Oral Answers to Questions

Debate between Angus Brendan MacNeil and Amber Rudd

Thursday 11th February 2016 Commons Chamber

[Amber Rudd]

I thank my hon. Friend for that question, which gives me the opportunity to point out that diesel was in fact 1.5% of the capacity market—a very small amount. However, it is absolutely essential to make sure that we have no risk at all to security, which is why diesel was included at that stage. I cannot give him an exact timeline, but I can say we are working on it intently at the moment and will be coming forward with proposals shortly.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

Will the right hon. Lady look to make changes to the capacity market, so that battery energy storage can compete and provide an alternative to thermal generation? Will she also look at final consumption levies that are affecting battery storage, because battery storage is not, of course, final consumption? It is just storage.

[Amber Rudd]

I thank the hon. Gentleman for his question and share his enthusiasm for storage. We are at the moment working with Ofgem to address how we can best encourage it within a secure regulatory environment. I cannot at this point say whether it will be within the capacity market, but that is certainly one of the considerations we will be looking at.

Oral Answers to Questions

Debate between Angus Brendan MacNeil and Amber Rudd

Thursday 7th January 2016 Commons Chamber

[Amber Rudd]

I know that the hon. Lady will be concerned about offshore wind, as it is so close to her constituency. I hope that she will welcome the fact that DONG Energy has publicly stated that it intends to invest a further £6 billion in the UK by 2020, which is encouraging news for her constituents who are so close to its important offshore wind development. What she can take from this is the fact that, having signed up to the Paris agreement and with the UK’s commitments on this basis, we are seeing more investment, from which her constituents will benefit as well.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

If Paris had happened a year ago, would the Secretary of State still have made the same announcements that she has made in the past six months, adversely affecting onshore wind and solar energy, which has impacted badly on jobs and investor confidence?

[Amber Rudd]

I do not accept the hon. Gentleman’s interpretation of the announcements that I have made. We have set out a clear path to getting a balance between ensuring that we continue to support renewable energy and ensuring that we get the investment we need, and also that we look after people’s bills. Paris has been a great triumph; let us not knock it. Let us recognise the fact that it starts to bring other countries up to the high standards that the UK has placed on it, and that it will encourage further investment.

Climate Change Agreement

Debate between Angus Brendan MacNeil and Amber Rudd

Monday 14th December 2015 Commons Chamber

[Amber Rudd]

My hon. Friend, who is so experienced in this field, has highlighted the issue of the EU sharing of responsibilities, which we will move to next year. I do not doubt that this will be a challenging negotiation, but the UK’s experience is that we can demonstrate our leadership by showing that we have driven down emissions while growing our economy. We hope that we will be able to demonstrate that to other countries and encourage them to follow suit.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

First, I thank the Secretary of State for advance sight of her statement and congratulate her on her involvement in the Paris talks. Will she now take the chance to review and reset the last six months of policy of her Government? Solar and onshore wind—the cheapest forms of renewable generation—energy-efficiency and carbon capture and storage have all been cut. Will she look again at the diesel generation loopholes and make sure that transportation plays its full part? Those are to name but some things. I fear that this Government view investment as cost today, rather than as, more correctly, savings for the future, except of course when it comes to nuclear. Just what will change in her Department as a result of the Paris talks?

[Amber Rudd]

I am happy to say that the Paris agreement allows us to continue on the path that this Government have set in delivering a low carbon future, sticking to our Climate Change Act commitments and always ensuring that we take no risk with security of supply and that we provide value for money for consumers.

Oral Answers to Questions

Debate between Angus Brendan MacNeil and Amber Rudd

Thursday 19th November 2015 Commons Chamber

[Amber Rudd]

I always enjoy hearing from my hon. Friend, but I must say that I do not share his views. I believe that there is a settled view that is supported by science, and it is right that we take action, but I hope that this Government can demonstrate that we can do so while growing the economy. That is the evidence that we are showing people internationally, and that is why we are providing such strong leadership.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

Given the leaked letter that indicated the purchase of renewables from abroad, will the right hon. Lady make sure that the Scottish islands are in the mix and that we go there for renewable energy? The wind resource is so great that I did not get off Barra on Monday.

[Amber Rudd]

The hon. Gentleman will be aware that yesterday I made an announcement continuing our support for offshore wind, which includes a potential application from the highlands and islands project. I hope that that was welcomed by him and by other promoters of offshore wind. I look forward to having further conversations with them, because offshore wind has a strong future in this country, but one that will also drive down prices.

Climate Change

Debate between Angus Brendan MacNeil and Amber Rudd

Wednesday 10th June 2015 Commons Chamber

[The Secretary of State for Energy and Climate Change (Amber Rudd)]

It is a great pleasure to see you in the Chair, Madam Deputy Speaker. Let me start by thanking the right hon. Member for Don Valley (Caroline Flint) for giving the House an early opportunity to debate this issue. I wish her luck in her own election going forward.

