Net Zero Strategy and Heat and Buildings Strategy

Deidre Brock Excerpts
Tuesday 19th October 2021

(2 years, 6 months ago)

Commons Chamber
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Greg Hands Portrait Greg Hands
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My hon. Friend makes some excellent points. I spent part of my childhood in Cornwall and I thought that where I lived then was pretty far from here, but his constituency is yet further, so I know some of the challenges that face his St Ives constituents. We want to keep the scheme as simple, straightforward, transparent and easy-to-understand as possible, but my hon. Friend’s points about insulation and energy efficiency in homes are well met. I will continue to talk with him and other Cornish MPs, and with MPs from other parts of the country, as we move forward.

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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The north-east of Scotland is the home of the offshore industry and the obvious location for a carbon-capture project. Years ago, the Tories pulled the plug on the carbon capture and storage competitions before Peterhead won through, and it is now clear that the UK Government have put the holding of seats in the red wall of northern England ahead of saving jobs in Aberdeen and the north-east. How can the Government say they are delivering a just transition if the Tories put pork barrel politics ahead of supporting the ideal location for CCUS at St Fergus?

Greg Hands Portrait Greg Hands
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I get tired of the politics of division that we hear from the SNP all the time. It is the politics of pitting Scotland against, in this case, the north of England. We are a Government for the whole United Kingdom and I bitterly regret the hon. Lady’s language and her accusation that we have somehow put the north of England in a privileged position relative to other parts of the UK. We have been clear that in track 1 there will be at least two industrial clusters by the mid-2020s and four by 2030 at the latest. We have the Acorn cluster as a reserve. As I said earlier, it met the eligibility criteria and performed to a good standard. We will continue to engage with the sector so that it can continue its development and planning.

Subsidy Control Bill

Deidre Brock Excerpts
2nd reading
Wednesday 22nd September 2021

(2 years, 7 months ago)

Commons Chamber
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Seema Malhotra Portrait Seema Malhotra
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I thank the Secretary of State. Indeed, I did hear those comments in his opening remarks. I was seeking to clarify the issue because I do not think it is clear across the House, and it is important that it is tested and made clear in the course of the passage of the Bill.

Crucially, what is the Government’s intention if the Bill does not receive legislative consent from Scotland, Wales and Northern Ireland, as has been requested?

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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Is the hon. Lady suggesting a four-nation approach whereby any one of the nations has a veto over decisions taken by those four nations that they feel are not in their interest?

Seema Malhotra Portrait Seema Malhotra
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I am not clear why the hon. Lady refers to a veto. I think we are talking about the symmetry of powers in terms of being able to bring forward a challenge. I hope that makes the point clear.

Deidre Brock Portrait Deidre Brock
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rose

Seema Malhotra Portrait Seema Malhotra
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If it is okay, I want to move on because I am conscious of time, but the hon. Lady may want to make her point in her own remarks.

Finally, on the issues of oversight and enforcement, while well-designed subsidies can support Government objectives and foster growth and opportunity, there are risks too. Subsidies can distort markets, undermine competition and unfairly discriminate between businesses. Effective oversight and enforcement are critical to the success of our subsidy control regime, yet they are lacking in certain areas of the new regime. The Bill does not provide enough certainty as to the definition of “interested parties” that are able to challenge a subsidy. Does that definition extend to local authorities and devolved Administrations?

There are also concerns about the limited powers of the CMA’s new subsidy advice unit under the Bill. We are pleased that a trusted independent regulator is being given key responsibilities. However, as the Bill stands, the CMA lacks any power to instigate an investigation on its own initiative or to take enforcement action. This requires careful consideration, particularly when transparency issues around the Bill are taken into account.

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Paul Scully Portrait The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Paul Scully)
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It is a pleasure to respond to the hon. Member for Feltham and Heston (Seema Malhotra) and to follow the hon. Member for Newcastle upon Tyne Central (Chi Onwurah). I thank all hon. Members who have spoken in this important debate. I aim to respond to as many of their points as possible in the time available—I know that we have further business—but I would like to begin by quickly reminding the House of what the Bill signifies and what it will achieve.

The Bill is the very first subsidy control framework designed by the UK for the UK. It will be flexible and agile, allowing all public authorities to design subsidies that deliver strong benefits across the whole UK. For the first time, in all instances, public authorities will decide whether to grant a subsidy. The Bill will provide certainty and confidence to businesses investing in the UK. It will enable public authorities to deliver strategic interventions that will support our economic recovery and deliver on the priorities of the British people, such as levelling up.

We have talked a little about scrutiny; the hon. Member for Newcastle upon Tyne Central spoke about scrutiny of secondary legislation and guidance. I am glad that my hon. Friend the Member for Clwyd South (Simon Baynes) raised the issue of the lack of scrutiny in this debate. It is nice that the Opposition have found a couple of Back Benchers to come and join the debate, but it is outrageous that we have had so little input from Opposition Members.

This Bill will strengthen our Union by protecting our internal market through a single coherent framework that fully complies with our international obligations. On that note, I thank the hon. Members for Feltham and Heston, for Aberdeen South (Stephen Flynn) and for Aberdeen North (Kirsty Blackman) for their points. To ensure that the new regime works for all parts of the UK, we look forward to continuing to work closely with the devolved Administrations, as we have throughout its development, as the Bill passes through Parliament. We hope that the devolved Administrations can understand and support the approach that we have taken, and will give their legislative consent. I can say to the SNP Members who spoke earlier that to date we have had 30 meetings with the devolved Administrations on an official-to-official basis to discuss the Bill, and 10 at ministerial level.

