Oral Answers to Questions Debate
Full Debate: Read Full DebateAndrew Bowie
Main Page: Andrew Bowie (Conservative - West Aberdeenshire and Kincardine)Department Debates - View all Andrew Bowie's debates with the Department for Energy Security & Net Zero
(1 year, 8 months ago)
Commons ChamberThe Government have made very good progress: 47% of homes in England have now reached the Government’s 2035 target of achieving EPC C levels, up from 14% in 2010—a 133.7% increase. In 2010, the Government supported the installation of around 968,100 measures. In 2022, the Government supported the installation of around 204,000 energy efficiency measures in around 94,500 households. Around 1 million homes will be upgraded with improved energy efficiency between now and 2026 through our help to heat schemes.
That is a very partial account of the story, I have to say. The Minister will know that in 2010 the Government inherited a functioning scheme from the Labour Government that meant hundreds and hundreds of homes in my constituency, and possibly his, were being insulated. Come forward 10 years and what do we see: that scheme has absolutely crashed, so can the Minister tell us just how much that decade of Tory failure has cost our constituents?
A decade of Tory failure? That is complete nonsense. We have had a 133.7% increase from 2010, when, by the way, we inherited a situation where only 14% of the country had EPC C levels. We are now at 47% and from 2010 to 2022 the Government supported the installation of around 8 million energy efficiency measures.
I know Front Benchers have already expressed their commitment to local communities and local people driving our economy forwards to a sustainable transition and future. With that in mind, may I point them to my own local authority, Norwich City Council, and its Goldsmith Street award-winning council housing—safe, secure, affordable homes that it has built on a shoestring budget after millions of pounds of cuts to its budget? What conversations have Ministers had with the Chancellor to ensure other councils can drive this programme forward to ensure every street is like Goldsmith Street?
We in this party and this Government support community-led initiatives just like the one the hon. Gentleman referenced and we are consulting on how we can further support community projects. I would be delighted to discuss that particular project with him in more detail in due course.
Will my hon. Friend outline how the energy efficiency taskforce will help support energy efficiency across the UK?
The energy efficiency taskforce is committed to driving forward energy efficiency measures throughout the United Kingdom and, on that measure, I would be delighted to meet with him if he has any further ideas on how we can go even further and faster to drive forward energy efficiency measures across the country.
I join my parliamentary neighbour, the hon. Member for Norwich South (Clive Lewis), in congratulating Norwich City Council on what it has done in Goldsmith Street. Is the Minister aware of what proportion of self-commissioned homes have the highest energy rating? Is he aware that triple glazing is almost standard in self-commissioned homes? What is he doing to encourage the Department for Levelling Up, Housing and Communities to have more self-commissioned homes?
Before I go any further, I congratulate my hon. Friend on championing the self-build housing sector and that house building sector on doing what it can, moving so far and so fast, to improve energy efficiency measures across the buildings it has been producing over the past few years. Once again, as he is a subject matter expert, I would be delighted to meet him to discuss it in more detail in due course.
Reducing connection timescales is a high priority for the Government. We will publish a connections action plan in the summer, which will articulate actions by Government, Ofgem and network companies to accelerate network connections for renewable energy and other projects.
It is a disgrace that while energy prices rocket, huge delays to grid connections are holding back the supply of renewable energy to UK homes and businesses. Wind farms coming online today were approved when Gordon Brown was in power. Even now, energy companies are having to wait for 13 years, until 2036, for connections for some projects. How on earth did it get this bad? Is it not true that the Tories have taken their eye off the ball on the National Grid, and it is now costing British families and businesses dear?
I thank the hon. Lady for her question. It is interesting that she references Gordon Brown, because it was under his Administration that the decision was taken not to invest in new nuclear, which, by the way, would have solved part of the problem we find ourselves in right now. However, I think everyone in the House would acknowledge that the situation regarding grid connection times is not acceptable. That is why we have commissioned the Electricity Networks Commissioner, Nick Winser, to submit recommendations to the Government on how we accelerate delivery of network infrastructure. He will publish his report in June.
The Minister completely failed to answer the question. The CEO of Solar Energy UK has said that solar infrastructure projects are being delayed into the 2030s—15 years or more—meaning that operators will not connect them to the grid. Renewable energy is cheap and will help to bring down the current absurd energy prices. Are the Government purposely trying to keep energy prices high and at the mercy of fossil fuels, firmly leading us on the highway to climate hell?