Let me first set out the strength of the Government’s commitment on combating climate change. The Government are committed to taking robust, effective action to tackle climate change here at home and on the international stage. Climate change, as the right hon. Lady said, is not a party issue. It is not a Conservative, Labour, Liberal or even a Scottish National party issue. It is not exclusively left-wing or right-wing, if we can use those terms anymore. Climate change brings together all the parties in this House, and indeed countries across the globe. The G7 on Monday demonstrated just how far the major developed economies are aligned.

The pledge signed by the leaders of the main UK parties in February this year ahead of the election, which was brokered by the Green Alliance, underlines our domestic unity. We are pledged to work together to achieve a fair, legally binding global climate deal; to work together to agree domestic carbon targets; and to work together to accelerate the transition to a low-carbon economy. We are united here in this United Kingdom, because climate change represents a threat to our national prosperity, our national security and our way of life. The science of climate change is sound. While uncertainties remain, especially on scale and pace, there is a lot we do understand. The evidence continues to point in one direction: a world warming due to human activity.

As an island nation surrounded by the sea, with an open economy dependent on trade, we cannot bury our heads in the sand. We are exposed to the ramifications of a world 2° warmer or more. Margaret Thatcher, one of the first world leaders to put climate change firmly on the international stage, told the World Climate Conference 25 years ago that

“the threat to our world comes not only from tyrants and their tanks...The danger of global warming is real enough for us to make changes and sacrifices, so that we do not live at the expense of future generations.”

She was right on this, as on so much else.

Acting on climate change also represents an opportunity for us to build a stronger, more resilient, more efficient low-carbon economy that conserves resources and energy instead of wasting them; that preserves a healthy natural environment; and that puts Britain at the forefront of the green global transition that must happen if we are to protect this planet for future generations. Getting a global deal on climate change in Paris in December is one of my highest priorities this year. I want, therefore, to talk about the international picture and the prospects for agreement, but first I want to set out how we in the UK, through the actions of successive Governments and with cross-party support, have been living up to our responsibilities on climate change.

[Mr MacNeil]

In an earlier intervention, I was seeking clarity on the issue of onshore wind. What is happening to the support mechanism? It is affecting jobs, the economy and even farming businesses. Will the Secretary of State clear that up today or make a statement to the House in due course? People need to know, especially if we are to meet our 2020 targets. Are we using onshore wind, or is she going to go for more expensive renewables?

[Amber Rudd]

Onshore wind is, of course, an incredibly important area. The hon. Gentleman will be aware that our manifesto said we would remove subsidies for onshore wind, and we will act on that manifesto pledge. We also said in the manifesto that we would consult the devolved Administrations—a process, he might be aware, that I have begun—and I will continue to do that until we have arrived at a firm policy. He can rest assured, however, that I will make sure the House is the first to know on that matter.

--- Later in debate ---

[Mr MacNeil]

The right hon. Lady is kind in giving way, but I want to press her further on when the Conservative manifesto promises will kick in. There is much uncertainty in the onshore wind energy sector at the moment, and investors and developers are daily—sometimes almost hourly—beating a path to my door. They need to know.

[Amber Rudd]

I am aware of the pressing need to get a full answer on this question. I have put a lot of pressure on my Department to make sure that we establish exactly what is in the pipeline and what existing commitments are. The hon. Gentleman will have to bear with us a little longer, but I am aware that we need to give him a full answer as soon as possible.

I said I wanted to speak about the national picture. I stand here as one of a long line of Members who, over the past few decades, have helped to place Britain at the forefront of action on climate change. I want to pay particular tribute to my predecessors in the Department of Energy and Climate Change—Greg Barker and Ed Davey. The last Government achieved what they set out to do, making us the greenest Government ever. [Interruption.] I particularly want to pay tribute to former Secretary of State Ed Davey’s role in securing an ambitious EU 2030 framework deal.

The package requires all member states to make significant emissions reduction efforts, just as we are already legally committed to do under the Climate Change Act 2008. It substantially levels the playing field for UK business and industry to compete fairly across the EU, with UK leadership replicated across the world’s biggest trading bloc. That leadership is underpinned by the 2008 Act—an ambitious piece of legislation, the first of its kind in the world, supported by all parties.

In this Parliament, I know I can rely on sound advice and support from many colleagues, including my hon. Friends the Members for Beverley and Holderness (Graham Stuart), who has just spoken, for Richmond Park (Zac Goldsmith)and for Ruislip, Northwood and Pinner (Mr Hurd).

Infrastructure Bill [Lords]

Debate between Angus Brendan MacNeil and Amber Rudd

Monday 26th January 2015 Commons Chamber

[Amber Rudd]

I feel that the Government new clause deals with the specific issues that are relevant to the Infrastructure Bill. I understand—we all do—that many other measures may need to be debated, but the time for that will be after the next Government are in place, when there will be a fuller debate on proper devolution.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

The Minister said that onshore energy and fuels will be devolved, but when will offshore be devolved to the Scottish Government—Scotland’s oil?

[Amber Rudd]

I thank the hon. Gentleman for that contribution, but I must defer to other Departments on that. For now, I will deal with the specific issues on the table for the Infrastructure Bill.