We also heard a bit about the devolved Administrations’ input into guidance. Obviously an agreed framework is needed before there is something to give guidance for, and we have made that clear in discussions with our devolved Administration colleagues. We will continue to work with them as we work through that guidance.

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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The Minister will have noted the concern of the Welsh Government about the fact that the agriculture and fisheries subsidies will be within the scope of the UK subsidy regime as a result of the Bill. We have already heard today a member of the Minister’s party express concern about his local farmers being undercut by devolved Governments’ support for their farmers. Can the Minister assure us that this Bill and the United Kingdom Internal Market Act 2020 will not be used to interfere with decisions by the devolved Governments on devolved matters such as agriculture?

Paul Scully Portrait Paul Scully
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We have consulted on agriculture, fisheries, and sanitary and phytosanitary measures. There was no particular agreement among the devolved Administrations, but some people raised those issues.

The Bill introduces a permissive framework. It is totally different from the EU state aid regime, which is the only regime of its kind in the world. No other country, no other trading bloc, has such a restrictive regime, whereby authorities must ask permission and then wait for months to receive it. The Bill flips that on its head. A public authority can give support where it feels the need for it, and only the most distortive levels of support will then be challenged and go through the courts.

Let me turn to some of the issues raised by the hon. Members for Feltham and Heston and for Aberdeen North, and by the right hon. Member for East Antrim (Sammy Wilson) in relation to how this interacts with the Northern Ireland protocol. I reiterate that the UK will continue to be a responsible trade partner that respects our international obligations. However, as the Secretary of State for Business, Energy and Industrial Strategy said in his opening speech, the robust subsidy regime that the Government propose makes it clear that there is no need for EU state aid rules to continue to apply in Northern Ireland, and that all subsidies will be within the scope of the domestic regime. This framework has to work with whatever is involved in our international obligations. However, as the right hon. Member for East Antrim will know, the Command Paper gives the details of that, and I should love nothing more than to hear of rejoicing in his constituency.

A Green Industrial Revolution

Deidre Brock Excerpts
Wednesday 15th January 2020

(4 years, 3 months ago)

Commons Chamber
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Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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I pay tribute to all hon. Members who made impressive maiden speeches today. I wish them all well in their futures as representatives of their constituencies, and I hope that they all do well by their communities.

I suppose that particular mention must be made of the contribution from my hon. Friend the Member for East Lothian (Kenny MacAskill), whose reminders of Scotland’s past certainly stirred passion in the hearts of those on the SNP Benches and, had you been in the Chamber, it would certainly have stirred passion in your heart as a fellow Scot, Madam Deputy Speaker.

Turning to the subject of this debate, I was delighted to hear that the UK Government will finally be taking steps to address greenhouse gas emissions. Equally, I was disappointed, but not even slightly surprised, to find that the target date for doing so is sadly 30 years in the future. It is not so much too little too late as turning up with the fire safety manual long after the building has burned to the ground. We had a statement just last week about the devastation caused by the worst Australian bushfire season ever, and I pointed out then, as I will point out again now, that Australia is not the only place on fire. We have seen the Arctic burning, too, with huge swathes of Siberian forest on fire in Greenland, Alaska and Canada. Fires in the Amazon are also beginning to threaten the ecosystems of the rainforests.

We know that this is an emergency. We know that the planet will change as a result of human activity, and the only question is, “By how much?” We know that biodiversity is being threatened and that the crops we rely on are under threat. We know all that, but the UK Government think that deferral and procrastination are okay and that nothing much will change between now and three decades hence, so let us have some sense and perspective of what 30 years means.

The first report of the IPCC calling for urgent action and strong measures to prevent serious global warming was published 30 years ago. Some Members of this Parliament had not even been born then, and we have wasted their lifetimes so far without real action. Something else that is interesting about the House of Commons of 30 years ago is that the then Prime Minister was calling for fast action to get emissions under control. Margaret Thatcher might have been horrified were she to realise that her party would still be footering aboot on the edges of the issue three decades later.

This is not just some sort of policy issue that can be revised at some future point. It is not just a passing fad that can safely be ignored. This is disaster politics coming at us with a vengeance that we cannot easily comprehend. Failing to act now does not leave options open to act later; it closes them down. A failure to act a heck of a lot more speedily three decades on will simply condemn future generations to ongoing and escalating effects that they will have to spend more and more time contending with. It will also condemn us—the generation that has had it so easy by comparison—to living a far less comfortable retirement, because much of our time and much of the effort of future Governments will be devoted to addressing the ill effects of Government failure now.

The UK Government claim to want to lead the way in addressing climate change, but they do not seem to be doing much to address climate change, so let us take a donder with the IPCC. The latest report tells us that three quarters of transport emissions are from road transport, so if the Government were serious about addressing climate change there would be massive investment in electric vehicle technology—charging points and other infrastructure, to be sure, but also research into better, less expensive technologies. Where is the commitment to do that? Where is the commitment to build more capacity for rail freight and take some of the wagons off the road?

The biggest emissions culprit is heating and power. Will there be a zero rating of VAT on renewable energy from construction to use? The Government will say they have no power to do that until they are free of the EU, so when can we expect to see that Brexit benefit?

While we are it, what about exempting building works and refurbishments that improve insulation? What about investing in better houses to begin with? What about offering incentives for insulation solutions like aerogel for passive houses and for district heating schemes?

