO of NESO told the Energy Security and Net Zero Committee last week. Can the Secretary of State answer this clearly: does the NESO report forecast higher or lower energy bills under his policy?
Ed Miliband
I am very glad that the hon. Gentleman has asked that question, as the shadow Secretary of State has asked me about that. [Interruption.] I will answer the question. Page 77 of the NESO report says very clearly what happens to overall costs in the system: electricity costs are reduced by £10 per MWh. As NESO says, it is for Government to make policy choices that determine the precise impact on bills, but the report is clear that the system will be cheaper. It is completely logical to say that that will lead to a reduction in bills.
Michelle Welsh (Sherwood Forest) (Lab)
The Minister of State, Department for Energy Security and Net Zero (Sarah Jones)
I would be very happy to meet my hon. Friend and members of the scheme. I met the trustees of the scheme yesterday, and I have committed to talking to the Treasury about their proposals.
Claire Coutinho (East Surrey) (Con)
Labour’s policy on the North sea will cost the country £12 billion in tax receipts, which would be enough to cover the winter fuel payment for many, many years. Pensioners will be in the cold this winter, and this is a policy that no other major economy is pursuing. How can the Government possibly justify it?
Ed Miliband
These are more fantasy numbers from the right hon. Lady. The truth is that the North sea has lost a third of its employment in the past decade. The only future for the North sea is in what this Government are doing: investing in carbon capture and storage, in offshore wind and in hydrogen. That is the future.
Claire Coutinho
That is not my figure; it is a figure from industry—£12 billion in lost North sea tax receipts, in addition to £8 billion for an energy company that will not generate energy, and at least £200 billion for a 2030 target that we now know will not cut bills. Is it not true that pensioners will be sitting in the cold this winter to pick up the bill for this Secretary of State?
Ed Miliband
No. The case is that the Conservatives left us dependent on fossil fuels, which led to the worst cost of living crisis in living memory. The tragedy is that they are doubling down on their failed policy. The only answer for lower bills is clean, home-grown energy that we control.
Kevin Bonavia (Stevenage) (Lab)
Ed Miliband
My hon. Friend is absolutely right. Great British Energy—headquartered in Aberdeen—is already up and running. Our plans for Great British Energy will be rolled out in the new year. Those plans include working with local communities for solar on schools and hospitals, so that we can start cutting bills for public services and local communities.
Mr Gagan Mohindra (South West Hertfordshire) (Con)
Ed Miliband
The truth is that there is only one way to get bills down sustainably in this country, which is to drive towards clean energy. The Conservatives used to believe that, too; then, in September 2023, the former Prime Minister took them on an anti-net zero crusade, and it is only getting worse.
Sam Rushworth (Bishop Auckland) (Lab)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Miatta Fahnbulleh)
We are rolling out our warm homes plan, which we want every household to benefit from, and we will ensure that we have the right solution for the right homes. I will work with my hon. Friend and with Members from across the House on solutions that every household can benefit from, to ensure that we have warmer homes that are cheaper to run.
Dr Ben Spencer (Runnymede and Weybridge) (Con)
Ed Miliband
I will not answer the hon. Gentleman directly, but I will say that I am working with my colleagues across Government on this crucial issue. We will do everything we can to drive down Russia’s benefits from its oil and gas industry, because that is a crucial part of the war effort to help Ukraine.
Matt Turmaine (Watford) (Lab)
Ed Miliband
My hon. Friend is right about this. We must not have short memories here, because the truth is that the cost of living crisis that we saw after Russia’s invasion of Ukraine not only hit families and businesses across Britain, but continues to hit them today. That is why the drive for clean power is so important. Every solar panel we put up, every wind turbine we erect, and every piece of grid we build makes us more secure as a country.
Seamus Logan (Aberdeenshire North and Moray East) (SNP)
Ed Miliband
We will look at the scheme in the spending review. I believe that it is important not just to Scotland but to the whole UK, but I want to level with the hon. Gentleman and, indeed, the House: it requires significant financial resources. We found the resources for track 1 of carbon capture, usage and storage and we want to find the resources for track 2, but that, as I have said, will be part of the spending review.
