North Sea Gas

Debate between Lord Callanan and Lord Bridges of Headley

Wednesday 7th September 2022 Lords Chamber

[Lord Callanan (Con)]

The noble Lord has made a number of points that deserve an answer. First, it was a commercial decision for Centrica to close the Rough storage facility. Secondly, the reason that the UK has traditionally had lower levels of underground storage than the likes of Italy or Germany is precisely because 45% of our own capacity is from our own domestic resources, which is essentially a huge gas storage facility. We also have 20% of all the LNG unloading facilities in Europe, and in fact the UK has been taking the opportunity during the summer to help the EU, including Germany and other countries, to refill their storage capacities using our LNG import facilities, because they did not have enough of them. So it is a complicated picture, but energy security is a great priority for us, and we are well placed for it.

[Lord Bridges of Headley (Con)]

My Lords, I want to pick up on the final point that my noble friend just made and on the point that the noble Lord made in his question on the role of the interconnectors. I am sure that my noble friend will have read the Economic Affairs Committee report on energy which was published at the end of July. One of our main conclusions on the short-term issues was:

“There is no agreement in place between the UK and its European partners to manage energy supply emergencies. The Government should urgently seek an agreement with its … partners on energy cooperation.”


This concern has been echoed by many in the industry during the summer. Can my noble friend please tell us whether such an agreement is now in place and whether, as was pointed out earlier, the British Government will be sending a Minister to the emergency energy summit on Friday in Prague?

[Lord Callanan (Con)]

As I intimated in my previous answer, we are co-operating closely with the European Union, and as I said, throughout the summer, in the quiet months, the UK’s LNG terminals—we have 20% of the entire European capacity—have been working overtime precisely to help our European friends to refill their storage capacity in time for the winter months. Therefore, security is a top priority for us, and of course we work very closely with other suppliers such as Norway, with LNG suppliers, and with our European friends.

Net Zero Strategy: High Court Ruling

Debate between Lord Callanan and Lord Bridges of Headley

Thursday 21st July 2022 Lords Chamber

[Lord Callanan (Con)]

My noble friend is absolutely right; I am sure he noticed the granting of planning permission to the Sizewell C reactor yesterday. We are supporting Rolls-Royce to the tune of over £100 million to support the production of designs for small modular reactors, and we think that they will have a significant contribution to make—albeit not for a number of years yet. Of course, the latest developments in fusion, which we are also supporting, are particularly exciting. If my noble friend wants to contribute to the debates on the Energy Bill, we are setting in place a regulatory framework for fusion.

[Lord Bridges of Headley (Con)]

My Lords, can I use this as an opportunity to plug a great new report out today, Investing in Energy: Price, Security, and the Transition to Net Zero, by the Economic Affairs Committee, which I happen to chair? It is very timely because, on the back of this Question, it concludes—as my noble friend Lord Howell said—that while there has been considerable progress by this Government, for which they should be given credit, there are

“gaps between the Government’s ambitions and practical policy”

which are “significant”. I hope my noble friend will take this report with him to his deckchair to read.

I have one specific point regarding where we are right now as we approach what will probably be another very difficult winter in terms of energy and energy prices. One of the committee’s core recommendations was that the Government should publish an energy demand reduction strategy particularly focused on home insulation. Would my noble friend take that recommendation back and peruse it so that the next Government can act on it swiftly when they come in September?

Employment Rights

Debate between Lord Callanan and Lord Bridges of Headley

Tuesday 19th July 2022 Lords Chamber

[Lord Callanan (Con)]

The noble Baroness makes some valid points. We are very proud of our record on workers’ rights. It is about getting the balance right between a flexible economy and allowing employers to manage their workforces. That is what results in the record levels of employment we now have.

[Lord Bridges of Headley (Con)]

My Lords, if the Minister is proud of our record of employment rights, would he agree with me that IR35 has created unfairness in the workplace by taxing 500,000 freelancers and contractors as employees for tax purposes while denying them employment rights? Is it not now time to fundamentally rethink IR35 and, as the Conservative manifesto promised, implement what was contained in the Taylor review?