There is no evidence that this Government intend to do anything actually to lead on climate change, and there is a similar lack of evidence that they have any idea of what to do about air quality. The 25-year plan has an ambition, if that is the right word, to reduce five air pollutants by half in 11 years—that is only five of the pollutants being pumped into children’s lungs, and maybe only reducing them by half, eventually. It is like having an ambition to paint every third plank of the garden shed, but only halfway up and only at some point in the future. In the meantime, the garden shed is rotting away and will collapse long before the painting is finished.

Way back in September 2016, I asked the then Secretary of State for Environment, Food and Rural Affairs whether she planned to maintain the air pollution targets set out in the ambient air quality directive following the UK’s withdrawal from the EU. In response, as often happens, I got a lot of words and no real answer.

The response claimed that the Clean Air Act 1956 is an example of the UK acting to improve the environment, rather than responding to thousands of Londoners being killed by smog in 1952. It touted the Act as evidence of a long-standing UK commitment to environmental action. It also said:

“Air quality has improved significantly in recent decades; we are working at local, national and international levels and will continue to do more.”

The response never answered the question about a commitment to match the EU’s air pollution targets.

This Government, in my view and in the view of many others, waffle a lot and deliver little, if anything. The time for action was quite some time ago, and the response was and still is lacking. We have gone from a need to take action 30 years ago to a promise that action will be taken 30 years hence. There are no answers to the questions being asked, and no idea of what they mean.

Alan Brown Portrait Alan Brown
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My hon. Friend is making a powerful point about air pollution, and she is highlighting the real concerns. Does she agree that those concerns are backed up by the Government’s action? They have lost to ClientEarth in the High Court at least twice because they are not taking proper action on air pollution. There are 40,000 premature deaths a year due to air pollution, and that the Government will not even commit to matching the EU’s standards is a real concern.

Deidre Brock Portrait Deidre Brock
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My hon. Friend makes a fantastic point, and I can only agree with him. It is clear evidence of this Government’s continued failure to act, and I appreciate his contribution.

International Climate Action

Deidre Brock Excerpts
Thursday 26th September 2019

(4 years, 7 months ago)

Commons Chamber
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Andrea Leadsom Portrait Andrea Leadsom
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My hon. Friend tempts me to make some budgetary commitments, which I cannot do right now, but I am always delighted to talk to him about his brilliant ideas for his constituency and the surrounding area.

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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Our Government in Scotland are consulting on public sector climate change responsibilities and reporting duties. What work will the Department for Business, Energy and Industrial Strategy be doing with UK public bodies based in Scotland, whose emissions will count against our world-leading targets?

Andrea Leadsom Portrait Andrea Leadsom
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The hon. Lady will know that there are regular and frequent discussions between officials at all levels on how to meet our carbon commitments. Those will continue and will, I dare say, be increased in the run-up to COP 26 next year, so there will be plenty of opportunities for collaboration between nations.

Climate Change, the Environment and Global Development

Deidre Brock Excerpts
Wednesday 10th July 2019

(4 years, 10 months ago)

Commons Chamber
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Stephen Kerr Portrait Stephen Kerr
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We need to do something, and I think we need to have a discussion about what that means, because I think the House has a part to play in that something that we need to do. I have become personally aware—much more than I have ever been—of the extent and volume of single-use plastic in my life. I know that during Lent some of my hon. Friends, and indeed some Opposition Members, engaged in a fast to clear their lives of single-use plastic. That was exemplary in setting the pace for all of us in the House and for the whole country, but we really need to apply some fresh thinking to the urgent need to deal with single-use plastic.

For instance, as I said earlier to the hon. Member for Dundee West, we need action on the proposed deposit return scheme. I know that it takes time for these things to be put together, and I know that it is important for there to be as much discussion as possible in Parliament, in Whitehall and, of course, with the business community, especially the retailers who will have to manage much of the scheme. I also appreciate that the Scottish Parliament, on an all-party basis, has done some pioneering work in this regard. I must say to the Minister, however, that it is surely not beyond the realms of possibility for all the Governments on these islands, at all levels, to work together to create a single UK-wide scheme for the return of plastic bottles in particular. That would remove any danger of geographical or cost anomalies. By working together, we could help to cement the idea of deposit return with the public. The sooner we do that, the better.

The second point that I want to make concerns transport. I do not want to repeat some of the things that have been said earlier, but it is important for us to understand that 15% of global man-made carbon emissions come from cars. We have a huge opportunity to move to lower emission vehicles, but we need many more electric charging points. The infrastructure is patchy to non-existent, and it does not give confidence to potential purchasers of low emission or electric vehicles. The planning laws throughout these islands should be changed to insist that car-charging points are installed in all new private houses and commercial properties as part of their initial construction. We also need a single system for using car chargers: expecting drivers to have several cards in their wallets and separate registrations for different charging points is absurd if we wish to make it easy for people to make the transition to electric vehicle use. Governments need to do what Governments, and only Governments, can do, and bring together every party so that a sense of co-ordination and working together is at the heart of this national infrastructure project.

Let me ask the Minister a question that I asked during a debate just a few days ago. Where is the promised competition for a standard charging point design—the so-called Hayes hook-ups? I think that that could capture the imagination of the wider public. [Interruption.] Yes —the Hayes hook-ups are named after our right hon. Friend the Member for South Holland and The Deepings (Sir John Hayes).

