David Nuttall
Main Page: David Nuttall (Conservative - Bury North)
Mr Davey
It is interesting to look at the history of wholesale prices coming down and reductions not being passed on. There were much greater falls in wholesale costs when the Leader of the Opposition was doing my job, and they were never passed on. This Government have taken action by giving consumers far greater choice. They can now switch from companies that are not offering them a good deal and, in some cases, cut their bills by hundreds of pounds.
Mr David Nuttall (Bury North) (Con)
Does the Secretary of State agree that the best way for the Government to keep energy bills down is to stop subsidising working windmills? We are now subsidising those that are providing energy when the windmills are not working. Instead, we should get cracking with fracking.
Mr Davey
That is a good soundbite, but I have to tell the hon. Gentleman that his understanding of how these things work needs a little work. It is important that we have an energy mix. That encourages greater competition as well as enabling us to tackle all our energy objectives, including keeping bills down and ensuring that we cut carbon and have secure energy.
Matthew Hancock
As the hon. Gentleman knows, there is ongoing work on the commercial feasibility of SNRs. There was a further small package in the autumn statement to take that work forward, and we are working internationally to see whether the technology can become feasible.
Mr David Nuttall (Bury North) (Con)
Will the Minister set out what financial benefits will be available for local communities where shale gas sites are situated? Will he confirm that it will be local communities that benefit, and that it will not be possible for councils to pocket the cash and use it elsewhere?
Matthew Hancock
Absolutely. The industry is committed to ensuring that there is a contribution to communities for exploration, but also that a minimum of 1% of production revenues goes to local communities. Some companies have said that they will put more than that minimum into local communities. It is crucial that the communities from under which gas can be extracted benefit from that extraction.