Oral Answers to Questions

Allan Dorans Excerpts

Tuesday 11th January 2022 Commons Chamber

[Lee Rowley]

As I have said, I completely appreciate that this is a challenging time for tenants on the energy park. We have, as a UK Government, sought to review all of the powers that are available to the Government, including section 400 of the Insolvency Act. It is our view that it is not advisable to use that process at this stage. We have, as the hon. Gentleman knows, written to the Welsh Government giving a number of indicators about how we can mitigate the challenges and I look forward to speaking with the Welsh Government further, including in my meeting with the Minister for the Economy tomorrow.

[Allan Dorans (Ayr, Carrick and Cumnock) (SNP)]

11. What new support he plans to provide to energy transition projects in Scotland.

[The Minister for Energy, Clean Growth and Climate Change (Greg Hands)]

May I start by welcoming the hon. Gentleman back to his place?

The Government support the energy transition by harnessing the industry’s existing potential to exploit new and emerging green technologies. As regards Scotland, we have a £20 million pot for tidal stream. The Acorn project has been allocated £40 million in carbon capture, usage and storage development funding so far, and in the hon. Gentleman’s own area, the Ayrshire growth deal has secured investment of £251 million, including up to £18 million for a centre for research and a low-carbon energy and circular economy.

[Allan Dorans]

I thank the Minister for his response and his kind wishes. The UK Government have decided not to rethink and reverse their decision not to fund the carbon capture, utilisation and storage facility at St Fergus, and the Chancellor has failed to match the Scottish Government’s £500 million investment in a just transition fund for the north-east and Moray. By deploying CCUS, hydrogen and direct air capture technology in Scotland, the Scottish cluster would support an average of 15,100 jobs between 2022 and 2050. Do major Scottish projects only have priority in the months ahead of an independence referendum?

[Greg Hands]

The hon. Gentleman will not be surprised to hear that I disagree with him on the independence referendum, but we engage regularly with the Scottish cluster and Acorn, and I met Storegga before Christmas. I have also met with my hon. Friend the Member for Banff and Buchan (David Duguid), the MP for St Fergus, and have been to his constituency recently. Just to be absolutely clear, the Scottish cluster is the reserve cluster, which means that it met the eligibility criteria and performed to a good standard in the evaluation criteria. We also recently published our track 2 update for CCUS, which highlights our increased ambition of capturing and storing 20 to 30 megatonnes per annum by 2030. I think there is a great future there for the Scottish cluster.