With better infrastructure will come greater consumer confidence, but the Government should restore the incentives for buyers of electric vehicles that they reduced last year, because they have had some impact. We must be ambitious, and set new targets to eliminate the use of internal combustion engines from our cities by the middle of the next decade. I think that that is realistic. I also agree with something that was said by an Opposition Member earlier: it is important for the Government to give a clear signal to manufacturers, because investment decisions are made within the framework of public policy.

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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I wonder whether the hon. Gentleman shares my excitement about the potential for wave and tidal energy. Will he join me in calling on the Government to step up and offer the kind of support for the sector that could enable it to shift up a gear or two, start commercialising its projects that are so tantalisingly close to realisation, and then not only contribute to the environment changes that we seek but offer our economy many more jobs?

Stephen Kerr Portrait Stephen Kerr
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I agree that no technology should be off the table; all the new technologies and all the existing technologies should be part of the Government’s consideration.

I was talking about the support that I wish to give to the hon. Member for Leeds West in relation to our Committee’s finding that we need to set a clearer and bolder ambition on the discontinuation of the sale of new petrol and diesel cars and vans, the date for which is currently 2040; it needs to be something nearer 2030 or 2032.

The third point I wish to make is about housing, which has already been mentioned by previous speakers. Let me say this as a Scottish Conservative: I know that other Members of the House must sometimes wonder what is going on at this end of the Chamber where my colleagues and I have occasional ding-dongs with SNP Members—all for good reasons I am sure—but the UK Government should follow the lead of the Scottish Parliament. With cross-party support, the Scottish Government have set out a package of measures to upgrade the energy efficiency of homes and commercial properties, including a detailed plan and milestones. Detailed plans and milestones are often lacking in the plans created in Whitehall.

Climate Change Policy

Deidre Brock Excerpts
Tuesday 23rd April 2019

(5 years ago)

Commons Chamber
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Claire Perry Portrait Claire Perry
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I thank my right hon. Friend for his comments, and I would also like to pay tribute to my right hon. Friend the Member for Ruislip, Northwood and Pinner (Mr Hurd), who did so much in this brief before I was lucky enough to take it on. My right hon. Friend the Member for Mid Sussex (Sir Nicholas Soames) is absolutely right: a sense of proportion is hugely important. I can go further and say that not only are we among the leaders, but, according to independent research, we have led the G20 in decarbonising our economy through looking at carbon intensity. Again, this is not to say that there is not more to do; it is to say that it can be done—it can be done in a way that does not jeopardise energy security, and does not put undue cost burdens on consumers or businesses—and that while we know there is more to do, we should take hope from the progress that we have made.

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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May I thank the Minister for advance sight of her statement? I have to say, however, that this statement seems very empty. It appears to be a case of saying something because she has to say something, rather than because she has something to say. It is a reaction to the protests we have seen, rather than a real plan for the future or any indication that there is a real plan for the future.

Since there was no mention of it in her statement, may I ask the Minister: where is the Government’s response to the report of the green finance taskforce? We were promised it in the spring of this year, and surely there should have been at least some indication of that in this statement on the way forward. Where, too, is the response to the comments of the Governor of the Bank of England warning of the economic risks of the low-carbon transition? Will the Government commit to creating a green and resilient pipeline of low-carbon projects, and will she clarify that institutional investors will be made responsible for limiting climate-related financial risks to pensions, savings and investments?

In June last year, the Environmental Audit Committee warned of an “alarming collapse” in investment in renewable energy, and this morning the Minister told us that wave and tidal power had been outcompeted for support. What are the Government doing to address the low investment in renewables? Finally, the UK is set to miss its emissions reduction targets under the Climate Change Act for the fourth carbon budget by 3% to 12%, and for the fifth carbon budget by 6% to 20%. Will she commit the Government to implementing the recommendations of its own green finance taskforce in full, and will she give that commitment today?

Claire Perry Portrait Claire Perry
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As I set up the green finance taskforce, along with my hon. Friend the Economic Secretary to the Treasury, I am absolutely committed to bringing forward many of its proposals. Indeed, we have been making progress on its proposals. We are very lucky—again, it is a source of great success for us—that we have one of the most innovative financial capabilities in the world, and we are really capable of advancing progress in that area. For example, we have set up the green finance institute; there is the green finance strategy, and more details will be coming forward.

The hon. Lady raised the question of wave and tidal, and I just want to clarify that slightly. It is a question of how, if we have a limited amount of money, we are best to spend it to achieve the decarbonisation targets we want with the best value to taxpayers. I believe we have spent almost £60 million on innovation funding for wave and tidal—I will make sure that number is correct, and write to the hon. Lady if it is not—and we look carefully at every proposal that has come forward. I was very pleased to meet the Marine Energy Council, working on a cross-party basis, to see how we might do more to go forward.

Finally, I do not want to nit-pick, but the hon. Lady is citing numbers on the budgets that are simply not true. We are currently at 95% of where we need to be to meet CB4, which ends in 2027, and 93% of the way to meet CB5, which ends in 2032. Importantly, we are bringing forward policies and proposals all the time, including the proposals made in the spring statement, against which we have not yet done a CO2 accounting. As the House knows, I am confident that, with a level of investment, focus and support, we will achieve these budgets. However, that will not be enough to get us to a zero-carbon emissions net target by 2050, which is why we will have to continue to innovate and invest.

