Energy Bill [Lords]

Dave Doogan Excerpts

Consideration of Lords message
Wednesday 18th October 2023 Commons Chamber

[Madam Deputy Speaker (Dame Eleanor Laing)]

I call the SNP spokesman.

[Dave Doogan (Angus) (SNP)]

“Specious”, said His Majesty’s Opposition spokesperson about the arguments against this amendment, to which I would add, having listened to the Minister’s defence of the Government’s position on community energy, that it was also one of the more tendentious arguments that we have heard in this Chamber. I am not convinced that the Minister is absolutely fully signed up to that which he has been put out today to defend. I think he knows the importance of community generation and he is not content with the feet dragging that his Government are forcing him to come here to defend. This is another extremely negative decision by a Government who show no let-up in their disdain for community ambition for disaggregated generation infrastructure, or, in fact, for the climate. If we contrast that ambition with the Tories’ now messianic devotion to the cult of nuclear, we see that next year everyone across these islands will be well shot of them, and nowhere more so will that be clear than in the energy space.

Lords amendment 274B is a perfectly sensible ambition. It is a pragmatic amendment by their lordships. It is balanced and deliverable, works with the grain of local ambition, and is destined to unlock significant value in the green transition. It would unlock local enterprise and it would unlock value-add in the real economy and promote community wellbeing. There is nothing not to recommend about this ambition; it is quite clear that it has positives for the people and for our communities. It is no wonder, then, that this Tory Government will reject it out of hand. They have no interest in empowering the people or powering the green revolution. They would rather throw billions on to our energy bills to pay for nuclear, while they proscribed onshore wind in England up until September this year, leaving Scotland to do all the heavy lifting as usual.

Why will these Tories not follow the SNP Scottish Government’s lead in this priority? The Scottish Government’s community and renewable energy scheme promotes community energy ownership across Scotland. CARES continues to help communities engage, participate in and benefit from the transition to net zero. Since 2010, CARES has offered advice and support to more than 900 organisations and assisted in the delivery of 600 community and locally owned renewable projects throughout Scotland, offering funding in the process of £58 million. Just to clarify, that is just in Scotland, which rather puts in the shade the £10 million on offer from the English Government to English community generation—whenever that happens. CARES accelerates progress towards the Scottish Government’s target of 2 GW of renewable energy to be locally or community owned by 2030. The scheme assists in the delivery of both the Scottish Government’s energy strategy and heat in buildings strategy through the provision of loan finance, grant funding and specialist advice.

In Scotland, we see a Government of the people working with the people for their shared ambitions, but here in Westminster we see only the veneer of an Administration masking the infighting, bitter division and self-interest of that Tory party.

The Scottish Government’s community good practice principles, which have been widely adopted across the renewables industry, promote the provision of community benefits at a national level. They promote the equivalent of £5,000 per installed megawatt per annum, index-linked for the life of the project. Over £22.8 million has been paid out in community benefits to Scottish communities in the 12 months since August 2021. England has a very similar scheme but—and it is a big Tory-shaped but—as these funds are in the greater part principally born of onshore wind development, and the Tories introduced a de facto ban on onshore wind in 2015, English communities have lost out on millions and millions of pounds in community funding thanks to this dysfunctional UK/English Government.

--- Later in debate ---

[Andrew Bowie]

We cannot respond to a consultation that has not been launched yet. We are in the process right now of working with the community energy contact group. In fact, it has already met. Work is under way right now to develop the consultation, identify what the barriers to market are, and get out there and support the community energy sector, as the Government are determined to do.

[Dave Doogan]

Will the Minister give way?

[Andrew Bowie]

Yes, of course—I am delighted to give way.

[Dave Doogan]

The Minister is very kind. He was re-emphasising the importance of the £10 million community energy investment that he is making in England over two years. The Scottish Government have been investing £5.5 million every year for the last 13 years. If he thinks that his investment is outstanding, how would he characterise the Scottish Government’s investment?

[Andrew Bowie]

I welcome all Governments’ investment in support of community energy projects across the United Kingdom, but this is a sharp change from the last time the hon. Member came to this place, when he was decrying the fact that we were not extending community energy packages across the United Kingdom. I think I had to inform and educate him that there was already a community benefits package in Scotland, operated by the Scottish Government. Yes, there are problems with that scheme, and we will learn from the difficulties that it has faced. That is why I am so sure that the scheme that we are launching—the £10 million to support community energy projects the length and breadth of the country—is the right one, working in tandem with the funds that are already available north of the border for community energy projects in my constituency and, indeed, in his.

The hon. Member for Southampton, Test spoke about previous amendments on community energy. We have been clear that they would not provide the best outcomes for consumers. A right to local supply already exists, and Ofgem has existing flexibility to award supply licences that are restricted to certain geographies. We continue to believe that it is a commercial matter left to suppliers.

Lastly, I turn to my right hon. Friend the Member for Kingswood (Chris Skidmore). Six months may be too soon, frankly, to adequately analyse the outcomes of the consultation. It must fully take into consideration wider interdependencies in the energy system. We will always aim to respond in a timely manner, but I would not want to put a strict timeframe in legislation.

The Government support our route to net zero. The Government are taking action to ensure that we are more energy secure and energy independent, and the Government are supporting community energy projects the length and breadth of the country. For that reason, we should disagree to the Lords amendment before us.

Question put, That this House disagrees with Lords amendment 274B.