Stronger Towns Fund

Debate between Baroness Byford and Lord Bourne of Aberystwyth

Tuesday 5th March 2019 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, the noble Lord, Lord Beecham, rightly said that the region will receive £15 million a year for the seven years, or £105 million over the length of programme. For reasons that we know, it is an area that is due to benefit more than any other.

The noble Lord asked about the role of the county council in developing proposals. It will certainly be central, as will all councils. We want civic engagement, although, as he said, county councils will not necessarily be in the dominant position; however, they will certainly be there.

How proposals are evaluated will be outlined in the prospectus. I do not want to get ahead of myself by saying that money will go on infrastructure rather than on other projects, but certainly infrastructure will be eligible. We hope that the spending will be transformative, so infrastructure is important. I do not think that we can expect to sort out the bids yet. We do not know the quality of the bids; we do not know the process of the bids. These things are yet to happen.

[Baroness Byford (Con)]

My Lords, I welcome the Statement. Although other noble Lords have pooh-poohed it, which is regrettable, this is new money coming in to help local authorities around the country.

I have two questions for my noble friend. I understand that £600 million will be invested following a competitive process later this year, but my question relates to the £322 million allocated earlier to the Midlands engine. How will that be organised and who will approve it? My question merely follows on from the previous one about the involvement of county councils. The Statement gave no indication as to how bids will be made and how they might be successful. I realise that the £600 million will come later, but there is nothing at this stage on the earlier bit.

Housing: Shared Ownership

Debate between Baroness Byford and Lord Bourne of Aberystwyth

Tuesday 6th November 2018 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, anything that increases demand for housing drives up house prices. People already aspire to own their own homes; it is not that they are adding to the total of people seeking a home—they want to own their own home. We should recognise that that is a widely held aspiration among people. Not all people—many will want to rent, and we seek to provide for that as well. However, home ownership is something that many people want.

[Baroness Byford (Con)]

My Lords, can my noble friend also bear in mind the tremendous challenges in rural areas for affordable housing, whatever scheme it might be? I point out to noble Lords that it is not just about the cost here in London and suburbia; there is a very real problem in rural areas. In particular, in some areas landowners have been quite willing to subsidise and give land, and make it available, and that scheme needs to be looked at again.

[Lord Bourne of Aberystwyth]

My Lords, my noble friend is quite right that, although there are particular problems associated with London and the south-east, we should not forget that there is a range of problems in rural areas, which differ from area to area. We have the rural exemptions, but we are focused on this, seeking to ensure that in parts of rural Britain people can afford their own home.

Electricity Capacity (Amendment) (No. 2) Regulations 2015

Debate between Baroness Byford and Lord Bourne of Aberystwyth

Tuesday 24th November 2015 Grand Committee

[Lord Grantchester (Lab)]

I thank the Minister for his introduction of the regulations. The amendment they contain is minor and uncontroversial, extending to carbon capture and storage the possibility that it could participate in the capacity market. The Government now seem to recognise the potential of CCS, as evidenced by the amendments recently agreed in the Energy Bill, now passed to the other place. They had previously not considered CCS as sufficiently relevant operationally to the capacity market, and this amendment allows that CCS projects which will in the first instance have received grant support or funding arrangements for early stage developments can now qualify for participation in the capacity markets. The essential feature is that this early stage support should not materially put the provider at an unfair advantage compared with others without that support. The greater matter is that any provider that can shift demand away from periods of greater stress without detriment should be encouraged.

I am content that this proposal was overwhelmingly supported by respondents to the consultation. Will the Minister clarify the Government’s intention a little further? While it is true that there is not as yet any deployed carbon capture and storage in this country, is it intended that CCS will eventually pre-qualify for capacity auctions in its operational phase?

It has been understood from the Government’s scoping document earlier this year that the operation of CCS plant operational support would take place through a form of modified contracts for difference rather than through capacity auctions. I would be grateful if the Minister could signal the Government’s intentions as early and comprehensively as he can to provide certainty about the direction of travel to developers. This amendment, and future intentions, could begin to allow the development of an industry that could be very valuable for the long-term use of fossil fuels. The noble Lord, Lord Teverson, has congratulated the Government on their plans to phase out coal generation, and we certainly support this direction of travel.