Future of the Oil and Gas Industry

Deidre Brock Excerpts
Thursday 14th March 2019

(5 years, 1 month ago)

Westminster Hall
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Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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It is a pleasure to serve under your chairship, Mr Walker.

As has been mentioned, Scotland’s oil and gas industry is a world leader in many areas, health and safety being a notable one. Of course, we know the reason for that and we should pay our respects to the memory of the workers who have lost their lives in the industry, particularly in the Piper Alpha explosion and fire, but also in other incidents, including helicopter crashes, which the hon. Member for Coatbridge, Chryston and Bellshill (Hugh Gaffney) mentioned.

We should acknowledge that other workers have suffered serious injuries over the years while working in the industry. The safety record of North sea operations is better now, but that did not come easily or free of charge. The North sea industry has come a long way since its beginnings in the 1960s and the first gas from the Sea Gem rig, which gave us the first large-scale loss of life three months later. The industry has delivered substantial sums in wages, profits and taxes over the last half century, and it is incumbent on the Government to make a substantive contribution to decisions on the future of the industry, as the Committee’s report lays out.

That should include the transfer of skills to new industries, and it seems to me that renewable energy should be a major recipient of those transferred skills. Offshore wind farms and marine energy schemes would be ideal recipients of those skills. I recently had the privilege of visiting Nova Innovation, which is headquartered only a few hundred yards from my constituency office in Leith, and I was extremely impressed by the advances it is making and the pace of change in the offshore renewables industry. Nova leads the way in the tidal energy industry, and the Shetland tidal array looks like it may be at the leading edge of a new energy revolution. Just as Shetland was important in the development of the oil and gas industry, it may well be important in the development of the next energy industry.

While the Government are developing their future plan for the oil and gas industry, they really should be developing a parallel plan for the future of renewables that offers proper financial support for research and development and for connection to the grid. I have a bit of trouble having confidence in the UK Government to do that, however, given the record of past UK Governments when it comes to the North sea. Regulatory and taxation changes have come abruptly and swept in with very little consultation. Frankly, there is little in the current Government’s approach to legislating that gives me much hope of an alternative way of working.

David Duguid Portrait David Duguid
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Does the hon. Lady, my Committee colleague, agree with me and the testimony of witnesses that locating the Oil and Gas Authority, which is responsible for the regulations, in Aberdeen, close to the action, has already shown benefits and should show more in the future?

Deidre Brock Portrait Deidre Brock
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I agree that that was a definite point of progress and much to be welcomed, but the industry has been going for some 50 years, and some within it would argue that it was too little and almost too late. It is great that that came along, but much more can be done to support the industry.

As I mentioned with regard to improved support, I hope that the Government will surprise me, because the industry still has a lot to offer. The industry has plans to increase productivity so that in 16 years’ time it will be producing an additional £920 billion in revenue—not bad for an industry that we get told regularly is finished.

The scale of the contribution that the industry has made over the years is breathtaking. Scots will be aware of the famous, or infamous, McCrone report that was uncovered in 2005 by a friend of mine, Davie Hutchison, but written some years before he was born, in 1974. Professor McCrone was a UK Government civil servant at the time of writing, when he pointed out that the resources in the North sea were so enormous that they destroyed all the economic arguments against Scottish independence. Recently, Professor McCrone said that he regrets that the UK Government wasted that resource, frittering the income away, rather than investing in a sovereign wealth fund.

Furthermore, the McCrone report was written some years before the biggest discoveries in the North sea. Peak annual production did not come until 1999 and, as we have heard throughout the inquiry, new extraction techniques are increasing the potential recoverable resources even now. With another half century of extraction still possible, and new fields coming on stream in other areas, the industry has a long future yet. The Government need to step up to the plate.

One of the issues that has been mentioned is the protection of the environment and the development of serious carbon capture and storage proposals. Previous attempts to develop such schemes fell foul of Government inaction and broken promises. We need to see some serious commitment to making progress. I once heard about a pilot project, I think in Poland, where the carbon was captured and pressurised only to be driven a couple of hundred miles in tankers to the injection site, possibly defeating the purpose.

Some schemes that have been suggested before may well be capable of revival, and I am sure that more ideas would emerge when asked for. I hope that the Government will open the door to those ideas and help fund them, perhaps even hypothecating some of the revenue gleaned from the offshore industry, which should have gone into a sovereign wealth fund for Scots but is instead frittered away by successive UK Governments. The Government should consider doing a lot more for the environment with the resources brought in by the offshore industry. They could match the Saltire tidal energy challenge fund launched by the Scottish Government earlier this year, or reinstate the marine energy subsidy. If oil and gas were the energy choices in the second half of the 20th century, renewables will fill that role in the 21st century. We urgently need Government investment to make that industry a world leader.

The oil and gas industry is not dead yet, not by a long way. With at least as many years of exploitation left as we have already seen, there is still some way to go. The UK Government should sit down regularly with the industry to help plan the next half century. Vision 2035 is the industry view of the next few years; it would be good to see a UK Government vision or, better still, one agreed by the Government with the industry.

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Douglas Chapman Portrait Douglas Chapman (Dunfermline and West Fife) (SNP)
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It is a pleasure to serve under your chairmanship, Mr Walker. I thank the Committee members and the witnesses for helping to reach the well-considered conclusions and recommendations, and I thank the Chair, my hon. Friend the Member for Perth and North Perthshire (Pete Wishart), for his push to consider matters of real significance to Scotland. If one sector has been a dominant industry in the political discourse of Scotland in the past 40 or 50 years, it has been oil and gas.

