Oral Answers to Questions
Debate between Chris Huhne and Iain Wright
Mr Iain Wright (Hartlepool) (Lab)
14. What recent discussions he has had on investment in jobs and skills in the green economy.
The Secretary of State for Energy and Climate Change (Chris Huhne)
I have had many recent discussions with the Chancellor and others on jobs and skills in the green economy. Green growth has been considered across all strands of the growth review, and I welcome recent announcements in this area, including on the green deal, which could support at least 65,000 insulation and construction jobs by 2015.
Mr Wright
I previously asked the Minister of State, the hon. Member for Bexhill and Battle (Gregory Barker). the same question, but he made such a mess of it that I am pleased that the Secretary of State is having a go. Why in the past year has Britain slipped from third in the world to 13th for investment in green technology?
Chris Huhne
Clearly the hon. Gentleman understands that investment in these terms is often a lagging indicator, and the last Government were sadly remiss in coming forward with adequate incentives—for renewables investment, for example. I am delighted to say that we have brought forward the renewables review and provided the certainty that the industry required, and I am sure that our position will improve in future rankings.
Electricity Market Reform
Debate between Chris Huhne and Iain Wright
Chris Huhne
I have made it absolutely clear that there is no public subsidy for nuclear. Let me explain exactly what we are saying. At the moment, we have the EU emissions trading scheme, which is designed to encourage low-carbon forms of activity and to discourage high-carbon forms of activity. I do not regard that as a subsidy to nuclear. I do not regard the carbon price floor, which exists to support the EU emissions trading scheme, as a subsidy to nuclear—I do not regard a price guarantee that is designed to get certainty for low-carbon generation as a subsidy to nuclear. There will be no extra subsidy for nuclear.
The only justification for giving a subsidy to a technology when it is out there in the market is if it is an early-stage, pioneer technology, such as wave or offshore wind, that has not reached full commercialisation. Otherwise, there should be a low-carbon, level playing field right across the board to discourage carbon emissions and to encourage low-carbon activity.
Mr Iain Wright (Hartlepool) (Lab)
The Minister of State, Department of Energy and Climate Change, the hon. Member for Wealden (Charles Hendry), who is on the Treasury Bench, has been kind enough to visit Hartlepool and has seen for himself the huge potential in new nuclear and offshore wind. The statement was good on the analysis of problems, but not so good on providing solutions. What practical, tangible support will the Secretary of State provide to ensure that Hartlepool can realise its vision as the European leader in energy?
Chris Huhne
The hon. Gentleman is being slightly unfair, given that our proposal provides precisely the certainly and clarity to investors that will mean a real increase in investment in all of those low-carbon technologies. I very much hope that his constituency benefits from that process.
Oral Answers to Questions
Debate between Chris Huhne and Iain Wright(13 years, 8 months ago)
Commons ChamberRead Full debate Read Hansard Text
Mr Iain Wright (Hartlepool) (Lab)
16. What recent discussions he has had with representatives of energy-intensive industries on electricity market reform.
The Secretary of State for Energy and Climate Change (Chris Huhne)
Concerted efforts are made by all Ministers and officials in the Department to engage stakeholders with an interest in electricity market reform, including representatives of energy-intensive industries.
Mr Wright
It does not make much sense, either economically or environmentally, when the steel that will be used in the rush to a low-carbon economy is imported from Russia and Ukraine because of electricity market reform and regulatory differences. Tata Steel has a world-class pipe mill in my constituency, and it really wants to play a leading role in the supply chain for the national infrastructure. Will the Secretary of State listen to Tata’s concerns, level the playing field for UK firms and ensure that the competitiveness of firms in this country is not hindered?
Chris Huhne
We are very keen to listen to Tata’s concerns, and both myself and the Secretary of State for Business have been very aware of energy-intensive industries. It is important to recognise that the costs of a move to the low-carbon economy depend on what we think the costs of staying with the fossil fuel economy are, and judging by recent moves in the oil market we may find that that is a volatile source of supply—and a rather costly one.
Chris Huhne
I am aware that my hon. Friend has an important constituency interest in this. He has been a great champion of the interests of his constituents in securing another new plant at Dungeness. I am reluctant completely to redraw the national planning statements, which have already been going out for consultation, but the interests of the national economy certainly need to be taken into account, and they will be.
Mr Iain Wright (Hartlepool) (Lab)
T7. Yesterday’s announcement from the Chancellor about a supplementary charge for oil and gas producers places a question mark over investment decisions and the possible supply chain, and it might increase still further our reliance on imported oil and gas. Teesside is a major hub for offshore engineering, with many jobs reliant on it. Will the Minister guarantee that no jobs will be lost in Teesside, which is an unemployment hotspot, as a result of the Chancellor’s decision?
Chris Huhne
The Chancellor is keen to see new jobs in Teesside; that is precisely why he announced that one of the enterprise zones will be coming to the Tees valley. We have a great commitment to new jobs in Teesside and, indeed, the whole of the north-east. On the hon. Gentleman’s specific point, I anticipate, because of the rise in the oil price, that we will have a lot of resources available to operators in the North sea, and I would be surprised if there was not a continued increase in investment.