[Lord Bourne of Aberystwyth]

My Lords, I thank the noble Lords, Lord Teverson and Lord Grantchester, for their kind words regarding the speech given by my right honourable friend the Secretary of State, Amber Rudd, last week in relation to the withdrawal of coal-fired power stations, with the aim of doing that by 2025. It was most kind and gracious of them to say what they did.

I turn first to the questions raised by the noble Lord, Lord Teverson. Yes, we are looking at interconnectors, I think to Norway and Ireland, in addition to the existing interconnectors as part of the capacity issues that we are addressing, and we are looking at the possibility of them elsewhere, including Iceland. That is a large part of what we are doing.

The Statement on coal was of course subject to a consultation, as the noble Lord will know, which opens in spring next year, I think, subject again to ensuring that we have the necessary capacity in relation to gas-fired stations coming on stream. Still, a clear market signal was given in the speech. Demand reduction is a significant part of what we are doing, and of course there will be a demand response auction as well in the new year.

With regard to the system margin causing concern, there is a trigger for this. At the moment we are very confident of the 5.1% margin with regard to the announcement of the most recent one. To the noble Lord’s suggestion that a 20% margin is more than we need, I suppose the answer must be yes—that must follow. However, obviously one wants to stray on the side of safety so we are seeking to address this. Although the margin is comfortable, we have to look ahead. The next few years look comfortable but we need to bring on the new nuclear and look at other forms, such as small modular reactors and so on. That, too, is important.

I turn to the questions raised by my noble friend Lady Byford. First, on the consultation, I think I am right in saying—the team behind me will correct me if I am wrong—that out of the 22 responses, 21 were supportive.

[Baroness Byford]

That is a majority.

[Lord Bourne of Aberystwyth]

It is a huge majority that a lot of parliamentarians would be content with; it is roughly 95%, so it is pretty convincing. If the noble Baroness wants more information, I am happy to supply it.

The second question was a very fair one: what is a satisfactory margin? It is dependent on many factors. As I say, we are confident that 5.1% is a sufficient margin but it is on the tight side so we are trying to build in additional capacity. It is dependent on many factors, most obviously the weather, as well as political factors, such as where gas is coming from. I remember from my very first visit to the National Grid in Wokingham that someone, armed with the Radio Times, was trying to assess whether there was going to be additional demand on the system, such as England playing a football match. Notoriously, at half-time—or into penalties, as it inevitably goes—people go and put the kettle on. Work is done on looking at factors like that. So there are lots of additional factors, but 5.1% seems to be a sufficient margin although, as I say, on the tight side.

I turn to the questions from the noble Lord, Lord Grantchester. Regarding the ongoing position with CFDs, my right honourable friend the Secretary of State announced in her speech that there would be contracts for difference in 2016, and we will set out nearer the time what the technologies are; I suspect that some will not be there, such as onshore wind, but that is just a view. We will set out closer to the time the precise way that that will work. I very much welcome his kind words.

Energy Bill [HL]

Debate between Baroness Byford and Lord Bourne of Aberystwyth

Monday 19th October 2015 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, government Amendment 20 places controls on the disclosure of information. Clause 7 of the Bill as introduced provides the Secretary of State with the power to require information from the OGA for certain purposes which are listed in subsection (1). The Secretary of State may disclose such information onwards for these same purposes or if required to under legislation, or with the consent of the OGA and, where applicable, that of the original information holder.

This amendment applies restrictions on the ability of any subsequent holders of this information to further disclose such information. It will ensure that they may do so only if required under or by an Act of Parliament or with the consent of the OGA and, where applicable, of the original provider of the information. This will ensure that potentially commercially valuable information provided to the OGA cannot be disclosed by subsequent holders of information except in certain narrowly prescribed circumstances. I beg to move.

[Baroness Byford (Con)]

My Lords, I will contribute to this short debate by thanking the Minister for reconsidering this aspect of the Bill, which certainly caused me, and one or two other noble Lords, slight concerns as to what material was protected and how it should be protected. I welcome the amendment he has moved tonight. It is extremely important that the balance is right between the value of sharing information and the value of keeping protected, in a proper manner, information that really should be protected. I will not delay the House any longer but thank the Minister for having given thought to our discussions in Committee. I am happy to support this amendment.