Today’s Scottish oil and gas sector is in a strong position. With up to 20 billion barrels of oil equivalent remaining, there is enough to sustain production for the next 20 years and beyond. Recent discoveries such as the Capercaillie and Achmelvich wells by BP, the huge and significant gas reserves west of Shetland and Clair Ridge, and Nexen’s phase two of developing the Buzzard field, demonstrate the significant untapped potential that this industry holds should we wish to exploit reserves.

Figures published in the last week by the Oil and Gas Authority forecast that 11.9 billion barrels will be extracted by 2050, up almost 50% from the estimated 8 billion barrels predicted just four years ago. That is why the Scottish Government are keen to do everything they can to support the industry and its workforce. In 2016, the Scottish Government launched a £12 million transition training fund to help oil workers retrain and make the most of their transferable skills to forge careers in other sectors. Some 4,000 applications have been approved, with training satisfaction at around 90%.

We have helped the Scottish supply chain to capitalise on an expanding decommissioning market that is forecast to reach £17 billion by 2025. The decommissioning challenge fund has offered grant funding of £3.1 million for projects focused on delivering innovative infrastructure improvements and technological advances in this area. As part of the Aberdeen city region deal, the SNP has committed £90 million over the next decade to support the Oil & Gas Technology Centre.

We are looking at an uplift of over £194 million in the enterprise and energy budget to support entrepreneurship, construction and productivity. That additional funding will contribute to an investment of almost £2.4 billion in enterprise and skills through our enterprise agencies and skills bodies.

The Scottish Government offer an impressive range of support for the industry. As we move forward, I hope the UK can step up to the plate and do more to support the industry as it moves into its next phases of production. However, successive Tory and Labour Governments have continually exploited the oil and gas industry for cash, with little regard for its future sustainability. They have been quite content to rake in a tax take of £350 billion from North sea revenues alone over the past 50 years. The Tories failed to deliver any real fiscal support when the sector was in depression after the oil price dropped. I hope that is a lesson learned. This is an extremely important sector for the future, and we need to support it to allow it to continue, maintain jobs and transition out of oil and gas into other areas.

Deidre Brock Portrait Deidre Brock
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On successive UK Governments’ management of the oil resource, I should say that in recent years Norway’s state-owned oil sector has generated many billions of pounds in Government revenue, while the UK has lost many. Does my hon. Friend agree that that points to a gross mismanagement of this valuable resource over many years by successive UK Governments?

Douglas Chapman Portrait Douglas Chapman
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My hon. Friend makes an excellent point. Norway’s population is very similar to Scotland’s and it has a similar ability make good from the resource it found on its doorstep. It now has the world’s largest sovereign wealth fund, yet in Scotland and the UK we have not put anything aside for future generations. That is a huge lost opportunity for the industry and the UK people.

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Lord Harrington of Watford Portrait The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Richard Harrington)
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Certainly, Mr Walker. It is a great pleasure to serve under your chairmanship. The Chairman of the Scottish Affairs Committee referred to you as a distinguished member of the Panel of Chairs. The next time I appear in front of him in a different capacity, I will remind him of that, as it implies that he is less than distinguished. I am sure nobody could say that about him; in fact, Mr Walker, I think you would agree that the opposite is true.

I congratulate the Scottish Affairs Committee and its Chairman on bringing forward the report, which I have read. One never knows what happens with Committee reports behind the scenes—the whole idea, of course, is that that information is privileged to the Committee—but from what I can gather, the Committee is an exemplar in the way that its members work cross-party. With the greatest respect to the hon. Member for Dunfermline and West Fife (Douglas Chapman), the spokesman for the Scottish National party, most of the comments today were of a non-partisan nature. I will try to answer in that spirit.

Ministers in Westminster Hall debates either give a prepared speech—written by civil servants, then checked and rewritten by Ministers—or respond to comments; the difficulty is that so many comments were made today, and I disagree with so few of them, but I will absolutely do my best.

The former Prime Minister referred to this sector as the real jewel in the crown of the UK economy. Of course, I would refer to the former Prime Minister as the jewel in the crown, but he is not here to answer that. I briefly held the energy portfolio, but I am here today because there was a fight of a verbal nature between myself and the Minister for Energy and Clean Growth as to who should appear at this debate. I cover sector deals generally and she covers the oil and gas sector, but we are not both allowed to speak. I discussed the subject extensively with her and I am trying to speak for us both.

When I held the energy portfolio I went on a visit to Aberdeen, and I was amazed by the way the industry was fighting back from a real recession, if not depression, caused entirely by the reduction of the oil price on the international markets. I have not had any experience in oil and gas, but I realised that the cycle was similar to those in the mining sector that I had read about, though I have no experience in mining, either. Once skills disappear, it can be difficult to restart. In mining, as in oil rigs, some sites can become disused, and it is difficult to get them back into action. Exactly the opposite has happened; I was amazed by the way the oil and gas industry fought its way out of the recession, especially given that the core bit—the international commodity price of oil—is completely beyond its control.

To paraphrase some of the Brexit debate—the hon. Member for Dunfermline and West Fife brought Brexit into this, so I felt I should—the oil companies are market takers, rather than market makers. They cannot control the international oil price—the price of what they have to sell. At least, I assume they cannot; nothing I have read suggests that they can. The sector has changed itself into a lower-cost, more nimble industry, which is interesting. Some big companies found that difficult because of their high overheads, but other companies have come into the market, are more nimble and have new sources of cash. I found that fascinating.

