EU Referendum: Energy and Environment

Andrew Murrison Excerpts

Tuesday 12th July 2016 Commons Chamber

[Barry Gardiner]

My hon. Friend, who takes a consistent and committed interest in these matters, is absolutely correct, and the precise intention of this motion is to flush out those issues and ensure that the Government do precisely as he says.

In the aftermath of the leave vote, the Government’s own external adviser has stated that a future for the Hinkley C nuclear power station is now “extremely unlikely”. Vattenfall has said it is now reassessing the risk of working in the UK, which could jeopardise its plans for a £5.5 billion wind farm off the east coast of England, while Siemens has announced that it is putting a freeze on its future—not its current—clean energy investments in Hull as a result of what it called the “increased uncertainty” from the leave vote.

I must say that for all the talk from the Minister of State, Department of Energy and Climate Change, the hon. Member for South Northamptonshire (Andrea Leadsom), about the “sunlit uplands” of the post-Brexit world, there is really no use in the Secretary of State trying to pretend that she thinks the vote is anything but a disaster when she herself is on record quoting the analysis of Vivid Economics warning that the result of an exclusion from the EU’s internal energy market could cost the UK up to £500 million a year by the early 2020s. The stock response of the right hon. Lady that Labour Members should not “talk Britain down” will simply not serve, given that these quotations come from her own advisers, industry leaders and, indeed, her!

Bloomberg New Energy Finance was not scaremongering when it said of the upcoming Brexit negotiations that they were

“likely to cause project investors and banks to hesitate about committing new capital, and could cause a drop in renewable energy asset values”.

That was an authoritative, independent commentator telling the unvarnished truth.

[Dr Andrew Murrison (South West Wiltshire) (Con)]

I always follow the hon. Gentleman’s comments with a great deal of interest, but is it not about time that he and his party moved on? The British people have delivered their verdict. Does the hon. Gentleman not agree that it is not terribly helpful of people like him to continue to talk the British economy down in that way?

[Barry Gardiner]

I understand that there is a need to move on, and the hon. Gentleman is right to say that we must now look to the future, but I think that if he bears with me, he will find that that is what I am trying to do. Yes, I am critical of where we are, but the criticisms that I have adumbrated so far are not my own. They are criticisms made by the Government’s own advisers, they are criticisms made by industry itself, and, indeed, they are criticisms made by the Secretary of State. I am not talking the UK economy down; I am trying to set out the present situation with clarity, and then see whether we can move on from it.

Perhaps the Secretary of State could do the same as Bloomberg in telling the unvarnished truth, and inform the House what assessment her Department has made of the increased price of imported energy as a result of the falling pound. I will happily give way to her if she wishes to do so.

--- Later in debate ---

[Barry Gardiner]

I am sure you are correct, Mr Speaker, in referring to “his preliminary remarks”.

I am happy to explain that relationship. Unless we have clarity about the post-Brexit scenario, unless we know where we will be able to secure funds to replace all the funds that fell within the common agricultural policy to finance measures to mitigate flooding, and unless we are able to deal with land management in the way that was allowed by the European Union, we will not have clarity on these matters, and clarity is vital to adaptation.

We are living at a time of increased risk, and robust planning is required to limit harmful impacts on British communities and businesses. I say in all seriousness that, following the devastation of communities and cities around our country by recent floods, this new assessment requires a new response from the Government. Cuts in the budgets, and in the staffing capacity of the Department for Environment, Food and Rural Affairs and the Environment Agency, have left the UK increasingly vulnerable, and the Government must take responsibility for that.

The UK’s ability to face up to energy and environmental challenges—more than almost any other area of policy—was strengthened by our EU membership. Given that the Treasury’s principal response to the leave vote so far is a U-turn on the Chancellor’s core election pledge to balance the books by 2020—

[Dr Murrison]

Will the hon. Gentleman give way?

[Barry Gardiner]

I think you would like me to press on, Mr Speaker, so I will not. I have, I think, been most generous in giving way.