Energy Bill [HL]

Debate between Baroness Byford and Lord Bourne of Aberystwyth

Monday 14th September 2015 Lords Chamber

[Baroness Byford]

I fully understood what the noble and learned Lord said and I took it on board, because clearly one wants to avoid that if we can. Nobody wants to end up there—not only because of the litigation but because of the delays it incurs, which other noble Lords have spoken to.

At the moment, I have slightly mixed feelings on this. In principle, I am quite supportive of what the Government are trying to do. In considering whether the approach should be different, in that a Scottish Minister should be able to decide, we should note that three out of four of these onshore wind farms are based in Scotland, so three-quarters of that money would be coming from England to support what Scottish Ministers might or might not decide to do. That is another debate we could have, but I hope the Minister can tell us more about the grace periods and when we are to receive more information.

I suspect that, like me, other noble Lords—and the Minister and his department—have found it difficult dealing with the Bill after the Recess in what is not the formal, long period for debate. We deserve greater clarification and, if the Minister cannot give it to us tonight, I hope it will be provided quickly in another of his wonderful letters that have kept us up to date with government thinking.

[Lord Bourne of Aberystwyth]

My Lords, I thank the noble Baroness, Lady Worthington, for moving the amendment. I hope to explain a bit about the Government’s thinking on this area and then to address the points reasonably raised by noble Lords.

Clause 60 introduces a provision to close the renewables obligation to new onshore wind farms in Great Britain from 1 April 2016—a year earlier than originally planned. There are two key reasons why I believe that that is the right approach. First and foremost, I and the department are committed to delivering the Government’s ambition to end any new subsidies for onshore wind while continuing to combat climate change. I appreciate that that is not something that all political parties or all noble Lords want, but I return to the point that there has been an election. I accept that things were said under the previous Government, but they were a different Government. It may be that the transition is more difficult because they were a coalition Government, but it should not have taken noble Lords entirely by surprise that this Government sought to make a change in this area. Secondly, the Government are committed to keeping domestic energy bills as low as possible.

With that context in mind, let me turn to the amendments. Their purpose is to clarify the terms of the grace period applying to the closure of the renewables obligation to onshore wind, specifically allowing those projects which had applied for planning permission as at 18 June—the date of the policy announcement—to continue to be able to accredit until the original renewables obligation closure date of 31 March 2017. In addition, the amendments would provide further detail about how the grace period would operate in certain planning scenarios and propose extra time for projects that have encountered difficulties in securing financing.

When my right honourable friend the Secretary of State announced the early closure of the renewables obligation to onshore wind, she also proposed a grace period to protect investor confidence, as I think noble Lords are aware. The proposal was to offer a grace period to those projects which, as of 18 June 2015, already have relevant planning consents, a grid connection offer and acceptance of that offer—or confirmation that no grid connection is required—and access to land rights.

At the time of her announcement, the Secretary of State also said that she wanted to hear the views of industry and other stakeholders before framing the terms of the legislation. As such, my department has been conducting an engagement exercise to understand whether our proposed grace period draws the line in the right place. This means balancing the interests of onshore wind developers with those of the wider public. That is what we are considering at the moment. We are still reviewing the feedback and evidence provided by stakeholders in order to inform our final policy position.

I am not in a position today to frame the final terms of the grace period, and it is not right that I should trail a running commentary on where we are, as I have been invited to do by noble Lords who, as I can understand, want to hear more. I must wait until the final terms of the grace period are fully thought through, following the conclusion of the department’s analysis.

I appreciate the understandable wish that all this had happened earlier. The noble Baroness, Lady Worthington, the noble and learned Lord, Lord Wallace, the noble Lord, Lord Cameron, my noble friend Lady Byford and the noble Lord, Lord Foulkes, all expressed frustration at the fact that we do not know what the grace period proposals will be. I understand why I am being pressed on this, and I will ensure that the House has reasonable notice of the Government amendments.

I agree that 48 hours is insufficient and hope and believe that we can do better than that. If I may, I will provide a commentary on where we are on this by the usual letters if there is any difficulty with bringing the amendments forward in a timely way. I quite understand that the House wants to know exactly what the Government are doing or seek to do in this area. I confirm that we will endeavour to give appropriate, reasonable notice of the amendments ahead of the day and recommittal in the Moses Room.