On setting a regulatory environment in the oil and gas industry and funding for research and development—that funding can come about in different ways, including from Government—Government’s work has been absolutely brilliant. In these discussions, it is easy to criticise Governments generally, but please do not think I am making a party comment; any sensible Government would have done this. I am pleased to say that we have had a lot of sensible Governments in this country. My comments are not a reason for complacency, though; I hope hon. Members do not think that I am saying that.

I am completely ignoring the speech that I prepared because I was so excited by some of the things that were said. To an outside person, perhaps a reader of the Daily Mail, it may seem as if North sea oil is finished and the continental shelf is clapped out. The exact opposite seems to be the case. I am pleased that the report reiterates that, and that it has been confirmed by hon. Members. There is huge potential. I hope the Government are on top of it.

A formal response to the report will be made in the usual way. However, the major conclusion, as far as I can see, was that a sector deal—a really ambitious one—should be agreed. I absolutely share the Committee’s desire to support the sector; there is a close relationship there.

I will make one comment that might be politely critical, if it is possible to be politely critical, to the hon. Member for Edinburgh North and Leith (Deidre Brock) regarding what she said about the McCrone report. I know one should not talk about drinks party conversations, but I had the pleasure of meeting Gavin McCrone—I believe that is his name—once. I do not think it was quite a formal report. He was a well-respected adviser to different Scottish Secretaries of State, I seem to remember his telling me—if Gavin McCrone is the same person. The way the hon. Lady quoted him, if I may respectfully say so, was a little unfair to what has happened.

On sovereign wealth funds, Norway sounds really great—it is wonderful what it does; it invests billions of pounds all over the place—but it is a little bit selective to say that our money was squandered. First, as has been said, a lot of tax came from it. We have a big economy and a big population. It is not as though the money was spent somewhere else; it was spent for the benefit of everybody in the United Kingdom, so I do not accept the “squandering” point of view.

Deidre Brock Portrait Deidre Brock
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I think we will have to agree to disagree on the benefits or otherwise of sovereign wealth funds, but can I ask about the taxation situation and North sea oil revenues? In 2017, Norway taxed the Royal Dutch Shell company £4.6 billion, while the UK gave the company £176 million. Can the Minister talk a little bit about the implications of those figures? I find them quite staggering.

Lord Harrington of Watford Portrait Richard Harrington
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The hon. Lady has caught me unawares, because I am afraid tax is not one of my specialities; I apologise to her. I will find out about that, and if she would like me to write to her—or we could have a coffee together outwith this place—I would be happy to do so.

I should make some progress, because I am testing the patience of the Chair, and he wants two minutes left over. Trevor Garlick and the team have done a lot for the industry. He has brought a diverse sector together, which is the purpose of our sector deals; previously, most relationships between Government and companies seemed to be based on a few big companies that had very effective lobbying machines and knew the way the Government worked. In the oil and gas sector, he has helped to break that and has brought a lot of things forward.

The leadership has been very good, as have many of the work streams; we have five areas of focus in the report, but it seems to me that work on them is already being undertaken. For example, the National Decommissioning Centre has already been launched, with £38 million in funding. The Oil & Gas Technology Centre continues to lead on new technology and to support MER UK, which I was happy to visit in Aberdeen, on transformative technology. The work on exports that was mentioned is progressing well.

The work streams on other things that are part of Government policy, such as diversity and inclusion as well as CCUS, have developed very well. I was pleased that the Chancellor yesterday called for evidence to identify what more should be done to make Scotland and the UK a global hub for decommissioning, as the Chair of the Select Committee has talked about.

Nuclear Update

Deidre Brock Excerpts
Thursday 17th January 2019

(5 years, 3 months ago)

Commons Chamber
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Greg Clark Portrait Greg Clark
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My hon. Friend is quite right, and he has great experience and expertise in energy matters. We have talked a bit about offshore wind today, but one of the big changes that is taking place in the energy market, and affecting the economics of energy, is in the technologies and ways of working such as demand-side response and storage. We have not mentioned those, but they are contributing to how our energy system can be both more resilient and lower cost than was dreamed possible even 10 years ago.

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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The Secretary of State rightly points to the fact that renewable energy is a Scottish success story, and such events vindicate the Scottish Government’s decision not to join the UK Government’s vision for the UK as a nuclear nation. Will he please outline the Government’s sunk costs in terms of civil service time and any other development costs incurred as a result of this project?

Freedom of Speech: Universities

Deidre Brock Excerpts
Thursday 17th May 2018

(5 years, 11 months ago)

Westminster Hall
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Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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It is a pleasure to serve under your chairmanship, Sir Henry. It is also a pleasure to speak to this report. I commend the Committee for it. It is a very interesting read, and I am pleased to hear that the Minister and the Charity Commission in England will pay some attention to its recommendations. I look forward to hearing the Minister’s speech later.

I was pleased to hear from all the members of the Committee who have spoken so far that they, too, agree that universities should be places of debate and discussion, disagreement and dispute. It is only by disputing the status quo that knowledge moves on, that the sum total of human knowledge is expanded, and that we learn more. Academic freedom, university autonomy and the right of scholars to think and do and say as they will are essential elements of universities. They are indispensable if we want to see universities be universities, and if we want the benefits to society that come from having universities.