[Lord Callanan (Con)]

I have some sympathy with the points that my noble friend has made, but, if he will forgive me, I will leave this for the Chancellor to sort out.

Energy: Prices and Supply

Debate between Lord Callanan and Lord Bridges of Headley

Thursday 14th July 2022 Lords Chamber

[Lord Callanan (Con)]

The noble Baroness is partly correct. Of course, we need to invest in the technologies of the future, which is why we are developing our green finance policies and a green taxonomy to help direct investment in those technologies. However, we will also need oil and gas as transition fuels, so it makes sense to continue to exploit our own resources.

[Lord Bridges of Headley (Con)]

My Lords, picking up on the noble Baroness’s original Question, it was reported in the Financial Times about 10 days ago that under the UK’s emergency gas plan, if our gas supplies fall short the United Kingdom will cut the supply of gas to Europe via the so-called interconnectors. Can my noble friend tell us whether that is the case?

[Lord Callanan (Con)]

My noble friend will understand that I am not going to get into discussing emergency situations. Anything as drastic as that is extremely unlikely. All parts of Europe benefit from interconnected supplies of electricity and gas. It helps to secure both our energy supplies and resilience for our future, and that of other European countries.

Lithium Ion Batteries: Fire Safety Standards

Debate between Lord Callanan and Lord Bridges of Headley

Thursday 3rd March 2022 Lords Chamber

[Lord Callanan (Con)]

I do not share the noble Baroness’s enthusiasm for banning e-scooters. The Department for Transport is considering options for how best to regulate them and to crack down on their illegal use, which we are all concerned about. New measures being considered will be designed to create a much clearer, fit-for-purpose and fully enforceable regime for regulators.

[Lord Bridges of Headley (Con)]

My Lords, as we make the transition to net zero, we are going to need to rely on batteries more and more. Some 156 out of the world’s largest 211 battery factories are in China, which owns and controls enormous swathes of the supply chain. If we are going to get security of supply in batteries, what steps are the Government taking to ensure that that is going to happen?

[Lord Callanan (Con)]

The noble Lord makes an important point. The access to minerals and rare earth required to make batteries is a source of considerable interest to the Government. We are looking closely at where supplies can be obtained. He will be aware of the number of recent announcements on car batteries now being manufactured in gigafactories—or they will be—in the United Kingdom, but it is an important issue, and we need to bear it in mind.

Brexit

Debate between Lord Callanan and Lord Bridges of Headley

Monday 21st October 2019 Lords Chamber

[Lord Callanan]

It is always important that we in this House scrutinise these matters carefully, and that the House of Commons does so as well. However, I have to say to the noble Lord that I remember sitting here when Members were solemnly telling us how vital it was to rush through all the various stages of the Benn Bill. I recall thinking, “I’ll remind them of this when it comes to future legislation”.

[Lord Bridges of Headley (Con)]

My Lords, will my noble friend clarify that the withdrawal agreement Bill will take out the provisions of the Constitutional Reform and Governance Act and override them?

[Lord Callanan]

I cannot say that that would be definite but it is important that we abide by the provisions of the Constitutional Reform and Governance Act. Of course, the House passing a statute provides the appropriate coverage for doing that.

Brexit: Preparations

Debate between Lord Callanan and Lord Bridges of Headley

Tuesday 8th October 2019 Lords Chamber

[Lord Callanan]

This is an area that we shall have to look at if there is a fiscal event organised by the Chancellor later this year. The economy, however, is in great shape: we have unemployment levels that the Labour Party would have been proud of if it had been in office, the lowest unemployment for 40 years and the strongest level of growth over the past few years—even since the referendum result that Labour was always telling us would be such a disaster. Many European countries would give their hind teeth for the UK’s economic performance and unemployment levels.

[Lord Bridges of Headley (Con)]

My Lords, while I welcome the nature of this report, and, like my noble friend Lord Forsyth, its comprehensive approach to these matters, I have a question about the reference on page 142 to the powers of the Northern Ireland Civil Service. My understanding is that the Northern Ireland Civil Service does not have all the powers required in the event of no deal. Will he confirm whether that is so, what the consequences are, and when the Government intend to address the situation?

