Aviation Safety (Amendment) Regulations 2024

Lord Trefgarne Excerpts

Wednesday 20th November 2024 Lords Chamber

[The Minister of State, Department for Transport (Lord Hendy of Richmond Hill) (Lab)]

My Lords, I beg to move the Motion standing in my name on the Order Paper.

[Lord Trefgarne (Con)]

I apologise if I did not make myself clear, but I am hoping to have a chance to talk about these regulations on another occasion. Is that possible?

[Lord Hendy of Richmond Hill (Lab)]

My Lords, this lengthy and comprehensive statutory instrument was debated on Monday in Grand Committee and approved. This afternoon is the appropriate opportunity to move this Motion.

Transport Infrastructure: North of England

Lord Trefgarne Excerpts

Tuesday 12th November 2024 Lords Chamber

[Lord Hendy of Richmond Hill (Lab)]

When the Government were elected, they were faced with an unachievable list of infrastructure promises from the previous Government. Various schemes have not been able to be taken forward simply because there is not the money to achieve them—of which the A1 is one.

The east coast main line has had a considerable amount of investment. The struggle recently, because of the fragmentation of the railway, has been to achieve a railway timetable to take advantage of the £4 billion that has been spent on it. I hope that we have got there, but of course that is one of the reasons for rail reform: we should not be investing £4 billion in a railway only to find that we cannot construct a timetable to take advantage of the investment.

[Lord Trefgarne (Con)]

My Lords, is not the runway at Sheffield Airport rather short and suitable for only the smallest aeroplanes?

[Lord Hendy of Richmond Hill (Lab)]

I am afraid I do not have information about the length of the runway. I am sure that the proposition to reopen the airport takes into account its existing configuration, and I am sure that the public bodies concerned with it are confident that the airport, whatever length of runway it has, can support the local economy with the appropriate air services.

Renewable Transport Fuel Obligations (Sustainable Aviation Fuel) Order 2024

Lord Trefgarne Excerpts

Tuesday 5th November 2024 Grand Committee

[Baroness Randerson (LD)]

My Lords, I thank the Minister for his explanation. There is no doubt about the need for action in relation to aviation. UK aviation fuel use more than doubled between 1990 and 2020, despite efficiency improvements in aeroplane design. By 2050, aviation will be one of our largest emitters. The technological advances are not looking optimistic in relation to battery and hydrogen-powered aircraft. Such flights are a long way off becoming long-distance or even medium-distance in terms of practicality. Combine this with the fact that the lifespan of an aircraft is 30-plus years and this is a huge challenge for us. SAF is far from a perfect answer, but it is all we have and it is welcome to see this draft SI here.

I have obediently read this complex and lengthy document and I have some fairly basic questions for the Minister. First, the consultation took place in 2022, I think. Why has it taken so long to get from the consultation process to this SI? I am aware, when I ask that question, that it is deeply unfair, because this was the previous Government’s problem, but I notice that, at the top of the front page, it says that this draft SI replaces one produced on 20 May this year. Is it substantially different in terms of its impact, or is the difference simply that a couple of mistakes have been ironed out? The length of time it has taken is disappointing, because the previous Government announced “jet zero” with a great fanfare several years ago, and therefore the slowdown is a problem.

Secondly, have the new Government changed the plans for the operation of the new system? They might have changed the SI, but have they changed their plans to any practical extent? Thirdly, the aviation industry has been pressing us for government action to stimulate production of SAF for many months or even years. It has been telling us that, if the Government did not take action rapidly, SAF production would take off, if I can use that term, in our competitor countries, we would fall behind and we would not therefore be a leader in SAF production. I am referring here to the manufacture rather than the use of SAF.

Although this SI seems to encourage the use of SAF, it does not seem to directly provide a mechanism to encourage and support the manufacture of SAF, along the lines of the mechanism that we have been pressed by the aviation industry to adopt. Can the Minister explain whether anything in the Budget will help encourage the production of SAF? I noted that money was available for the aerospace industry and was unsure whether that would cover this sort of thing.

Finally, there is good SAF and not so good SAF, which is referred to in this Explanatory Memorandum. Can the Minister explain how industry checks, and government process checks, will ensure that the SAF manufactured and used in the UK is up to the highest environmental standards?

[Lord Trefgarne (Con)]

I apologise to your Lordships for not being in my place when we resumed following the Division.

I have a simple question for the Minister. Can he say whether all this applies to general aviation, in particular aviation involving smaller aircraft which very often run on aviation gasoline and not the fuel that forms part of this agreement? This is important because the price of fuel is a critical part of operators’ costing, they need to know where and when they can get it and that it will be available when required. In essence, the question is, does this apply to general aviation and to smaller aircraft running on gasoline, as well as to larger ones running on turbine fuel?

[Lord Moylan (Con)]

My Lords, I am grateful to the Minister for arranging a briefing with officials so that I could better understand this complex proposal. The briefing was indeed helpful and I learned a great deal.

I find this a troubling statutory instrument not because I have any objection to the use of SAF by aircraft—indeed, I welcome that—but because of the chosen mechanism. We are still meant to be a free-market country and the normal means of market operation in this country is that, where there is a demand for something, a supply is forthcoming.

We are told that, despite the fact that SAF is estimated to cost between three times and seven times as much as standard kerosene-based fuel, there is a genuine and strong demand for it from airlines, not because they enjoy paying more for their fuel necessarily but because from their own reputational point of view they wish to do as much as they can to decarbonise the operation of their fleets. SAF is the principal technique available to them for doing that at the moment, as the noble Baroness, Lady Randerson, pointed out, so the demand undoubtedly exists. Why is the supply therefore not forthcoming? Why is it that they would have to go somewhere else to buy SAF—which is the implication of their position—when the demand exists here and we are home to major suppliers? Nobody seems to have explained this.

We have decided, despite the fact that we allegedly operate a market economy, that the Government are going to intervene so as to mandate the supply of this fuel. The means of mandating it is through this instrument —through the mandate—and that will not only oblige it to be produced but oblige it to be sold in certain quantities that will increase every year.

That addresses only the standard available type of SAF—the HEFA-type SAF that the Minister referred to. There are other, more exotic means of producing SAF not yet available, some of them perhaps even undreamt of. They will be subject to a separate mandate so that, to fulfil the mandate, it will be obligatory to produce some SAF by these alternative methods. That graph continues to grow over a period, as illustrated in the table on page 7 of the statutory instrument. What I would really like to know is: why can this not be done by the market?

Road Investment Strategy

Lord Trefgarne Excerpts

Wednesday 11th September 2024 Lords Chamber

[Lord Hendy of Richmond Hill (Lab)]

I can confirm that, following the Chancellor’s Statement and a review of the Treasury’s spending audit, which identified more than £2.9 billion-worth of unfunded transport spend this year, the scheme for the A303 at Stonehenge will no longer go ahead.

[Lord Trefgarne (Con)]

My Lords, can the noble Lord say what progress has been made with constructing the new junction for the A3 and the M25, when he expects it to be complete and what he expects it to cost?

[Lord Hendy of Richmond Hill (Lab)]

I do not have the precise answer to that question, so I will be delighted to write to the noble Lord to clarify the questions he asked.