Perran Moon (Camborne and Redruth) (Lab)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)
My hon. Friend is right to suggest that offshore wind, especially floating offshore wind, will play a critical role in our pathway to clean power. We will consider any option to ensure that we get many “test and demonstrate” projects through to delivery, and we will say more in coming weeks about what the next round of contracts for difference will look like.
Monica Harding (Esher and Walton) (LD)
More than 24,000 homes in my constituency have an energy performance certificate banding of D or worse, which means 50,000 tonnes of avoidable carbon dioxide emissions and higher energy bills for my constituents. However, the rate of insulation upgrades is too slow for us to meet the Government’s goal of universal band C ratings by 2035. Will the Minister commit herself with more urgency to an emergency home insulation programme with targeted support for those on low incomes?
Miatta Fahnbulleh
We recognise that not enough was done to upgrade homes over the last 15 years, which is why we are absolutely running at this. We will upgrade up to 300,000 homes this year, and we are putting in place our plan to drive up standards in the private rented sector, and to ensure that as many households as possible benefit from homes that are warmer and much, much cheaper to run.
Amanda Hack (North West Leicestershire) (Lab)
Michael Shanks
My hon. Friend makes an important point about rolling out charging infrastructure to all parts of the country, and we are working on that with colleagues in the Department for Transport. Local distribution networks in rural areas are incredibly important, and introducing greater access to the grid—including through Ofgem’s approval of £22 billion to improve distribution networks—will enable us to roll out EV infrastructure in rural areas throughout the country.
Richard Fuller (North Bedfordshire) (Con)
This weekend, 50 households in Cleat Hill were able to return home, nine weeks after the gas explosion there. That was thanks to the efforts of the local council and the local emergency services but not, I am afraid, to the actions of the Government. There has been a deafening silence on whether they will help the council with funding, and whether they will fund a scaling and scoping of the gas reservoir. I am extremely grateful to the Minister for meeting me, but will she chivvy her other Ministers along, so that we can get a reply?
Miatta Fahnbulleh
I thank the hon. Member for that meeting. We are working across Government to ensure that we can provide the support that the community requires after that tragic incident.
Tom Hayes (Bournemouth East) (Lab)
I recently visited the zero-emission boiler manufacturer Tepeo in Wokingham. Its owners were thrilled by the Government’s decision that heat batteries can qualify for the warm homes social housing fund wave 3, but expressed concern about whether they could scale up without the same subsidy support and VAT relief as heat pumps. Will the Minister meet me, and representatives of Thermal Storage UK, to discuss how we can support heat batteries, so that households can become more resilient?
Miatta Fahnbulleh
My hon. Friend is a great champion of our clean power mission, and I would be very happy to meet him and representatives of the sector.
Max Wilkinson (Cheltenham) (LD)
Seventy-five per cent of voters think that all new homes should come with solar panels on the roof as standard. Do the Government agree?
Ed Miliband
I am very sympathetic towards this issue, and we are in discussions with our colleagues across Government. Watch this space.
Andrew Cooper (Mid Cheshire) (Lab)
Cheshire is leading the way in CCUS, whether it is in hydrogen production, where it is providing the means of transition as a new industry is established, or in hard-to-abate sectors such as glass or cement production, where CCUS is a vital decarbonisation component. Our strategy is creating jobs, growing our skills base and unlocking a low-carbon future. Does the Minister agree that it will not be possible to get to net zero without CCUS?
Steve Barclay (North East Cambridgeshire) (Con)
The Grimsby to Walpole National Grid scheme will see pylons almost twice the height of the existing ones being placed across the flat landscape of the fens. Why does the Secretary of State think that the cost of chasing his unrealistic 2030 target should be disproportionately borne by rural communities?