[Lord Callanan]

We have been liaising extensively with the Northern Ireland Civil Service, and indeed—the noble Lord, Lord Wigley, will be pleased to know—with the Welsh Government and the Scottish Government. If we have any announcements to make on that, we will make them in due course.

British Citizens’ Rights

Debate between Lord Callanan and Lord Bridges of Headley

Tuesday 18th June 2019 Lords Chamber

[Lord Callanan]

The noble and gallant Lord raises a good point. We have met with the representative groups; most Ministers, myself included, try to schedule meetings with citizens’ groups when we go to EU member states, and our national embassies are of course in constant contact with the representatives of those citizens.

[Lord Bridges of Headley (Con)]

My Lords, I am broadening the subject out somewhat: here we are with several months to go before we may leave the EU without a deal; it strikes me as quite extraordinary that this House is having to ask such basic questions about this topic. There is also a range of other issues about the preparedness of the Government and business for no deal to which we do not have clear and simple answers. Is it not high time the Government published a full and comprehensive analysis of this country’s preparedness for no deal, so that we can have this debate while in full possession of the facts?

[Lord Callanan]

I agree with my noble friend. We have published a whole series of technical notices—over 100—about how businesses can prepare for no deal. Government preparations are continuing and, as I have said many times at this Dispatch Box, although no deal is not something that we want or desire, we recognise that it is a possible outcome.

Brexit: No-deal Preparations

Debate between Lord Callanan and Lord Bridges of Headley

Wednesday 20th March 2019 Lords Chamber

[Lord Callanan]

If there is an extension, we would still be in the EU, but if we did not change our domestic law, which states that the European Communities Act comes to an end, and the legal snapshot would take place, we would clearly be in contravention of our legal obligations for being in the EU.

[Lord Bridges of Headley (Con)]

My Lords, given that the EU has said that it will not grant a short extension unless the deal is passed, and given that the Prime Minister has said that she is opposed to a long extension, is it therefore the case that if Parliament rejects the deal next week, the Government believe we should leave without a deal?

[Lord Callanan]

I think we will have to wait to see what happens next week. It remains our view that Parliament should pass the deal because we think it is the best deal available, but we will await the outcome of the Council this weekend before commenting further.

Brexit: Article 50 Period Extension Procedure

Debate between Lord Callanan and Lord Bridges of Headley

Monday 18th March 2019 Lords Chamber

[Lord Callanan]

We will then have the choice of either passing the meaningful vote or we will leave by the normal operation of the law that this House has voted for.

[Lord Bridges of Headley (Con)]

My Lords, what purpose will the British Government tell the European Union that a long extension would fulfil? What is the precise purpose that the Prime Minister will say she needs this period for?

[Lord Callanan]

This will be something the Prime Minister will want to address in her discussions with the European Council. The reason we are requesting this is the request by the House of Commons in the vote it had last week.

Brexit: Support for Remaining in the EU

Debate between Lord Callanan and Lord Bridges of Headley

Wednesday 16th January 2019 Lords Chamber

[Lord Callanan]

I thank the noble Lord for his comments but it is not a question of taking a softer or harder tone. I was merely quoting what the law passed by this Parliament, and the Article 50 process, says: that we will leave on 29 March. If that were to change, it would need to change by statute.

[Lord Bridges of Headley (Con)]

My Lords—

Brexit: Economic Forecast

Debate between Lord Callanan and Lord Bridges of Headley

Wednesday 28th November 2018 Lords Chamber

[Lord Callanan]

I do not think the noble Earl would be happy to be called a Tory by the noble Baroness. This policy will not make the country poorer. On every scenario, this country will continue to grow. A range of possible growth predictions is modelled in this analysis, but of course many other factors can influence economic growth, and this is likely to be a relatively small contributor to the overall economic growth. Of course, what would be truly disastrous would be a Labour Government, who would affect the economic growth of this country. We are proud of our economic record; we have delivered record low levels of unemployment for 40 years, the Government can be proud of their economic record, which will continue.

[Lord Bridges of Headley (Con)]

My Lords—

--- Later in debate ---

[Lord Callanan]

I will agree with my noble friend briefly and then perhaps we can hear from the noble Lord, Lord Bridges.