Energy Bill [HL]

Debate between Baroness Byford and Lord Bourne of Aberystwyth

Monday 7th September 2015 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, my noble friend makes a valid point about the decommissioning costs and costs in general, which are very much at the forefront of the Government’s thinking. He will be aware that the Oil and Gas Authority is essentially being paid for by the industry. Other than initial seed- corn support of a small amount from the Government and the Government conceivably stepping in in an emergency situation, it is self-financing. But there are aspects that we will come to later in the legislation that talk about the public purse, this being one consideration that has to be borne in mind in relation to relevant activities. I need no persuading that costs are central to what we are looking at here.

[Baroness Byford (Con)]

My Lords, the Minister has said that he is unhappy about having a review within a year, which is too soon. I can understand that, but can we press the Minister to come back with a suggestion of two years? Having followed other Bills through, I fear that this period will get extended. I hope that serious thought can be given, between now and Report, to putting forward a time before the final stages of the Bill are considered.

[Lord Bourne of Aberystwyth]

I thank my noble friend. I do not want to give a figure on the hoof; I am sure noble Lords would appreciate that that would be dangerous. We can look at this clearly between now and Report. If we are going to have a review we will have to say when it should take place. I would not anticipate coming back without a definitive idea of that.

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[Lord Bourne of Aberystwyth]

I thank the noble Baroness for that intervention. I am happy to do that, as I have indicated, but I do not want to give the impression—I do not want to commit us to this—that we are undermining the focus of the Oil and Gas Authority, which is to maximise the economic return from the North Sea.

[Baroness Byford]

My Lords, I beg leave to withdraw the amendment.

Energy Bill [HL]

Debate between Baroness Byford and Lord Bourne of Aberystwyth

Monday 7th September 2015 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, I will now speak to the government Amendments 16 to 19, which relate to the funding of the Oil and Gas Authority, including the provision of payments and financial assistance to the authority. The Oil and Gas Authority will be formally established so that it is an effective, robust and independent regulator of petroleum recovery. As part of this, it will deliver on a strategy to maximise the economic recovery of petroleum from the United Kingdom territorial sea and the United Kingdom continental shelf. The new body will be funded by industry. This is consistent with the user pays principle because industry will be benefiting from the work and expertise of the regulator.

The Oil and Gas Authority is providing a range of services to industry. These services include the issuing of licences as well as issuing relevant consents and permits, for example, to begin petroleum production. It is correct and in compliance with the Treasury’s Managing Public Money remit that the costs of these services should be recovered via direct fees rather than via the general levy. This will ensure that only those who require and benefit from the service will bear its costs.

Amendment 16 inserts a new clause into the Bill which will ensure that the costs of the relevant services provided by the Oil and Gas Authority may be recovered via a direct fee. Details of the fee mechanism and the method of calculating the full cost of the service will be set out in regulations. Amendments 17 and 18 insert new clauses allowing the Secretary of State to make regulations providing for a levy on industry to meet the costs of the authority; that is, the indirect costs of administration and so on. These new clauses are in similar terms to the levy provisions set out in Section 42 of and Schedule 7 to the Infrastructure Act 2015, but they reflect the fact that the functions will be carried out by the Oil and Gas Authority as a government company rather than as an executive agency, where in law the functions are with the Secretary of State. We thought it would be more helpful to those using the legislation to find the levy provisions in this Bill, and I hope that noble Lords are reassured by that. The noble Lord, Lord Oxburgh, who is not now in his place, and the noble Baroness, Lady Liddell, both referred to the need to simplify access to some of the provisions in this area, so I hope that the fact that they will all be contained in this Bill rather than in the Infrastructure Act 2015 is helpful.

To allow the regulator to recruit and retain the best candidates, particularly those with specialist experience, we need to ensure that the regulator has financial flexibility and sufficient funding. Amendment 17 enables the Secretary of State to provide by regulation for a levy on the holders of specified licences. The levy will fund the costs of the regulator, but it must not exceed the costs incurred in carrying out the relevant functions. The amendment also allows the levy to be imposed to cover the costs of the Oil and Gas Authority exercising its functions, including those relating to the new powers we are conferring on it, such as dispute resolution, data acquisition and enforcement. Amendment 18 sets out illustrations of the way in which the levy power may be exercised. This is in similar terms to Schedule 7 to the Infrastructure Act 2015. Regulations will set out the detail, including the amount payable by different categories of licence holders. Just by way of explanation, it is intended that those licence holders who are actually exploiting the area will be paying more than those who have not yet taken up the opportunity.

