Andrew Percy
Main Page: Andrew Percy (Conservative - Brigg and Goole)(14 years, 1 month ago)
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I thank my hon. Friend the Member for Shrewsbury and Atcham (Daniel Kawczynski) for securing this important debate and for allowing me a few minutes to voice my support for the future of coal-burning power stations. The future of such stations is clearly important to me, because my constituency is home to two very large coal-fired power stations at Eggborough and Drax; I also have Ferrybridge on the border of my constituency. Drax is one of the biggest employers in the area and is the largest, cleanest and most efficient coal-fired power station in the country. With a 4,000 MW capacity, it meets the electricity needs of around 7% of the UK, making it a very significant power station.
Coal was responsible for about 44% of electricity supply during the cold spells last winter. Its ability to respond quickly to demand makes coal-fired generation a vital contributor to security of electricity supply. High availability and reliability are among its two most notable qualities.
The UK’s current dependence on gas is potentially dangerous. Gas consumption is marred by price volatility and threats to supply from overseas, with more than 80% expected to be imported by 2015. It is clear that the elimination of a significant amount of coal-fired capacity from 2015 onwards could present a real supply security problem for the UK. As it stands, supplies of coal are four times more abundant than gas, with 200 years of supply, 40% of which comes from OECD member countries.
As my hon. Friend is no doubt aware, Drax has a huge impact on my constituency, too. It is all I see from my front window. However, does he not agree that although we are strong supporters of coal-fired power stations, there is a real potential in the Yorkshire and the Humber region, with its depleted oilfields, for us to pursue clean-coal and carbon capture technologies, which could bring more jobs to our region?
That is a fortuitous question, because I am just about to talk about CCS. I believe that the coal-fired generation sector has a crucial role to play in maintaining secure and reliable electricity supplies, but that the long-term survival of fossil fuel in the energy mix can be secured only if it is fitted with carbon capture and storage. The Yorkshire and the Humber region is ideally suited for a cluster-type approach to CCS, and a regional pipework infrastructure to transport captured CO2 from all the major industrial sites in the region to the North sea could cut the UK’s entire CO2 emissions by 10%.
Like any other sector, to remain viable and relevant, the coal-fired sector needs to be adaptable to change and the introduction of new ideas and technologies. There is a vital role to be played by the coal-fired generation sector in the transition towards a low-carbon economy, most notably through the introduction of biomass co-firing. I have seen such a shift in focus towards a low-carbon economy in action: Drax has committed itself to full conversion of one of its coal-fired generating units from coal to biomass. That is innovative but very costly, and it would not have happened if the single biggest challenge facing the coal-fired generation sector was not reducing its impact on the environment.
Biomass introduction and CCS can be effective ways of achieving a low-carbon economy—that is evidenced by moves within the sector to find greener methods of production. It is important that larger sites feel confident enough in Government support to take new steps in finding alternative methods of power production, because where large sites lead, smaller but equally important sites will follow. I conclude by saying how important a stable and predictable long-term energy policy framework is for the power sector to encourage large scale investments and to instil confidence among coal-fired generators to encourage them to make the significant investments necessary successfully to address the environmental challenge.