(2 weeks, 3 days ago)
Commons ChamberOn the start of my hon. Friend’s question, I agree. This Government were deeply concerned about sustainability practices at Drax and, frankly, about the level of subsidy that was part of the deal negotiated by the previous Government. We inherited a dire situation in terms of long-term planning for our energy security. What we have sought to do with this deal is answer all those questions—on sustainability, on security of supply, on excess profits and on the role of Drax in the system for dispatchable power, which is important.
On the role of Ofgem, I know that the audit of some of Drax’s practices is still under way. I am rightly not privy to the details of that, because it is Ofgem’s review, but we have a wider review of the role and remit of Ofgem under way at the moment, and I think that would be an opportunity for my hon. Friend to feed in his thoughts on the future of Ofgem.
Biomass burning has always been a sticking plaster, and it has allowed successive Governments to claim green progress while continuing to emit immense amounts of CO2. The public were promised £20 billion a year of green investment, but instead we are getting less than 6% of what is needed. When will the UK Government commit to significant direct investment in long-term energy storage such as pumped hydro storage and green hydrogen production, so that the UK can move past burning forests for its energy?
I agree with the hon. Gentleman’s point, and I reiterate that we wish we were not in the position we were in when we came into government, whereby this was the only option that would deliver security of supply out to the early 2030s. We have sought to get the best possible deal for sustainability and for bill payers, but I agree that we need to be building what comes next.
Last year we announced that, for the first time in 40 years, the Government would be funding long-duration energy storage, and I have held a number of meetings with developers on pumped hydro and also on new, modern forms of long-duration energy storage. There are some really interesting, innovative ideas out there. Ofgem is currently putting in place the technical specifications for the cap and floor scheme, and we want to get that rolling as soon as possible. From all my meetings with developers in Scotland, I know that there is huge potential around pumped hydro in particular. They are waiting for certainty from the Government in order to move forward, and we are determined to give them that.
(3 weeks, 2 days ago)
Commons ChamberThe previous Government’s record on fuel poverty was absolutely woeful, and we have had to inherit an incredibly challenging trajectory. We are doing everything we can to shift that by upgrading homes for families in fuel poverty, driving up standards in the rental sector so that we lift 1 million people out of fuel poverty and supporting over 3 million households with our warm homes discount, all while running with our mission for clean power.
Despite Scotland being one of the most energy-rich nations in Europe, decades of mismanagement by different colours of UK Government—whether Labour or Conservative—have led to a shocking one third of households in Scotland living in fuel poverty. That number is set to rise, along with energy bills. The Government were elected on Labour’s pledge to cut energy bills by £300, but yesterday the chair of GB Energy admitted that that was “not in its remit” and was completely unable to say when bills would come down, alleviating fuel poverty. If this is not another broken promise from the Prime Minister, can the Secretary of State confirm exactly when in this parliamentary term consumers in Scotland will see that reduction?
Fuel poverty is devolved in Scotland. The Scottish Government have had the opportunity to make a dent in this problem for almost 20 years and they have not. Even now, as we are ramping up upgrades to help people with fuel poverty, the Scottish Government are raiding more than £200 million from retrofitting funds that could help families today. I will take no lectures from the hon. Gentleman on how we tackle this problem.
(3 months, 2 weeks ago)
Commons ChamberI thank my hon. Friend for his question and look forward to meeting him shortly to talk about tin among other things. We are looking at our critical minerals strategy; there is a big role to play in his neck of the woods for lithium and tin, and we will be pushing that as hard as we can.
Ahead of the general election the Labour party was warned that its plans for the North sea in Scotland would lead to up to 100,000 Scottish job losses. Last week this became a reality when the US oil firm Apache said that it would end all its operations in the North sea by the end of 2029, citing this UK Government’s Budget and tax regime. Can the Minister explain why this UK Government sees the jobs and livelihoods of oil and gas workers in the north-east of Scotland as expendable?
I do not believe that at all. This Government are committed to a just and prosperous transition. The reality is that 100,000 jobs have been lost in the oil and gas industry in the past 10 years. If we do not recognise that there is a transition under way and put in place the measures to produce the jobs of the future, we will have more losses. The party that the hon. Member represents could have done something about that by supporting Great British Energy headquarters in Aberdeen but he failed to show up and vote for it.