Oral Answers to Questions

Claire Perry Excerpts

Tuesday 12th February 2019 Commons Chamber

[Helen Hayes (Dulwich and West Norwood) (Lab)]

18. What steps his Department has taken to ensure that solar power can compete on a level playing field with other energy generation technologies.

[The Minister for Energy and Clean Growth (Claire Perry)]

At a time when people think parliamentarians are engaged in some sort of slugfest, I commend the Opposition parties for perfect collaboration on this first question.

Solar is a UK success story, as I know all hon. Members will recognise. The feed-in tariff scheme, under which 80% of installations have been solar, has cost £5.9 billion to date in supporting those 830,000 installations. Prices have fallen over 80% since the introduction of the scheme, which is why we are amending it, as I set out in the smart export guarantee consultation, and I look forward to receiving the response of the right hon. Member for Carshalton and Wallington (Tom Brake).

[Tom Brake]

Does the Minister agree that households exporting to the grid should be paid a fair rate? Will she ensure an explicit minimum price for exported electricity to allow the market to recover some confidence that new solar homes will receive treatment consistent with that of other electricity generators?

[Claire Perry]

I completely agree that nobody should be exporting power to the grid for free, or indeed below zero as has happened in some other countries. The level at which that export tariff and the mechanism are set is a matter for consultation, and I look forward to the right hon. Gentleman’s points on that subject.

[Helen Hayes]

Industry surveys show that 30% to 40% of solar firms installing domestic systems are now contemplating closure, given the mess that the Minister’s Department has made of policies for smaller-scale renewables. The Government’s own figures show that deployment of solar PV was less than 300 MW last year, down 90% compared with 2015, and Ofgem’s targeted charging review now threatens even the few solar farms that have been built without subsidy. Will she now meet the Solar Trade Association and its colleagues as a matter of urgency to discuss this latest threat to a part of our energy market that is critical to delivering carbon reduction?

[Claire Perry]

I agree entirely with the hon. Lady about this being an important part of our energy market, which is why I am so proud that 99% of our solar installations have happened since a Conservative-led Government have been in power. I frequently meet the Solar Trade Association, which is always a pleasure. I encourage her to look beyond a regime of subsidy for delivering renewable energy, as the evidence of the numbers suggests that there are 2.3 GW of solar projects in the pipeline that already have or are awaiting planning permission and that could be delivered without subsidy. We are moving rapidly to a subsidy-free world for solar generation. [Interruption.] The hon. Lady shakes her head, but it is true. It is important that we do not equate subsidy with output, and with actually delivering the power we want.

[John Stevenson (Carlisle) (Con)]

Does the Minister agree that making solar power compulsory for all new builds would be beneficial for the homeowner, would remove any need for subsidy and would cost the taxpayer nothing?

[Claire Perry]

My hon. Friend raises an excellent point. He will know that building regulations now set minimum energy standards, couched in performance terms rather than being prescriptivist about the types of technology that should be used. Builders are increasingly adding renewable energy systems, but I am always interested to see what more we can do to bring forward such a good way of lowering bills and CO₂ emissions.

[Stephen Crabb (Preseli Pembrokeshire) (Con)]

Both solar and wind have been very successful in driving down industry costs, but does my hon. Friend recognise that that poses a challenge to technologies such as wave and tidal that are competing against solar and wind? Such technologies are chasing a number that is always falling faster than they can keep up with.

[Claire Perry]

I do. I was pleased to meet the Marine Energy Council a few days ago. The meeting was supported by a cross-party group of MPs, and we discussed exactly this issue and how, in a cost-effective way, we might look to continue supporting technologies that are further from market.

[Barry Gardiner (Brent North) (Lab)]

On Friday children across the country will go on strike, saying they have lost confidence in the Government’s ability to tackle climate change. Does the Minister think these children are wrong, or can she explain to them why the UK is spending £10.5 billion to subsidise fossil fuels—more than any other country in Europe—at the same time as scrapping the solar export tariff and forcing some people to give their surplus solar energy back to the grid for free?

[Claire Perry]

There are a number of inconsistencies in that question, but I think it is incredible what young people across the world are doing. They did the same thing at COP, where we had some compelling statements. Young people expect us to wake up to the reality of the future, which is why I am so proud to stand here and tell them that they live in a country that has led the world in decarbonisation over the last 20 years and is the first major industrial economy to ask for real advice, rather than a few fake words, on how we will get to net zero. [Interruption.] The hon. Gentleman chunters on about net fossil fuels, but there are no direct subsidies for fossil fuels. I think he is suggesting that we should not have an oil and gas industry in the UK. I would like to see how that plays out with his colleagues north of the border.

