Electricity and Gas Transmission (Compensation) Bill

Bill Wiggin Excerpts

Friday 25th November 2022 Commons Chamber

[Sir Bill Wiggin (North Herefordshire) (Con)]

My right hon. Friend the Member for North Somerset (Dr Fox) has proposed a mechanism to ensure fairer treatment for those whose rights or land are subject to acquisition. I declare my entry in the Register of Members’ Financial Interests: I have a wayleave on my little farm, and I receive money for that. It is not a great deal, but it is important to announce that, so that no one hears what I will say without knowing that.

My right hon. Friend’s Bill relates to projects that concern electricity and gas transmission. In the south of my constituency is the National Grid high-pressure gas pipeline, which runs underneath, or near to, Upton Bishop, where I live. Such projects are of vital national importance, and I would not wish them to be hampered by long, drawn-out negotiations between stakeholders. The time that the High Speed 2 rail link has taken to progress and its expense demonstrate the need for speed and efficiency when proceeding with publicly beneficial projects, but those who face vast inconvenience and an emotional impact as a result need to be treated as fairly as possible, and with the utmost consideration.

I was horrified to read in an article in Farmers Weekly that months, and even years, can pass without landowners seeing a penny of compensation when their land and access rights are subject to acquisition. It stated that, in some cases, people have been left waiting for up to 10 years for payment once a compulsory purchase order has been served.

Without a mechanism that is separate from the negotiations surrounding a purchase of land, landowners are forced to take disputes to the Upper Tribunal lands chamber. If they lose their case, they may be forced to pay the legal costs of the acquiring body. The main thrust of what my right hon. Friend said is that it is a David and Goliath-type contest that is deeply unfair to the David part—that is, the landowner. In complex cases, when business viability is called into question, that can amount to tens, or even hundreds, of thousands of pounds. That makes the legal route both expensive and risky, as my right hon. Friend pointed out. It is not fair that landowners who, through no fault of their own, are separated from their land or rights are dragged through a demoralising legal process. In many cases, they cannot even afford that, especially given that the outcome of legal proceedings are not certain, and the landowner may still feel aggrieved about the loss of his land in the first place.

Farmers are disproportionately affected by the projects that are addressed by the Bill. Agriculture accounts for 63% of land use in England, so farmer are, of course, most affected by gas and electricity supply lines. A farmer’s land, however, is also his greatest asset, and it is very difficult to quantify the cost of disruption that an infrastructure project may cause. The basic principle of compulsory purchase compensation is that the person affected should be returned to the position that they were in before the acquisition took place. For farmers, that is often not what happens. The separate components of compensation payments do not adequately address the injuries that farmers may face.

For example, not only do the huge 400kW pylons that are required to transmit electricity take up about 60 square meters during construction, but their placement reduces crop yields for years to come. In some cases, pylons are obstacles for farmers driving combine harvesters or other farm machinery. When builders put transmission lines in place, they may cause damage to crops or leave gates open, leading to animals escaping. My local paper, the Hereford Times, reports that at least one agricultural accident involving overhead lines, posing a threat to life for farmers and livestock, is reported nationwide every day. A one-off severance payment does not take those effects into account, as they are difficult to quantify.

The current system benefits only the acquirer of the land or rights. National Farmers Union rural surveyor Louise Staples has claimed:

“Acquirers have too much power. There should be a greater understanding that the purchase affects people’s homes, livelihoods and family history.”

I hope that any system proposed by the Secretary of State looks more favourably on farmers than the current system of negotiation, in which there is a huge imbalance of power.

Part of the south Wales gas pipeline, which transports high-pressure gas from Gloucestershire to Pembrokeshire —actually from Pembrokeshire to Gloucestershire, I suspect—runs through my constituency. Herefordshire is one of the main entry points to Wales, as the Wye valley is more suitable for infrastructure projects than the Cambrian mountains. For the same reason, the percentage of land used for agriculture in Herefordshire is far above the national average, so Herefordshire’s population density is very low—the fourth lowest of any county in England. That creates issues with gas and electricity provision, with a need for electricity cables that are not as high-voltage but are none the less disruptive, as they cover large distances between substations.

A 132 kV overhead cable runs from Herefordshire to Worcester, through the south of my constituency. Hon. Members will be familiar with overhead cables of that kind, as they are frequently held up by ugly steel lattice pylons, which can look very similar to 400 kV pylons. The network distributor, Western Power, published a document last year suggesting that the existing 66 kV lines are ageing and may be replaced by 132 kV lines. Of course that is welcome, because it is important that we maintain our electricity lines and that they be up to standard, but I am concerned that those whose livelihood will be affected by the works will not be compensated fairly.

[Dr Fox]

Does my hon. Friend agree that there is something strange in how there are built-in compensation mechanisms for projects such as HS2 and Crossrail, which tend to affect more urban populations, but there is little protection, if any, for projects such as those he describes, which affect more rural locations?

[Sir Bill Wiggin]

That is the reason I am here today: the system is skewed to disadvantage rural populations, who carry quite a lot of the burden of energy distribution. What we are looking for is fairness.

I praise the work that Western Power does in my constituency to supply homes with the energy that they need. I listened to my right hon. Friend’s speech about National Grid; I could not feel more differently about Western Power, a fantastic company that goes the extra mile for my constituents every time. I hope it is listening to this effusive praise, because I really love these guys—they are fantastic. However, the principle behind our debate is the need for compensation. Although Western Power has been fair in its dealings with me, I agree with my right hon. Friend that those who are subject to acquisitions of rights or land deserve fair compensation.