The right hon. and learned Member for Camberwell and Peckham (Ms Harman) reminded us of how heated debate has always been part of university life. It certainly figured in my time as a student. Representing Edinburgh North and Leith, I must mention the role that academic freedom and freedom of speech played in the Enlightenment. Those freedoms were so important in incubating the freedom of thought and the rebellion against orthodoxy that underpinned the expansive thoughts of Enlightenment figures. Without those freedoms, we would not have had that Enlightenment, and we would not have the world as we know it today. Free speech has created our world and continues to create it anew.

In that context, I am pleased that universities in Scotland seem to be maintaining those freedoms rather well, and that the Scottish approach to regulation appears to be more effective than the rather heavily laden approach being taken in England. I was certainly pleased to hear from the hon. Member for Congleton (Fiona Bruce) that England’s Charity Commission is now agreeing to reissue guidance. That was certainly something that figured heavily in the report. It is clear that students and university bodies are finding things confusing, to say the least.

Freedom of speech is not an indivisible right. It does not sit alone and gleaming like some immutable, omnipotent deity. It does not exist outside of human interaction or outside of society. There is no free speech without stout defence of it and without rational and reasonable care taken of the privilege. There is no free speech where we allow hate speech. Those repressed by the violence of hatred are not free to speak. Those cowed by hate speech aimed at others are not free to speak. Those practising hate speech are not speaking; they are shouting so loudly that they are excluding other voices. Hate speech is the enemy of free speech, and we should not allow it. That does not mean, however—many Members have made this point—that we should ban speakers we do not like or intimidate their supporters. The example given by the right hon. and learned Member for Camberwell and Peckham was upsetting. It is depressing to think that people think they can force their opinions on others in that way or intimidate them in that way. Masked protesters are no better. Intimidation does not defeat hatred; it inflames it.

Our defence of free speech, and of the privilege of discussing possibly awkward topics, has to be stronger and more open. The report goes a long way towards making that possible, in a way. Our defence against hatred has to be rooted in a society that will not accept it, and in a broadside of opinion that says that tolerance and patience are virtues that we value, and that stand above personal advantage or tribal instincts.

I certainly had great sympathy with what the right hon. and learned Lady said on safe spaces and on free speech in universities. Safe spaces exclude people as much as, if not more than, they protect people. Closing down debate by protest, exclusion or intimidation is censorship by the mob and cannot, in any mind, be the way in which we would want universities to function. Is it really the message that we want the students of today to learn? Do we want to say that the safest way of dealing with ideas that we find distasteful, opinions we dislike and people whose views we find abhorrent is to ignore them, shut them out and think that they will have no further effect on us? That surely would not be a sensible thing for them to think, and I think that there are significant parallels to be drawn with the Prevent legislation since it, too, appears to suggest that bad things will go away if we do not look at them.

It cannot only be me—it clearly is not—who looks at the effects of the Prevent legislation on our universities and questions how effective it is. As outlined in the report, having universities and student unions jumping through hoops to satisfy regulators about events on their premises is hardly likely to be the greatest blow any terrorist group has ever faced. It is only 20 years since the Good Friday agreement was made. That ended the troubles by rational means, and I cannot believe we have forgotten that it was not achieved by closing down debate in universities. In fact, some people might remember that a previous Government sought to deny “the oxygen of publicity”. That was a farcical policy, which did nothing to address the underlying issues.

Vetting the thousands and thousands of speakers who present in universities every year is not a solution, or even a partial one. Cairncross, Blunt, Maclean, Burgess and Philby did not need a “Moscow is swell” event at Cambridge to persuade them. The time and effort spent by universities and student unions on monitoring and adjudicating on events seems to me to be wasted. In my view, positive relationships between communities and public organisations are the key to preventing recruitment and radicalisation. That takes time and effort; it takes years and years of building trust, and it is far too easily destroyed by careless comments and attitudes.

I recommend Scotland’s approach on this to England’s regulators and policy makers. Do it in a spirit of seeking mutual benefit, and that is what you will move towards. To the students, let us say, “Do as you will. Attend meetings or don’t, listen to speakers or don’t, but engage in the debates; think for yourselves. This is a time of your life that, as we all know, passes all too quickly. Suck it in, soak it up, make it count and enjoy it. And in the meantime, tell Government to back off—they always need to be told.”

Taylor Review

Deidre Brock Excerpts
1st reading: House of Commons
Wednesday 7th February 2018

(6 years, 3 months ago)

Commons Chamber
Read Full debate Vagrancy (Repeal) Bill 2017-19 View all Vagrancy (Repeal) Bill 2017-19 Debates Read Hansard Text Read Debate Ministerial Extracts

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Andrew Griffiths Portrait Andrew Griffiths
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My hon. Friend has hit the nail on the head. We can see from the response of Opposition Members that they realise this Government are bringing forward protections for millions of workers. This Government are providing them with sickness pay and holiday pay, and the enforcement needed to make sure that those vulnerable people on the lowest pay get the pay they deserve.

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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When Matthew Taylor came before the Scottish Affairs Committee, he spoke of the inspiration he derived from the Scottish Government’s fair work convention. Will the UK Government be implementing something similar?

Andrew Griffiths Portrait Andrew Griffiths
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I thank the hon. Lady for that question, and for the work that the Scottish Affairs Committee has done. We took a great deal of interest in that work, which raised some very interesting points. She raises the issue in relation to Scotland. Our focus is clear: we are delivering on the commitments—the 52 commitments—in the Matthew Taylor report, and we will be doing so as a matter of urgency.