[Lord Bridges of Headley]

As we have heard, a number of my noble friends have been asking whether Article 50 might be revoked and making the case for this. Yesterday, the European Council’s top lawyer argued that Article 50 cannot be unilaterally revoked but would require the unanimous support of all EU member states. Do the British Government agree with the EU on this point?

[Lord Callanan]

I knew I would regret asking the noble Lord to come in on this one. He will be well aware that as the Minister responsible for this matter, I am unable to comment on the ongoing judicial process beyond saying that the UK will not revoke its Article 50 notice.

Brexit: Withdrawal Agreement Scrutiny

Debate between Lord Callanan and Lord Bridges of Headley

Wednesday 31st October 2018 Lords Chamber

[Lord Callanan]

Of course we will make sure that the committee of the noble Lord, Lord Boswell, is fully briefed, as we will ensure that all Members of both Houses are fully briefed. When we have a deal, the Secretary of State will appear in front of the noble Lord’s committee, we will publish all the details of the deal and the appropriate economic analysis, and sufficient time will be made for debate in both this House and the other House before the meaningful vote.

[Lord Bridges of Headley (Con)]

My Lords, given the commitment by the Government to observe the Constitutional Reform and Governance Act and the process it follows—which, I believe, says that there should be 21 sitting days for Parliament to scrutinise the withdrawal agreement, as well as, obviously, the Motion that will need to be passed—what is the final date that the Government have pencilled in as the day by which Parliament must receive the withdrawal agreement if we are to leave, with it being ratified properly, by 29 March?

[Lord Callanan]

We have not pencilled in a final date. However, we are well aware—and have made the EU negotiators well aware—of all of the procedures that will need properly to be followed. The withdrawal agreement will be an international treaty but in the withdrawal Act, passed by both Houses, we are committed to the meaningful vote. We cannot ratify that Act without the appropriate say-so of Parliament in the meaningful vote and without the appropriate legislation being passed—and that will require proper scrutiny. The usual channels listen closely and are well aware of the timescales and constraints under which we are operating.

Brexit: Article 50

Debate between Lord Callanan and Lord Bridges of Headley

Monday 29th October 2018 Lords Chamber

[Lord Callanan]

No, our negotiating position remains exactly as set out in the White Paper.

[Lord Bridges of Headley (Con)]

My Lords, back in June the Prime Minister assured us that the transition period in the withdrawal agreement would be time-limited, saying that it would give,

“everyone the certainty that this will not go on for ever”.

Last Monday, however, the Prime Minister told Parliament that we need,

“to create an option to extend the implementation period”.—[Official Report, Commons, 22/10/18; col. 47.]

Given that the Prime Minister wants to bring certainty to the situation, how does the option to extend the transition do that?

[Lord Callanan]

As the noble Lord will be aware, the extent and length of the implementation period was agreed. It was green text in the withdrawal agreement. I understand that the possibility of extending it has been raised in the discussions in Brussels but no agreement has been made and discussions on such matters are continuing.

Brexit: EU Commission

Debate between Lord Callanan and Lord Bridges of Headley

Wednesday 10th October 2018 Lords Chamber

[Lord Callanan]

No I do not agree with the noble Baroness. It is an implementation period. We expect to agree the withdrawal agreement and the future economic partnership in the next few weeks—in the autumn—and the implementation period will be about implementing that deal.

[Lord Bridges of Headley (Con)]

My Lords, on Monday the Prime Minister’s official spokesman said that the Government would seek precision in the future framework—that is, the terms of the relationship between the UK and the EU post 2020. Will my noble friend therefore confirm that the Prime Minister will sign an agreement only if it sets out precisely and clearly the exact terms of trade in goods and services that will exist between the UK and the EU post 2020?

EU Exit: Future Relationship White Paper

Debate between Lord Callanan and Lord Bridges of Headley

Thursday 12th July 2018 Lords Chamber

[Lord Callanan]

This is concerned with the border between the United Kingdom and the rest of the EU, whether at Dover/Calais or the Northern Ireland/Ireland border. That is principally what we seek to address with these proposals.