Frankly, that question is utterly ridiculous. It is because of the Government’s investment in new renewable technology that we are powering ahead and leading the world in reaching our net zero obligations. Half our energy now comes from renewable sources. I have already acknowledged that the delays to grid connections are completely unacceptable, which is precisely why we commissioned Nick Winser to develop his report. We will be publishing his recommendations in June.
Just to bring down the temperature a little bit, the Minister referenced the Government’s consultation later this year on how the Government, with Ofgem, will drive forward investment in the grid. Is the Government’s vision for more investment in a system similar to what we have now? To what extent do they want to move towards a more decentralised system for renewable investment in the grid, so that local communities can invest their own efforts and resources in developing their own renewable energy?
I thank my hon. Friend for his question. In March, we launched consultations on community benefits for transmission network infrastructure and on supporting the consenting process to revise energy national policy statements. We are also supporting a private Member’s Bill on alternative dispute resolution for compensation disputes over land.
The Minister will know that the east of England does a lot of heavy lifting when it comes to renewables; we are investing in turbines and offshore wind. But he will also know that local communities across the entire region are horrified by National Grid’s plans to build pylons across the entire region, which will connect and increase more energy supply. They favour an offshore grid. Can I ask the Minister directly: what is he doing to work with the local community to deliver that option?
The east of England does do a lot of heavy lifting for renewables—almost as much as the north-east of Scotland—but this is not a competition. I am delighted to inform my right hon. Friend that I am visiting East Anglia next week to meet communities in the area. Indeed, I met producers and manufacturers yesterday to see what they can do to mitigate the impact on her local community and other communities in the region.
If we are prevented from building renewable power in the first place, connection times become rather a moot point. Will the Minister explain why he has failed to lift the ban on onshore wind, despite the Government saying that it would be lifted by the end of April?
This Government are committed to onshore wind as a huge part of our renewable energy mix—14 GW, in fact. We are also committed to new renewables offshore and to new nuclear, which the Labour party opposed for such a long time. It will be a whole collection of those new technologies and infrastructure projects that will help us drive our way towards our net zero ambitions and the cleanest and cheapest electricity in Europe.
That wasn’t very good, was it? The Government’s own offshore wind champion Tim Pick said last week that we will miss our 2030 offshore wind ambitions by more than 10 GW because of poor grid connections. Even with the lifting of the onshore ban—if we believe the Minister—developers will not invest given the prospect of a 13-year delay in grid connection. When will the Minister commit to a speedy programme of grid capacity building, to give onshore and offshore wind a good chance of success?
As I said, this country is leading the way in investment in new renewable technology. We acknowledge that there are difficulties connecting to the grid, and we are investing in improving that. Nick Winser’s report is coming in June, which will give recommendations to Government on how to reduce the timescale for connecting those new projects to the grid. That is the focus of this Government, not playing politics. We are taking real decisions to benefit this country, to cut our carbon emissions and to reduce energy bills across the piece.
We are supporting Scotland’s energy transition through the North sea transition deal. Additionally, 44 of the 161 projects awarded contracts for difference for renewable electricity are in Scotland. More recently, we have allocated £81.1 million of funding to 81 locations throughout Scotland—I have a list, but I will not go through them—as part of the £1 billion net zero innovation portfolio, from 2021 to 2025. Furthermore, we have committed to funding the Aberdeen energy transition zone by £27 million, and the global underwater hub aimed at diversification for the subsea sector by £6.5 million.
There was a lot to take in there. Recent positive noises around the Acorn carbon capture project near Peterhead are obviously welcome, albeit with the caveat that we have heard a lot of this before. Can the Minister confirm what funds track 2 projects will get and when Acorn funding will be confirmed, or at least when such announcements will be made? Does he agree that track 2 projects must proceed much faster than track 1, both because of the climate emergency and so that we can seize the opportunity to be world leaders in that technology?
The hon. Member is absolutely right that there was a lot to take in, because the UK Government are doing so much to support Scotland’s energy transition. On Acorn, he does not recognise that this Government have already invested £40 million of funding in the project—most notably, £31.3 million under the industrial decarbonisation challenge. I have the breakdown of the funding, if Mr Speaker will allow me: £31.3 million from the industrial decarbonisation challenge for onshore and offshore front-end engineering design studies; £9.3 million of innovation funding for CCS innovation and advancing CCS technology and hydro supply programmes; and £250,000 for the development of Storegga’s Dreamcatcher direct air capture plant. Track 2 has been announced—
I wish the Minister would slow his answers down—that was a bit of a blur. Just last week, Harbour Energy announced that it is cutting 350 highly skilled and valued jobs in Aberdeen, directly linking that to the poorly implemented energy profit levy. We warned many times that it would disproportionately affect Aberdeen and Scotland and, unfortunately, we have been proven right. Will the UK Government commit to matching the Scottish Government’s £500 million just transition fund, and protect our energy workers?