Ed Miliband
I have great respect for the right hon. Gentleman. The truth is that we need to build the grid, regardless of whether the target is 2030 or 2035. This Government are being honest and open with people in saying that the grid needs to be built. If we do not build the grid, we will remain massively vulnerable as a country.
Bill Esterson (Sefton Central) (Lab)
Last year, the UK imported 43% of our energy. Does the Secretary of State agree that, as well as protecting bill payers from the volatility of international fossil fuel markets and giving us energy independence, we have the potential for economic benefits from exporting electricity and hydrogen through the clean power plan?
Ed Miliband
My hon. Friend is absolutely right about that. It is about energy independence for Britain, and about becoming a clean energy superpower that can export energy and benefit as a country. The opportunities are huge, which is why we are getting on with it.
Stephen Flynn (Aberdeen South) (SNP)
I think the Secretary of State is now arguing that energy bills will fall by £300 by 2030. A simple question: how much will they rise by before then?
Ed Miliband
I am disappointed in the right hon. Gentleman, but perhaps I should not be surprised. The truth is that there is only one future for Britain that reduces bills for good: a clean power mission. We can carry on being vulnerable, and we can carry on with fossil fuels, but we will be in the grip of petrostates and dictators. This Government are not willing to leave us exposed.
Ian Lavery (Blyth and Ashington) (Lab)
The Lynemouth biomass power station in my constituency has some very ambitious and exciting projects involving carbon capture and storage, but it is waiting for some major decisions by the Department. Will the Minister agree to meet me so that we can tackle these pressing outstanding issues?
Sarah Jones
I would be absolutely delighted to meet my hon. Friend; we can talk about data centres at the same time. Carbon capture is an incredibly important part of our future. We know that we have to have it in order to decarbonise some of our very hard-to-decarbonise industries, and I would be delighted to talk about the possible jobs that it could bring as well.
Claire Young (Thornbury and Yate) (LD)
Local further education colleges are actively pursuing the formation of a skills partnership to meet the opportunity and challenge of potential small modular reactor development in Oldbury in my constituency. Does the Minister welcome their proactive approach, and will she join me in meeting them to better understand the support that the further education sector needs to deliver this vital work?
Sarah Jones
I would be delighted to meet the hon. Member and talk about her plans.
Gareth Snell (Stoke-on-Trent Central) (Lab/Co-op)
What assurances can the Minister give me that energy-intensive industries in Stoke-on-Trent, such as ceramics, will benefit from the investment coming from this Government and will not get left behind in our transition to net zero?
Sarah Jones
My hon. Friend makes a very good point. We were talking about this issue in the Tea Room only this morning, and I will meet the ceramics sector and him first thing in the new year to talk about some of the challenges it faces. We are absolutely committed to supporting the sector.
Carla Denyer (Bristol Central) (Green)
Thirteen oil and gas fields have been licensed for new drilling of dangerous fossil fuels but are still awaiting final approval. The Government paused those decisions while doing a consultation, but the consultation will not change the science: if we are to meet our climate targets, those fossil fuels must stay in the ground. Will the Secretary of State do the right thing by the poorest in our country, who are always at the sharpest end of climate action, and ensure that those licences will not be granted?
Ed Miliband
This is a Government with a world-leading position when it comes to oil and gas, and we will do the right thing for the environment and climate change and the right thing to ensure that there is a just transition in the North sea.
Grahame Morris (Easington) (Lab)
On behalf of my constituents, I want to thank the Secretary of State, the Minister of State, the Parliamentary Private Secretaries and the whole team for the excellent work that has been carried out to deliver justice on the mineworkers’ pensions. Can I urge them to act with alacrity in relation to the British Coal staff superannuation scheme, and may I invite the Minister to look at some of the energy pilots that are making use of mine water from abandoned mine workings?
Ed Miliband
I pay tribute to my hon. Friend, who has been a brilliant campaigner on this issue for a very long time. My hon. Friend the Minister of State will have heard what he said. This is the difference: this is a Labour Government delivering justice for mineworkers across our country and their families, which is all part of delivering our mission for the country.