[Lord Bridges of Headley (Con)]

My Lords, I congratulate my noble friend and his colleagues on the White Paper. I entirely agree with the thrust of it, the balance of it and, at long last, that we have grasped the need for compromise and being honest about the challenges that we face. In that spirit, therefore, I urge him and his colleagues to be honest and transparent about the consequences of the compromises contained in the White Paper, specifically about the role of the ECJ. Yesterday afternoon, I received an email from one of our colleagues in the Conservative Party, Mr Brandon Lewis, who said that the plan and proposals at Chequers meant that we would control our laws. It is apparent, when you read paragraph 42 on page 93, that the CJEU—the European Court of Justice—will continue to have a role in the interpretation of the laws and regulations of this country. I urge my noble friend to be honest about that, so that we can go forward together as a country, united and clear about our direction.

[Lord Callanan]

I thank my noble friend for his comments. These judicial areas are complicated, so perhaps I should briefly set out our position for the House. Where we have a common rule book and there is a dispute between the UK and the EU, the Joint Committee, by mutual consent, or an independent arbitration panel will be able to ask the CJEU to give a binding interpretation of a common rule. If we are allowed to participate in EU agencies, the Prime Minister has already said that we will accept the remit of the ECJ in the application of the rules of those agencies, but that is far from the overreaching impact that the ECJ has at the moment.

Brexit: European Council and Commission

Debate between Lord Callanan and Lord Bridges of Headley

Tuesday 27th March 2018 Lords Chamber

[Lord Callanan]

We are pursuing many of these multilateral agreements in a whole range of areas, including trade agreements, and we are confident that we have enough time to complete those negotiations.

[Lord Bridges of Headley (Con)]

Perhaps my noble friend could clarify a point from the Statement yesterday. In the Statement, the Prime Minister said that,

“we remain committed to the agreement we reached in December in its entirety”.

A little later, she said, on the Northern Ireland border:

“I have explained that the specific European Commission proposals for that backstop were unacceptable”.—[Official Report, Commons, 26/3/18; col. 524.]


Which is it: do we accept the agreement in its entirety or do we not?

[Lord Callanan]

I thank my noble friend for his question. The Government are committed to the avoidance of a hard border, including any physical infrastructure or related checks and controls. The UK’s intention is to achieve these objectives through the overall EU-UK relationship. Should this not be possible, the UK would propose specific solutions to address the unique circumstances of the island of Ireland.

Brexit: Transition Period

Debate between Lord Callanan and Lord Bridges of Headley

Wednesday 31st January 2018 Lords Chamber

[Lord Callanan]

The two main differences, and the reason that we need to construct an implementation period are, first, the ability for us to sign and agree trade deals with third countries, and, secondly, to agree and sign a trade deal with the EU, which is legally impossible as long as we are a member.

[Lord Bridges of Headley (Con)]

My Lords, I hate to say it but my noble friend continues to refer to this period as an “implementation period”. For there to be an implementation period there needs to be a treaty to implement. Under my reading of Article 50, it is impossible for us to negotiate a treaty during the process of Article 50. We can conclude that only after March 2019. Does my noble friend agree that that is the case and that we should stop using the phrase “implementation period”? It is a transition during which we will negotiate the final treaty.

[Lord Callanan]

I thank my noble friend for his helpful question. As he well knows, Article 50 makes it clear that the withdrawal agreement needs to take account of the future relationship so that we will know the terms of our new partnership with the EU by the time of our exit. This is the basis on which we have to work.

EU Exit Negotiations

Debate between Lord Callanan and Lord Bridges of Headley

Monday 13th November 2017 Lords Chamber

[Lord Callanan]

The noble Lord makes a very good point from the benefit of his experience. These are matters that will be determined during the ongoing negotiation.

[Lord Bridges of Headley (Con)]

My Lords, I very much welcome the Statement. Will my noble friend clarify one small point on one word, “implementation”? My understanding is that we will not be able to negotiate the new relationship with the EU under Article 50. Therefore, when it comes to implementing measures via the Bill, those measures would refer solely to the transition.

[Lord Callanan]

We cannot conclude the final trade deal until we have left the EU, but we are very clear that we want to get the heads of agreement and its terms sorted before we leave.