I am afraid I have to take all that with a massive pinch of salt. Now it turns out that the SNP is against a windfall tax on the oil and gas industry, when it had been campaigning for such a tax for weeks and weeks, months and months. We have introduced the energy profits levy to deal with the immediate crisis regarding energy bills, but we have built into that investment opportunities for companies to continue to innovate, create jobs and develop our offshore oil and gas fields, because we will be reliant on them as a transition fuel for many months to come. This Government are committed to jobs and opportunities in north-east Scotland, unlike the Scottish National party that would close it down tomorrow.
I am sure the Minister will be able to give me a short answer to this question. Does he agree with me that what transition in Scotland definitely does not involve is some knee-jerk shutting down of the oil and gas industry, especially given that liquid gas supplied by tankers has two and a half times the emissions of gas produced in the North sea?
Yes, I completely agree with my right hon. Friend. He is absolutely right on this issue. Indeed, shamefully, Scottish Government Minister Patrick Harvie, a member of the SNP’s partner in Government, the Green party, said that oil and gas workers in Aberdeen should simply get on their bikes and look for other jobs, instead of investing in the industry, which this Government are doing.
If we want a proper just transition and greater supply chain security, we need new manufacturing facilities for renewable energy components. Which suppliers and manufacturers has the Minister spoken to about creating new manufacturing facilities in Scotland? How many new Scottish manufacturing and renewable energy jobs do this Government intend to create?
We are absolutely committed to building a UK-based supply chain, and that includes, of course, new jobs in Scotland. I would be delighted to meet my Scottish Government counterparts and the hon. Gentleman to discuss how we can progress that further and faster. If we are going to have an even more successful renewable energy industry in this country, it is essential that we have a UK-based supply chain. That is what this Government are committed to achieving and, moving forward, I would be happy to work with anybody so that we can do that.
Obviously, I am happy to meet the Minister and work with him, but what I heard right there was that there is no plan for manufacturing jobs in Scotland, no plan to match fund the just transition fund, no answer to the job losses at Harbour Energy and no firm commitments on timescales for Acorn, and that the tidal stream funding has been halved. There is nothing happening to match the Inflation Reduction Act in the United States and the EU support packages. Is it not the case that at the moment just transition are simply warm words for this Government and that much more needs to be done?
Absolutely not. I have gone through in detail exactly what we are doing in Scotland. Indeed, his colleague, the hon. Member for Cumbernauld, Kilsyth and Kirkintilloch East (Stuart C. McDonald) suggested that there was far too much in my initial answer to demonstrate what we are doing to support transition in Scotland. We will continue to do that, while championing jobs and opportunities across the whole United Kingdom, including in Scotland. That means investing in new technologies and renewables, and supporting our oil and gas industry as it transitions. All of that is possible because Scotland remains in the United Kingdom, which would not be the case if the hon. Gentleman had his way.
I have already met the Minister for Energy Security and Net Zero to discuss the National Fire Chiefs Council’s concerns about the use of lithium-ion storage facilities to get renewable energy to the grid. Will the Government review existing fire and environment regulations to ensure they reflect these deep concerns and risks, and help to ensure that renewable energy can get to the grid smoothly and in a timely manner?
Grid-scale lithium-ion battery energy storage systems are covered by a robust regulatory framework, which requires manufacturers to ensure that products are safe before they are placed on the market, that they are installed correctly and that any safety issues found after products are on the market are dealt with. I am meeting my right hon. Friend this week to discuss this in more detail and I look forward to that very much.
I am very glad to hear about the successful funding bids in my hon. Friend’s constituency. These schemes will improve homes up and down the country, improving their energy efficiency and lowering energy bills. I am delighted to accept the invitation to visit the Darlington economic campus, although I can confirm that I have already visited it and was incredibly impressed by the calibre of the individuals working there to drive forward our ambition—
Minister, that is the last time you do that to me. Seriously, you are taking advantage of this Chamber too much. You were enjoying yourself earlier, which was fine, but I am not consistently having you dictate to the Chair. Do we understand each other?