Some consequential amendments to the schedule are necessary, such as Amendment 42, which amends the schedule to the Bill to remove the levy provisions from the Infrastructure Act 2015 as set out in Section 42 of and Schedule 7 to that Act. These amendments are covered separately with Amendment 1, which seeks to amend Clause 2, which introduces the schedule. In fact the amendment has already been dealt with, so I fear that my notes are out of date.

I turn now to Amendment 19, which provides a general power for the Secretary of State to make payments and provide financial assistance to the Oil and Gas Authority. The power is not restricted to the specific functions of the authority, and therefore payments may be made at the discretion of the Secretary of State to fund any of its functions. As well as covering statutory functions, it will cover those which are contracted out to the Oil and Gas Authority. The authority will be funded through a levy on the holders of certain energy industry licences and by fees which will be paid for the carrying out of particular services. The Secretary of State may also need to provide funds to the authority to cover any unforeseeable events. The amendment will allow the Secretary of State to provide financial assistance to the Oil and Gas Authority in the form of grants, loans, guarantees and indemnities. I beg to move.

[Baroness Byford (Con)]

My Lords, first, obviously the details will be set out in the regulations. Does my noble friend have any idea when those regulations may be available, or if they are available already? That would be helpful to us in our discussions as we go through the Bill. Secondly, I particularly welcome the flexibility that has been given to the Secretary of State to make payments which might unexpectedly be needed. Having that sort of provision makes good sense.

[Baroness Byford]

Perhaps I could express myself slightly more fully before the Minister responds. I looked at government Amendment 19 in terms of a national emergency—something out of the ordinary—and I was not quite sure, if it did not come in within the new clause, whether there was another way in which that sort of money can be accessed for the OGA. That was the presumed context within which I raised the issue. The noble Baroness is quite right that I am very keen to make sure that the Government live within their means. However, there are times—as we have seen in the international field when we have had major oil spills or something has gone really wrong—when emergency money has to be made available and I wondered whether that was within the context of the new clause in Amendment 19.

[Lord Bourne of Aberystwyth]

My Lords, I will try to address the points raised by the noble Baroness, Lady Worthington, and my noble friend Lady Byford. The first was about when the regulations for the charging regime will be laid. They will need to be in force when functions transfer to the Oil and Gas Authority next summer, assuming the passage of the legislation. We have an indication of how much the levy will cost industry and the distinction to be made between those that are currently exploiting oil and gas fields and those that are not. The cost of the levy for the first six months for licence holders that are not exploiting is £2,759.30p—which seems pretty precise—and for those that are exploiting, it is £30,422.92p. I am sure we would reserve the right to vary that somewhat, but it gives an indication of how much the levy will cost. I think the regulations relating to the activities that are subject to the direct costs have not yet been laid, but I will restate the point that the aim is to recover the costs: it is not make a profit, but to ensure that the costs are covered. That should provide some reassurance.

The noble Baroness, Lady Worthington, and my noble friend Lady Byford both raised points in relation to Amendment 19, on financial assistance. I think this is intended to cover two situations—if there are others, I will make sure that I deal with them in writing. First, it is intended to cover any shortfall in the levy and charge regime in the short run. I suppose this relates to cash-flow issues and is to ensure that things are kept running. That would presumably be a short-term measure and not involve a great amount of money in the scheme of the authority.

The second point relates to unforeseeable situations. The noble Baroness, Lady Worthington, asked for examples. In a sense, it is difficult to give examples because they are unforeseeable, but it could include some massive oil spillage where immediate funding is necessary or, God forbid, some terrorist incident where money is needed. That is the sort of situation. Those are two examples, but there will clearly be others, as this is about the unforeseeable. The unpredictable nature of the scenarios is clear there, but in addition there is the cash-flow element. I think it is fairly standard in these situations to have something of this nature. I hope that provides reassurance and that I have satisfied the noble Baroness.

