(2 years, 9 months ago)
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It also has a good golf course—I thank my hon. Friend and neighbour. It is genuinely a really gorgeous town, so why is it that it cannot attract anyone to take on the NHS dentistry contract that is available? As my hon. Friends have pointed out, one of the reasons is that we have no training facility—not just in Norfolk or Suffolk, or even in Cambridgeshire or Bedfordshire; the nearest is in London. People have to go up to Birmingham or to London.
When we are trying to persuade young dentists to set out on their professional life in a certain place, moving to a rural or small town is not automatically attractive to them. We have to encourage people via training, and we know from our experience with the medical provision at the University of East Anglia and the Norfolk medical training in Norwich that someone is much more likely to stick around afterwards in the place where they train, because they have established relationships, they have contacts in the community—and, frankly, they know what great places Fakenham and other parts of Broadland are. One of the primary reasons I wanted to speak today was to encourage the Minister to consider the provision of a dental training facility in the east of England.
I will leave it to others who are much more professional than I am to comment on how we properly reform the 2006 NHS contract, save for saying that we need to treat dentists with respect. It is not all about money; it is about how we treat people. And please can we have some training in Norfolk?
(3 years, 11 months ago)
Commons ChamberI thank my hon. Friend for his intervention. The answer is that there are many different ways that we could approach it. The simplest would be to choose the five or six key carbon-heavy industries and start with them. As we get more knowledge of how to implement this kind of scheme, we could spread out to the wider economy. I suggest that the best way to do that would be to look at the carbon-emitting credentials of the energy market in the third country and assess in broad terms what its carbon contribution is. For example, in China, the coal contribution to the energy mix is between 70% and 80% and we would use that as the basis for the carbon contribution of its imports. When we get a bit more sophisticated, we could look at giving rebates to individual businesses that can demonstrate that they have a low-carbon approach despite the high-carbon attitude of their country as a whole. That would benefit behaviour and would not be protectionist, but would merely be a fair assessment of the carbon cost of transactions.
Moving on to energy, we naturally assume that we create all the energy that we use in this country domestically, but that is not the case. On average, we import, via undersea interconnectors, about 7% of the electricity that we use in this country. Members may recall that, last May, we trumpeted in the press that we had a two-week period in which we were coal free. We had coal-free electricity for two weeks. That was very exciting, but what the newspapers failed to mention was that, during that two-week period, we imported from Holland 40 GW of coal-fired electricity. The reason that we did that was not that we lacked generating capacity in the United Kingdom, but that it was cheaper to import coal-fired electricity from mainland Europe than it was to use our own. The reason why it was cheaper was that it was entirely tax-free, whereas we imposed a carbon tax on the generation of our own domestic electricity. Unbelievably, we actually incentivise the importation of high-carbon coal-generated electricity at the expense of our domestic manufacturing processes. How can that be right? A border carbon adjustment would sort that out in a jiffy.
What single better way is there to forward this Government’s levelling-up agenda than by putting in place the economic conditions for the market to want to re-industrialise in the UK, and all that with no need for Government subsidies. In fact, not only does it not require Government subsidies but it will actually produce an annual windfall for the Treasury year after year. Working out how big that windfall might be has a number of imponderables in it, but the Grantham Research Institute of Climate Change and the Environment has produced a report on this and, again, using the assessment of a carbon price between £50 and £75 a tonne, starting in 2020 and working up towards 2030, it assessed that the gross amount that the Treasury could recover under this process would max out at £36.7 billion a year. I stress that that is the gross amount. Members may well take the view that, rather like VAT, this is a tax that is consumer based and would impact poorer households disproportionately as a percentage of their gross income. The Government might very well want to use some of that £36.7 billion to cushion the blow and to make it more acceptable for lower-income families, perhaps by investing in insulation for their houses or other measures.