Fuel Prices

Debate between Angus Brendan MacNeil and Amber Rudd

Wednesday 21st January 2015 Westminster Hall

[Amber Rudd]

It is interesting to hear the hon. Gentleman’s views and his account of the experience in his constituency. In fact, as I say, it has been six to seven weeks since the oil price fell, so I would be very surprised if he did not start to see that fall reflected in the forecourt price in his constituency. Perhaps he would keep me posted, because the Government are committed to making sure that that happens.

[Mr MacNeil]

The Minister has asserted that these price falls come through within six or seven weeks, and she may well be right. However, the difficulty—it was mentioned by the hon. Member for Inverclyde (Mr McKenzie)—is that that is not apparent or obvious to anyone, including the general public. It should not take a Government Minister to assert that; there should be transparency in the entire system, so that we can see price falls with our own eyes and do not need to go to the Government or any investigative authority for such guarantees.

[Amber Rudd]

I beg to differ. There has been quite extensive coverage in the newspapers—there certainly has been in my local newspaper—about where there are different prices for petrol, and the fact is that people are seeing a reduction in the price of petrol. The hon. Gentleman will be aware that although the price of oil has a big impact on the price of fuel, it is not, as the hon. Member for Inverclyde said, the only element in the price of petrol. Duty also plays a large part, and I will make some comments about that in due course. Nevertheless, the oil price fall is beginning to have an impact. I am delighted to take part in this debate today, but it is wrong to suggest that the public are not aware of the changes.

[Amber Rudd]

I am afraid that the evidence tends not to please everybody. If the hon. Gentleman disagreed with the evidence, I am sure he made that clear at the time. There are groups that would disagree with it; whether that is because they do not like the conclusions of the report or because they doubt the evidence is always open to debate.

Let me say a little more about the 2013 call for evidence; it is relevant to this debate, because it reassures hon. Members and members of the public that we have addressed this issue and looked into it. The OFT analysis found that in August 2012, for example, there was a difference between rural and urban prices; I know that is of particular concern to the hon. Gentleman. Her Majesty’s Treasury engaged with the European Commission to approve the Government’s application for 17 of the most rural areas on the UK mainland to receive a 5p per litre fuel duty rebate. That rebate is targeted at remote areas of the UK that face particularly high pump prices.

[Mr MacNeil]

Hear, hear.

[Amber Rudd]

The Scottish islands and the Isles of Scilly have benefited from that rebate since March 2012, and the story about the rebate appeared in the press recently; there was a reference to it yesterday.

[Mr MacNeil]

The rural fuel derogation is indeed very welcome; it has been good. However, the money set aside for it was not all spent and I wonder whether there is a possibility of increasing the amount of the derogation as time goes on. It is currently 5p per litre, but could 7p or 8p per litre be considered?

[Amber Rudd]

I understand that the hon. Gentleman is ambitious to gain a further discount for his constituents. At the moment, however, the derogation is likely to remain the same, although I am sure that members of HMT will always keep it under review.

Time is short, so I will address a couple of the other points made by the hon. Member for Inverclyde, who called this debate. There was a comment about the supermarkets. The big four supermarkets have increased their share of the road fuel sold in the UK, from 29% in 2004 to 39% in 2012. The growth of supermarkets in this sector appears to have had a positive impact for motorists. Supermarkets are able to buy wholesale road fuel more cheaply than other retailers, and the high volumes that they sell allow them to operate on lower gross margins. I am hopeful that the entry of the supermarkets into this sector on such a large scale will have a positive effect on delivering improved prices for our consumers.

Common Fisheries Policy

Debate between Angus Brendan MacNeil and Amber Rudd

Thursday 15th March 2012 Commons Chamber

[Amber Rudd]

I agree entirely. Local organisations and local communities are coming up with their own solutions, which is absolutely to be recommended. It also points the way even more to what we have been hearing this afternoon, which is that we should have regional solutions, so that although we will allow a common fisheries policy to exercise overall control, we want regional solutions, selected within Governments.

[Mr MacNeil]

I am sure that the hon. Lady is aware that there is a zero-discard fishery quite close to UK waters, off the Faroe Islands. The boats go and fish, the area is closed, and they move on. The common fisheries policy is a manifestation of the obtuseness of European policy. Europe cannot move quickly to a working solution that is already being used off the north-west of the UK. A discard is only a bureaucratic label for a fish that cannot be landed, owing to other problems created by that very mechanism. The way out is already in existence. However, I have been in this place for seven years and I have attended many of these debates, and we face the same problem all the time. We cannot move the obtuse juggernaut that is the common fisheries policy—end of story. We are stuck.

[Amber Rudd]

I am not really familiar with the context of fishing off the Faroe Islands, but I am sure that the Minister is and that he will throw some light on the issue.

I return, however, to the main issue I have with discards, which is that that they are, I believe, down to the quota system being allocated for particular fish stocks, rather than for what we actually have, which is mixed fisheries. In part, that is an indication that we have a major problem with the fishing industry. I am entirely sympathetic—I know that many other Members here are too, as are those on our Committee—when it comes to the difficult pass that the Minister has been given. He has to find a difficult balance between the different interests in the fishing industry.