(8 years, 1 month ago)
Commons ChamberMy Department has been working closely with the Department for Business, Innovation and Skills to look at how we can help Port Talbot with its energy costs. We have already made announcements about how we are going to reduce the impact of carbon policies on the steelworks in Port Talbot, and we will continue to look at further ways of helping, including considering how energy-intensive industries across the board can reduce their electricity costs by changing the way in which they generate power.
Does my hon. Friend agree that British steel can be used in energy infrastructure projects not just in the UK but around the world? Last week on a visit to the Democratic Republic of the Congo with the International Development Committee, we saw the way in which Britain is leading in helping to provide energy infrastructure in that country.
My hon. Friend is exactly right. A good example of my own efforts to improve the use of UK steel has been to urge the Offshore Wind Industry Council to do more to promote UK content. The UK is one of the biggest deployers of offshore wind to date and we can certainly hope that, once we start building our export markets, British steel will form a part of those exports.
5. What steps she is taking to ensure the effectiveness of the capacity mechanism for new gas-fired power stations.
New gas is already coming forward. Since 2010, six new combined cycle gas turbines have been commissioned, representing over 8 GW of capacity, but we will need more new gas as we close our coal-fired power stations as part of our decarbonisation objective. We have announced changes to the capacity market to buy more capacity, and to buy it earlier, thereby ensuring security of supply during the transition, as well as promoting investment in new plant such as gas.
Given that Rugeley power station, which is coal fired and based in the constituency of my hon. Friend the Member for Cannock Chase (Amanda Milling), is scheduled to close, may I suggest that Rugeley would be an ideal site for a new gas power station?
I pay tribute to my hon. Friend the Member for Cannock Chase (Amanda Milling) for her excellent work in representing those affected by the closure of Rugeley. The decision on how to use the site is obviously a commercial issue for ENGIE, but I encourage the company to discuss its plans with the Planning Inspectorate, which can clarify the process for building a new gas plant, and particularly how long it might take to do so.