[Antoinette Sandbach (Eddisbury) (Con)]

I welcome the Minister’s commitment that no small-scale producer should export electricity to the grid for nothing. Will she confirm that as well as applying to solar, that would extend to small-scale hydro?

[Claire Perry]

Yes, that is absolutely correct. I know that my hon. Friend takes an interest in this, so I wish to emphasise that we recognise the value of community energy, which has benefited in many cases from this scheme. If people have the chance to respond to the consultation emphasising the value of that, it would be much appreciated.

[Grahame Morris (Easington) (Lab)]

2. What steps he is taking to support people in insecure work.

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[Mr Philip Dunne (Ludlow) (Con)]

7. What steps he has taken to ensure diversity of supply in the energy market.

[The Minister for Energy and Clean Growth (Claire Perry)]

My right hon. Friend is quite right that we have a diverse energy supply and we must continue to maintain that, guided by the principles of lowest cost, lowest carbon and the maximum exploration of overseas trade opportunities. As the Secretary of State set out in his recent speech, we should continue to use market mechanisms wherever we can to maintain this diversity of supply.

[Mr Dunne]

I thank my right hon. Friend for that answer. However, can she reassure the House, and many of our constituents, that the move from the existing feed-in tariff to the smart export guarantee will not jeopardise the viability of solar energy anaerobic digester producers and that they will continue to be paid for exporting energy to the grid?

[Claire Perry]

My right hon. Friend is quite right. As I said earlier, we are very keen to ensure, through the smart export guarantee, that we move to the lower-subsidy or subsidy-free future that we know we can get to, but that we continue to see the sorts of viable projects that he references. I would urge him to make sure that the views of his constituents are reflected in the consultation that closes on 5 March.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

Has the Minister had recent conversations with the power distribution networks? They are very powerful, they transmit all the electricity, and they are owned by very strange people, in my view. Warren Buffett owns all the power distribution in the north through Berkshire Hathaway. The Chinese own it all in London and the south-east through the Cheung Kong and Li Ka Shing enterprises. Are they efficient? Are they effective? Do they work in the national interest, or in somebody else’s national interest?

[Claire Perry]

The hon. Gentleman, I am sure, shares my view that we should have the most efficient and well-invested energy system going forward that keeps costs down for consumers. He will also know that since privatisation—[Interruption.] Well, if he wants an answer perhaps he could stop shouting at me and listen. We have seen a large reduction in power outages and an increase in energy security. We have to make sure that the system is fit for the future because, as he knows, much of what happens in the future will not be creation of energy on the old coalfield sites and distribution down the transmission lines—there will be far more decentralised energy, and we continue to look forward to that development. [Interruption.]

[Mr Speaker]

The capacity or otherwise of a particular Minister to speak fluent Chinese is, at best, a secondary consideration in respect of this question, I say to the hon. Member for Huddersfield (Mr Sheerman), who is chuntering endlessly from a sedentary position.

[Sir Patrick McLoughlin (Derbyshire Dales) (Con)]

I very much agree with diversity of energy supply, but will my right hon. Friend assure me that there will be no diminution in the controls over the fracking industry, which has agreed to the regulations and has to stand by them?

[Claire Perry]

I thank my right hon. Friend for asking a very topical question. The situation is this. We have set out very clearly our need to explore soberly and scientifically this potentially important resource. We rejected the companies’ request during the process of extraction from the first well to change the regime, on the basis that it was fit for purpose. I have been very well aware of all the scientific suggestions that somehow this regime should be reviewed. Of course, we now have an independent regulator, the Oil and Gas Authority, and it is within its remit, should it wish, to look at the science. For me, it is a scientist-led decision—it is nothing to do with politicians.

[Jim Shannon (Strangford) (DUP)]

Will the Minister outline any recent findings regarding the harnessing of tidal power and any project the Department is pursuing or overseeing?

[Claire Perry]

The hon. Gentleman will know that we continue to look actively at this sector. Indeed, we have invested over £50 million in innovation in the sector over the past few years. However, it was right to reject the most expensive power station ever proposed in the form of the Swansea tidal lagoon. It is very pleasing to see that that project has now been brought forward in a form that does not require any Government subsidy. That is clearly a vote of confidence in this sector and this technology going forward. Our door is open for innovative proposals in this area. I was pleased, as I said, to meet the Marine Energy Council to see what more we can do.

[Vicky Ford (Chelmsford) (Con)]

10. What comparative assessment he has made of trends in the level of spending on research and development in (a) the UK and (b) other EU member states.

