Energy White Paper

Debate between Lord Sharma and Alun Cairns

Monday 14th December 2020 Commons Chamber

[Alok Sharma]

The Minister for Business, Energy and Clean Growth and I have a regular dialogue with the sector and, of course, I am fully aware of the importance of oil and gas as an employer in Scotland and, indeed, across the whole of the UK. I can tell the hon. Gentleman that, in November, we received a formal proposal from industry for a deal, and we will now move into negotiations with the sector. On timing, we aim to complete the negotiations and publish that in Q1 next year.

[Alun Cairns (Vale of Glamorgan) (Con) [V]]

I congratulate my right hon. Friend and his ministerial team on today’s significant statement. I warmly welcome the commitment shown towards nuclear energy and the open mind that he shows towards the financing model. Does he recognise the challenges that the regulated asset base will give to assessing the risk at the early stage of a traditional build of nuclear power stations? Will he also show the same enthusiasm for small modular reactors that provide an exciting opportunity to parts of the UK that are looking for significant investment and the job-creating opportunities that small modular and advanced modular reactors can bring?

[Alok Sharma]

I very much support the idea that we should be advancing on SMRs and AMRs, and my right hon. Friend knows that there is a £385 million advanced nuclear fund to support the development of SMRs. He will also know that we will be supporting a consortium led by Rolls-Royce on that. He is right that that offers not only an opportunity for us to create jobs, but export opportunities for our country in the future.