Charles Hendry
Main Page: Charles Hendry (Conservative - Wealden)
The Minister of State, Department of Energy and Climate Change (Charles Hendry)
I am grateful for the chance to respond to this brief debate. I thank my hon. Friends the Members for South Dorset (Richard Drax), for Bournemouth East (Mr Ellwood), for Bournemouth West (Conor Burns) and for Christchurch (Mr Chope), and I appreciate the support for their comments that they have received from other hon. Friends. It is clear from their measured and thoughtful speeches that this matter is of profound concern to them and to their constituents. Those of us who know this particularly stunning piece of coastline, which has been enjoyed not only by local residents but by many visitors over the years, know that it is a special part of the countryside and we understand the emotions that lie behind their comments. It is important to say at the outset that no planning application has yet been made. This is an outline proposal on where some potential offshore wind farms can be positioned, but it has not yet moved to being a formal application.
I hope that my hon. Friends accept that all of us as Government Members agree that the way forward for our energy policy has to be secure, affordable and low carbon. That means having a mix of new nuclear, carbon capture to support coal and gas into the future, and renewable sources. We need to combine that with energy efficiency, which is the cheapest way of delivering energy security. Renewable energy, and offshore wind in particular, is set to be a major part of our energy future. Wind is a low-carbon energy source. It is also a domestic source of energy supply, which means that it will play a role in our energy security because we do not have to rely on imported fuels in order to deliver it.
Charles Hendry
I hope that my hon. Friend will understand that I cannot because I have been given a relatively short time to respond and I want to pick up as many points as I can. If there is time at the end, I will be more than happy for him to contribute.
When we look around, we see that some of the most energy-rich countries in the world are also harnessing their renewable resources, be it solar power in Saudi Arabia, hydro power in Norway, or wind power in Kazakhstan. If it makes sense for them to be harnessing their renewable resources, it surely makes sense for us to do so. For us, offshore wind is a crucial part of that equation because it is one of our most abundant and deliverable renewable resources.
My hon. Friend the Member for Woking (Jonathan Lord) talked about sailing on the southern coast. The fact that it is such a good area for sailing shows that the wind resource is strong there. That is one of the reasons the Crown Estate identified the area for potential development. Offshore wind generates more energy, and more often, than other technologies, and it is therefore right that we should be considering it.
My hon. Friend the Member for South Dorset talked about the designation of the scheme as a nationally significant infrastructure project. That is not a subjective assessment made on the basis of having looked at its merits; it is simply a recognition that it is a scheme of more than 50 MW. Any scheme of more than 50 MW has to go through the new national planning system, but following the changes that the Government have made, the final decisions will be made by Ministers.
We understand the local community’s concerns about the proposed development. While we are committed to a rapid increase in offshore wind, we need to ensure that wind farms are located in the right places, and that is the purpose of the planning process. We recognise the need to make balanced decisions on the appropriate location of offshore wind farms. We also recognise that we must take account of the views of local residents, and I give that absolute assurance to my hon. Friend. A proposal must take account of the interests of other users of the sea and of the impact on the environment. All renewable energy developments take place within a fair and transparent planning process that allows all relevant stakeholders to put forward their views on the likely impact of a proposal.
Let me turn to concerns about the site selection process for offshore wind in the context of local sensitivities. Decisions regarding the location of the round 3 offshore wind farm zones, which include Navitus bay, were made by the Crown Estate based on its own analysis of multiple constraints and opportunities. That is a broad zoning aspect. It is then for the planning process to make recommendations on individual applications. It is during the planning process that all relevant stakeholders will have the chance to ensure that their views are heard, including on aspects such as the potential visual impact of a proposal. We all recognise that the environmental sensitivity of coastal areas is not uniform, and neither are the particulars of individual wind farm applications. It is therefore right and proper that decisions will be taken on a case-by-case basis.
My understanding is that the developers for Navitus intend to submit an application to the Planning Inspectorate in the autumn next year. The inspectorate will decide whether the application can be accepted. It will examine in detail the application and all the relevant information, including the views of local stakeholders and the local community, before making its recommendation to the Secretary of State for a final determination. I know that my hon. Friends will understand that, as one of the Ministers involved in the determination process, it is not appropriate for me to go into the details of a specific application. However, I want to reassure them of the thoroughness of the process. Their views as local Members of Parliament, the views of their local authorities and the views of their constituents will be an integral part of that process.
I reassure my hon. Friend the Member for South Dorset that this is not a done deal. That a project is of a scale that makes it nationally significant does not mean that it automatically will go through the process without changes being made. I understand the reservations of my hon. Friend the Member for Bournemouth West about the nature of the consultation, but that is an integral part of the process. It is important in determining the exact location that may ultimately be developed and the scale of the wind farm. We will try to accommodate the views of the local community. If there is not seen to be a full and proper consultation process, that will jeopardise the likelihood of success.
I hope that I have reassured my hon. Friend the Member for South Dorset about the nature of the process, and about the chance for his and his constituents’ views to be heard.
Charles Hendry
I want to make some further observations, but if there is a chance for my hon. Friend to make some further comments, I will be pleased let him do so.
Madam Deputy Speaker (Dawn Primarolo)
Order. Minister, may I ask you to face towards me and to speak into the microphone? We keep losing the sound when you turn around.
Charles Hendry
I willingly accept your advice, Madam Deputy Speaker. Many people are quite glad when the sound goes off while I am speaking, but I know that in such an important debate the words are all important.
My hon. Friend the Member for South Dorset raised the potential impact of offshore wind farms on the environment. That was a core part of his speech. The impacts on other sea users and the environment have to be assessed at a strategic level as part of the Department’s offshore energy strategic environmental assessment, and are assessed again at the application stage for each individual project in the environmental impact assessment. The most recent strategic environmental assessment report, which we published in 2011, concluded that at a strategic level, there were no overriding environmental considerations to prevent the achievement of up to 33 GW of offshore wind in the renewable energy zone and the English and Welsh territorial waters by 2020.
We should be in no doubt, however, that the level of ambition is linked directly to the costs involved. We are working with the industry to ensure that the costs of offshore wind can be brought down significantly. At the moment, the cost is about £140 per MWh; we need to see that brought down to £100 per MWh. The industry ambition of 18 GW by 2020 is absolutely dependent on progress being made in that direction. We understand that that has to happen in a way that works for consumers and the industry as investors. It is worth observing that, last year, there was pressure to push up bills by more than £100 because the wholesale price of gas rose by about 40%. The renewable energy element of a bill is less than £20, or less than 3%. We have to look at these issues in the round.
The most important message that I can give to my hon. Friend the Member for South Dorset is that this is one proposal, which will come forward in a formal application next year. There will be significant opportunities to ensure that people’s views are heard. I am adamant as a Minister involved in the process that local engagement with the community will be an integral part of that process.
Question put and agreed to.