Given the Treasury’s response, it would be helpful to hear from the Under-Secretary, when he winds up the debate, precisely where he proposes to find the additional resources that are required for adequate flood defences to meet the new assessment. Last week, the Secretary of State for Environment, Food and Rural Affairs told the House:

“It is absolutely clear that it is business as usual while we remain members of the EU.”—[Official Report, 7 July 2016; Vol. 62, c. 1030.]

Perhaps she will understand that what concerns many of us is that, as soon as we are no longer members of the EU, many of the protections the UK natural environment currently enjoys will fall away. The clean air directive has been strenuously opposed in Europe by this Government, who tried to water it down for years; indeed our own Supreme Court has now found them to be in breach. I pay tribute to ClientEarth and its work in holding Government to account for the 52,500 excess deaths every year as a result of polluted air in the UK, and I pay particular tribute to Sadiq Khan as Mayor of London who used the 60th anniversary of the Clean Air Act 1956 to unveil a new clean air programme.

The Government must remember that they have a job to do, and that includes taking concrete action to meet the legal air quality standards as ordered by the UK’s Supreme Court. The Government need to explain to the House if they will incorporate the provisions of the clean air directive into UK law and then begin to comply with its provisions in a way that they have, tragically, failed to do for the past six years.

The birds and habitat directives may well already be fully transposed into UK law, but we need to know if our beaches will still be protected from sewage by the bathing water directive or whether swimming through sewage will once again become a feature of a day at the seaside. We need to know which elements of the waste and electronic equipment directive were not transposed into UK law under the 2013 regulations and what the impact of leaving the EU might be for our recycling industries and our commitment to the circular economy.

[Dr Murrison]

Will the hon. Gentleman give way?

[Barry Gardiner]

No, I will not.

The fact is that fish and birds and insects do not carry passports; pollution is oblivious to the strictures of national airspace or inshore waters. If we wish to manage all of these, whether as pests, problems or resources, then it is better to do so in concert with our regional neighbours. The vote to leave the EU has made that harder. The Government must outline how they propose to overcome that problem.

The Environment Secretary told the House last week that the subject of continued subsidies to farmers up to 2020

“is not a decision I can make at this stage.”—[Official Report, 7 July 2016; Vol. 612, c. 1028.]

Surely it is a decision that should have been made long before anyone asked farmers to vote to leave the EU. Much of the subsidy that farmers receive is for environmental stewardship schemes and other land management practices that benefit biodiversity and wildlife. To turn round to farmers now and say that the £3.5 billion total of subsidy that used to flow each year from the EU into their pockets is no longer secure is not just an attack on farmers’ livelihoods; it is an attack on all the work that farmers do to enhance our environment and protect our landscapes.

These are not abstract challenges. Managing the risks born of the uncertainty from the referendum outcome is a responsibility for Government. Ministers must urgently identify any legislative gaps in environmental protection that may arise from the removal of EU law, and develop plans to replace any protections so that the UK does not become a riskier, unhealthier or more polluted place to live in or do business in.

--- Later in debate ---

[Amber Rudd]

What I can say is that this Government’s commitment to a clean environment and our climate change commitments remains unchanged. I will address in my remarks climate change and energy issues, and I will allow the Under-Secretary of State for Environment, Food and Rural Affairs, my hon. Friend the Member for Penrith and The Border (Rory Stewart), to address the environmental ones in his remarks, no doubt dealing with the exact points that have been raised.

[Dr Murrison]

Does my right hon. Friend agree that it is a pity that Opposition Members seem to be suggesting that the EU has dragged the UK from darkness into enlightenment? Does she also agree that Britain has traditionally led the way in environmental legislation? I would cite particularly the Clean Air Act 1956, which the hon. Member for Brent North (Barry Gardiner) cited without a hint of irony.

[Amber Rudd]

I thank my hon. Friend and, as he rightly said earlier, we must move on. There are benefits to what we have already proposed and there have been benefits from the EU directives as well. They have raised standards in some areas, and I believe we will now maintain them and not allow them to slip at all.