(5 years, 7 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
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The right hon. Gentleman tempts me into another Department’s area. I have to say that I believe that most of the emissions problems with this specific aviation project relate to transport to and from the airport, and clearly there is much more that can be done on that with the Department for Transport. Equally, however, we have to look at how we try to solve the aviation problem globally. Again, there is no point trying to do something unilaterally that disadvantages the UK economy, when we could be working to solve the problem. One of the things the Department has been doing is investing in alternative fuels, in many cases created from the waste products of other processes, and that is the sort of innovation we need to see because unless we can drop the emissions from aviation substantially, we will not be on track.
The science is clear that we need to stop pumping more emissions into the climate. I thank the Minister for spending time with the Science and Technology Committee today and answering very detailed questions on the Government’s policy. Does she agree with the other four experts before the Committee that the UK has led the world in investment in innovative technology, such as carbon capture and storage, and does she agree with me and many colleagues that the UK should continue to lead the world in investment in innovative technologies to help find solutions to this situation?
I thank my hon. Friend for raising carbon capture and storage. Members will know that a competition was run several years ago, and it was a rather crude, as it were, point-to-point competition—in one case, it was just decarbonising a coal plant that would in effect no longer be generating power. We are now trying to work out how carbon capture, usage and storage are embedded in an industrial cluster, so that we can actually decarbonise heavy industry and create a way of sequestering the carbon alongside clean power generation. This is how I think we will solve the problems: not looking at them in economic silos, but trying to solve these problems on a whole-economy basis.
(5 years, 8 months ago)
Commons ChamberI enjoyed what might be the last ever meeting of EU Energy Ministers last week, where it was clear that our leadership, which has been so important in the EU, will continue unabated. Countries look to us and want to work with us. The hon. Gentleman will know that we are in the process of bidding to host the 2020 climate change talks here in the UK. To me, that is the most seminal moment since the Paris talks, as we will have to show our national contributions and see whether we are on track. I would love to get his support for that bid.
More than 60 of the UK’s onshore wind farms are set to reach the end of their support deals in the next five years. How will the Government ensure that we do not lose our onshore wind capacity as those plants reach the end of their lives?
I am sure that my hon. Friend, like me, welcomes the fact that we already have more than 13 GW of onshore wind installed. As she says, much of that is reaching the end of its life. Those plants can be repowered to generate more energy, and we expect them to be, but any application must be consistent with what local people want, so I expect developers to work closely with local communities to deliver that.
(5 years, 9 months ago)
Commons ChamberThe 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.
(6 years, 8 months ago)
Public Bill CommitteesI could not agree more. I thank the right hon. Lady for her kind congratulations. I feel it is an undeserved honour, but it is amazing. She is absolutely right. One of the reasons we were minded to bring forward the Bill was that we have a competitive energy market, with more than 60 companies that would like to sell us energy—either combined heat and power or, in some cases, just power—but we gifted incumbency to a large number of companies when we took what I thought were sensible steps to privatise the energy system. That brought in more than £60 billion of new capital and caused prices to fall and power cuts to halve, but the companies that were gifted incumbency have not had to work for customers. It was interesting to hear from new entrants about how they are determined to shake up that complacency.
I think the right hon. Lady also alluded to practices further up the energy system—or further down; I am not sure whether it starts at the top or the bottom—and particularly profits in the distribution sector and overall network costs, which have come down but arguably could come down further. Work has been done in that area, but I am determined that the whole sector, from generation right to the customer’s meter, should be highly efficient, that efficiency and customer service should be rewarded, and that we ensure we have not created a shield of incumbency that allows companies to persist with bad customer practices. This is the start. We may not need legislation to get there, so we may not have the pleasure of—
I thank my right hon. Friend for giving way and wish her many congratulations from the Government side of the Committee, too. On incumbency and the investment that she mentioned, is it not extremely important that the price cap is set at a level that continues to encourage investment the whole way through the energy chain and into the new infrastructure we need? That is one of the reasons it is so important to signal that this is not a permanent cap; it is an incentive to increase competition and to ensure that the market continues to be dynamic and that infrastructure continues to be invested in.
My hon. Friend brings her great knowledge of these markets on a broader European scale to make a telling and vital point. The need to maintain investment in the industry, which we must have as we go through what is possibly the most exciting revolution in our energy markets for decades, is included in the Bill for exactly that reason. Clause 1(6)(d) speaks to exactly that point: we must ensure that we still have the financial investment in the industry that we so desperately need.
Having talked about the need to keep on improving efficiency, and having accepted the view of the Select Committee that the price cap should be only a temporary measure—reflecting a cross-party view that the Government should not be unduly involved in setting energy prices— I hope that I have persuaded the hon. Member for Kilmarnock and Loudoun that his amendment is unnecessary and provides an obligation on a future Secretary of State to impose another price cap. A future Government may decide to do that—who am I to suggest what legislation a future Government might introduce? However, I do not feel that the amendment is appropriate; it creates disincentives and uncertainty in a market where we have to have certainty to generate investment. On that basis, I hope he might be persuaded to withdraw his amendment.