--- Later in debate ---

[Lord Bourne of Aberystwyth]

My Lords, these amendments seek to amend Chapter 3 of Part 2 of the Bill, relating to information and samples. This is another smorgasbord of amendments and I shall attempt to do justice to the contributions that have been made.

Amendment 24 seeks to broaden the definition of “petroleum-related information” that is used throughout Chapter 3 of Part 2. The broadening of this term is to include information acquired by relevant persons in the course of carrying out activities that were once, but are no longer, relevant to fulfilment of the principal objective. I confess that we are not certain what the gap is that the amendment seeks to fill, but I am very happy to engage with the noble Lord, Lord Whitty, to see specifically whether there is a gap and whether we need to fill it. We feel that, as drafted, the clause provides the Oil and Gas Authority with the power to acquire all the information that it is likely to require to fulfil its role.

Amendment 25 seeks to ensure that the two definitions of petroleum-related information are not interdependent. It is our view, having looked at this and having had lawyers look at it, the provisions, as drafted, are not interdependent. Any information that an offshore licensee acquires or creates that is relevant to the principal objective will fall within paragraph (a) and anything a licensee acquires in the course of carrying out activities under their licence which is not relevant to the principal objective would fall within the scope of paragraph (b). This is clarified in the final part of that paragraph, which specifies that in order to fall within paragraph (b) the information cannot also fall within paragraph (a). So I do not think that they can be interdependent, but I am happy to have another look to make sure that we are right. We feel that the clause allows the Oil and Gas Authority to access any information that licensees acquire under their licences, including information which is not relevant to the fulfilment of the principal objective.

I thank those noble Lords who spoke on Amendment 26, which seeks to insert a new subsection into Clause 19 for the purpose of confirming that the provisions within Chapter 3 of Part 2 of the Bill, relating to information and samples, apply for the purpose of data sharing with carbon capture and storage operators. The noble Baroness, Lady Worthington, made some telling points on samples in general. We will look at the points she made about access to the archive and so on—however, we believe that nothing within Chapter 3 prevents the Oil and Gas Authority disclosing information and samples to carbon capture and storage operators, outside the general restrictions provided for in Clause 27. These general restrictions apply to the disclosure of all protected information acquired by the Oil and Gas Authority under its powers in Chapter 3, to any person. Similarly, carbon capture and storage operators are given no special treatment by the clauses, in so far as there is no provision allowing disclosure to them and not to others. Once restricted information is publishable it may be disclosed to any person, including any carbon capture and storage operator.

Amendment 26A relates to Clause 21, which provides a power for the Secretary of State to make regulations imposing obligations on offshore licensees to retain information and samples where there has been a termination of rights under the licensee’s licence. This information can be of significant importance to the Oil and Gas Authority and the rest of the UK continental shelf, and it is therefore important that the Oil and Gas Authority can continue to access this information and samples after a licence is terminated. Clause 21 states that regulations may provide for the requirements to retain information to continue following a termination of the licensee’s rights under the licence, but the amendment would nullify these obligations if the licensee whose licence rights had been terminated ceases to be in business.

The most frequent ground for termination of a licensee’s rights under a licence is where a licensee transfers interests in a licence to another party. In that case, the rights granted under the licence continue for the party to whom they have been transferred but are automatically terminated in respect to the transferring party. Where a licence is revoked, the obligations and liabilities in respect of that licence continue, even in cases where a licensee becomes insolvent. This is done to protect the regulator from acquiring onerous and costly liabilities which may result from that licence.

This amendment is particularly relevant to information and samples plans, as provided for by Clause 23. These plans are intended to safeguard petroleum-related information and samples during licence events, such as the revocation of a licence after a company becomes insolvent. In such a case it would be imperative for the rights and obligations requiring the retention of information and samples to continue past the termination of rights and until the information and samples plan can be put in place. The amendment would prevent this and allow those companies which cease to be in business legitimately to dispose of the petroleum-related information and samples which they hold. This would be a significant and severe loss for the Oil and Gas Authority and the UK continental shelf as a whole. That is something to which we cannot agree and I am sure that it is not the intention of the amendment. I hope, in those circumstances, that that point will be taken on board.