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[John Grogan (Keighley) (Lab)]

12. What recent discussions he has had with Cabinet colleagues on support for economic development in Yorkshire.

[The Minister for Energy and Clean Growth (Claire Perry)]

I know that the hon. Gentleman is a proud Yorkshireman, and he will know that we frequently discuss the economic success story that is Yorkshire and the Humber. It may be a little bit politically incorrect, but I am sure he is proud of the fact that in the first three years of the Conservative Government from 2010, Yorkshire created more jobs than the whole of France.

[John Grogan]

But given that economic growth in Yorkshire and the Humber has on average been about 1% since 2010, compared with 3% in London, does the Minister see merit in the proposals and the economic case for One Yorkshire devolution that have been presented to Ministers? It is backed by 18 local authority leaders, many of them distinguished Conservatives.

[Claire Perry]

I know my right hon. Friend the Secretary of State for Housing, Communities and Local Government is reviewing the proposals. I see in his place the Mayor of the Sheffield city region, the hon. Member for Barnsley Central (Dan Jarvis), who is doing a fantastic job. I say to the hon. Member for Keighley (John Grogan) that in the places where large-scale mayoralties are working well, such as the west midlands with Andy Street or on Teesside with Mayor Houchen, a cross-party proposal has been brought forward, bottom up, for the Government then to make a decision on.

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[Danielle Rowley (Midlothian) (Lab)]

T3. My constituents in Midlothian tell me how concerned they are about the catastrophic impacts that climate change will have, and indeed, is already having. What is the Secretary of State’s response to the long-term forecast by the Met Office showing that global warming could reach 1.5°, the limit aimed for in the Paris agreement, in just five years? Does he honestly believe that the Government are doing enough within their power to stop this?

[The Minister for Energy and Clean Growth (Claire Perry)]

I am very pleased to assure the hon. Lady that we are not only doing enough, but leading the developed world. Our renewables generation has increased fourfold since 2010. We have decarbonised our economy—as our four nations—more than any other country in the G20, and we were the first industrialised county to seriously look at that shocking Intergovernmental Panel on Climate Change report and ask our own independent Committee on Climate Change for its advice on how we can get to a net zero-carbon economy going forward.

[Will Quince (Colchester) (Con)]

T5.   It is concerning that the Department’s research has estimated that 54,000 women a year may lose their jobs due to pregnancy or maternity, and that one in nine women has said that they were fired or made redundant when they returned to work after having a child. What steps can my hon. Friend take to address this issue?

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[Peter Heaton-Jones (North Devon) (Con)]

T9. In North Devon, we are passionate about doing our bit to tackle climate change. Will the Minister update me on where we are with reducing carbon emissions?

[Claire Perry]

With much pleasure. We published figures last week showing that we continue to reduce our emissions, which are down 3% year on year. I say again that we are decarbonising faster than any other country in the G20. We are doing our bit domestically as well as internationally with our £6 billion of climate spending, and we have formally put our name forward to host the crucial climate change talks in 2020, although we must remember that other countries are still interested.

[Neil Gray (Airdrie and Shotts) (SNP)]

T8.   Healthcare Environmental, based in Shotts, collapsed before Christmas, leaving 150 of my constituents and 450 across the UK redundant. We have managed to sort out redundancy payments for some of those eligible, but they have all lost out on their December pay. Can the Government do anything in a timeous fashion to help the workers get the wages they are due?

[Luke Graham (Ochil and South Perthshire) (Con)]

My office has been meeting representatives of the Coal Authority to talk about geothermal opportunities in Clackmannanshire in my constituency. Will my right hon. Friend meet me to discuss these opportunities?

[Claire Perry]

My hon. Friend is a doughty campaigner for what could be a very valuable source of heat from flooded mine workings. It seems apposite to recognise the effort that went into digging them out, and it would be good to use them in our low-carbon future. As he knows, I continue to look at his ideas with great interest.

[Dan Jarvis (Barnsley Central) (Lab)]

Central to economic development in Yorkshire will be the design of the new UK shared prosperity fund. What work is the Secretary of State doing across Government to ensure that the fund works to the maximum benefit of the Yorkshire economy?

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[Gloria De Piero (Ashfield) (Lab)]

The mineworkers’ pension scheme has boosted Government coffers by billions while ex-miners and their widows receive an average pension of £80 a week. Will the Secretary of State meet miners’ representatives and the trustees of the scheme to hammer out a fairer pension deal?

[Claire Perry]

As the very proud daughter-in-law of a miner’s widow who benefits from the scheme, I take its stewardship very seriously. I believe that it will be debated in the House in a couple of days, and I should be delighted to discuss it further. I should point out that the extraordinary arrangements that were developed between the Government and the trustees have delivered much higher returns to the beneficiaries than similar schemes, but I continue to be happy to meet Members to discuss the issue.

[Rachel Reeves (Leeds West) (Lab)]

On a point of order, Mr Speaker.