Amendment 27 seeks to specify that an information and samples plan, as provided for by Clause 23, may provide for the transfer of petroleum-related information or samples to a new licensee or a new carbon dioxide storage licence holder. The policy intent of the information and samples provisions is to ensure that petroleum-related information is accounted for and safeguarded against loss during licence events, such as the surrender and expiry of licence rights. That said, nothing within the existing provisions would prevent a plan providing for the transfer of information to any other person, including a carbon dioxide storage licence holder, and for that person to take on the obligations that are imposed by that plan. The amendment makes presentational but non-material changes to the Bill and I therefore undertake to take it away for further consideration.

Amendment 28 seeks to insert a new subsection into Clause 25 for the purpose of confirming that information and samples plans shall also provide for the sharing of petroleum-related information with carbon capture and storage operators. As I have explained, the information and samples provisions are intended to ensure that petroleum-related information is accounted for and safeguarded against loss during licence events. They are not specifically intended to facilitate the sharing of information between parties. However, I confirm that nothing within the existing information and samples provisions prevents petroleum-related information being shared with carbon capture and storage operators.

Amendments 29 and 30 seek to broaden the scope of the Oil and Gas Authority’s power to acquire information and samples as set out at Clause 26 by either removing the requirement for the Oil and Gas Authority’s function for which the information is requested to be relevant to the fulfilment of the principal objective, or to add an alternative requirement that the function is relevant to the promotion and development of carbon capture transport and storage. Clause 26 is in response to recommendations made in the Wood review, which noble Lords will be aware focused virtually solely on oil and gas exploration and production offshore. The clauses are therefore drafted very specifically to cater for offshore oil and gas, and the focus on the principal objective and offshore licences reflects that. This is an important focus, and any expansion of these powers beyond it may have significant repercussions for other areas of the Oil and Gas Authority’s functions. Much of the information acquired under this power, although relevant to maximising economic recovery in the United Kingdom, will also be of interest and importance to other industries, such as carbon capture and storage. Nothing within the Bill restricts access to that information by any person once it has been published under the disclosure provisions.

The noble Baroness’s Amendment 30A requires that the cases in which protected information may be disclosed by the Oil and Gas Authority, which are detailed in Clause 27(5), must apply in defined circumstances. Clause 27(5) seeks to set out a clear set of circumstances in which protected material may be disclosed under Chapter 3 of Part 2 of the Bill. I feel that we do this, but I will be happy to write to my noble friend Lady Byford to seek further to clarify this issue.

Furthermore, Clause 27(8) provides that protected material may be published or made available to the public at such times as may be specified in regulations made by the Secretary of State. I therefore consider that there is sufficient detail within the clause to ensure that the circumstances under which protected material may be disclosed are understood.

On the point made by the noble Baroness on stifling innovation, we do not believe that that will happen. The obligations continue indefinitely or until an information and samples plan is put in place. If a company ceases in business, the plan can provide for the ongoing obligations to end, and the information is then handed to the Oil and Gas Authority.

I will look closely at the proceedings in Hansard to ensure that we have looked in detail at those points. As I say, with regard to the one point where the matter seemed to be largely presentational, I will have a look at that to consider whether an amendment is advisable. However, with that, I hope that the noble Lord will be able to withdraw his amendment.

[Baroness Byford]

My Lords, before the noble Lord, Lord Whitty, comes back on his amendment, perhaps I may return to Amendment 26A. It certainly was not my intention to make things very difficult. My question was on the samples. If a company goes out of business and is not taken over or linked to another, I understand that parts of the samples that are taken are held by the British Geological Survey. However, in response to my earlier inquiry, I was told that the remainder of the sample is required to be retained by the company. I tabled this amendment because of the problem of how that will happen if the company no longer exists. The amendment was not meant to be disruptive but concerned a practical issue: if the company no longer exists, how can it continue to hold a sample? How would that work? Again, I would be very happy for the Minister to take that away to consider it. I did not know the answer to what seemed a very ordinary question.

[Lord Bourne of Aberystwyth]

I know that my noble friend was not seeking to be difficult or disruptive in any way; I know her too well to think that. I am happy to write further on the issue, but if the company goes into liquidation, basically, proceedings under the Insolvency Act would apply, and the liquidator—I believe this is the case, although this is on the hoof—would then have to act in response to any request from the Oil and Gas Authority to make the samples or the information available. However, I will write to my noble friend on that issue and will ensure that other noble Lords are copied in as well.