My hon. Friend is making a fascinating speech—despite starting off talking about sheep, he has managed to keep everyone’s enthusiastic attention throughout. A lot of emissions-intensive British industries will already find it difficult to compete in the global marketplace. As we begin to encourage the use of carbon capture and clean hydrogen by heavy industry, they will face higher production costs. Would a border carbon adjustment enable heavy industry to decarbonise while preventing job losses, and is that something the Treasury would also find attractive?
My hon. Friend has hit the nail on the head, because one of the key benefits of a border carbon adjustment is that it would allow us to decarbonise, and allow our heavy industry to accept the pain of higher energy costs, therefore letting the market work in our domestic market to incentivise the development of lower-carbon technology, while at the same time protecting it from being undercut by countries that are taking a little longer to go on the low-carbon journey.
We are not going to be spending money; we are going to be making money. That money could be used as the Treasury knows best. It does not mean that the money is taken out of the economy, because it could be put straight back in—in productivity-enhancing tax cuts, I hope, but that is up to the Treasury.
Best of all—I have saved the best till last—by freeing up the ability to price domestic carbon emissions at a realistic, behaviour-changing level, we can unleash the magic of the free market to seek out the most efficient solutions to low-carbon production. We do not need the Government to pick winners and subsidise industry once a market is working properly. Give a price to carbon, and that is exactly what we will create: a many-headed monster of innovation, entrepreneurialism, dynamism and efficient, productive capital growing our low-carbon future.
This future, if we are brave enough to embrace it before other nations, rather than just following, and if we are bold enough to allow the reshaping of the economy by demand rather than by direction, will equip our industry as leaders in low-carbon manufacturing. They will be leaders because they will be swimming in their natural element, whereas their international competitors will still be struggling to react to the short-term Government green initiatives and schemes that we all currently suffer from. It is a lead that could generate exports and growth in this country.
What is stopping us from delivering on the Prime Minister’s vision of a low-carbon, dynamic economy? Some worry about a protectionism challenge at the World Trade Organisation, but with a BCA applied in an open and transparent manner, nothing could be further from the truth. This policy is about removing unfair competition, not creating it. In any event, WTO rules expressly allow for tariffs whose purpose is to protect
“human, animal or plant life and health”
or
“to conserve exhaustible natural resources”.
Those are two exceptions tailor-made for this kind of tariff.
More practically, if the UK were to join the United States of America, our friends in the European Union and other countries to establish the principle of BCAs at COP26, that would be a game changer, because that would ensure their practical acceptance. Others worry that putting forward such an ambitious proposal at COP26 runs the risk of failing to achieve the consensus that would allow the PR men to claim a stunning success. It might, but the risk of failure is the price of ambition, so should we give up on our ambition? Of course not.
(4 years ago)
Commons ChamberMy hon. Friend makes perhaps one of the most important points I am about to come on to. He is absolutely right that as our growth has become almost exponential, we have had to tackle the problem of infrastructure and find that better way. We will come on to that in a moment, but first of all I just want to highlight some of the problems that that presents for my communities and the communities of my hon. Friends the Members for Broadland and for South Suffolk.
I have said before that it is about the rate of growth. Because of the rate of growth at the moment, communities are blighted by the invasiveness of connecting these mammoth pieces of infrastructure to the transmission grid. I have said many times—for the record, I still believe it—that I am lucky enough to represent the most beautiful constituency in the country, which is my home of North Norfolk. An increasing number of offshore wind projects are being granted in similar locations within my constituency, breaking land and sharing cables routes that go through my countryside. My communities, such as Weybourne and Happisburgh, which I am sure some of my hon. Friends know well and have holidayed there, are seeing year after year of destruction to their communities as cable routes tear through villages, communities and farmland.
I congratulate my hon. Friend on securing this important debate. Does he agree that, although cable corridors call to mind something rather minor, they in fact run a 100-metre corridor through whatever is in front of them, whether it is the environment or local communities?
My hon. Friend is right, and he highlights another important point. It has been a privilege to serve in this place since December 2019. Since then, we have held many meetings with—
My hon. Friend is absolutely right. I know that she has an equally beautiful constituency; perhaps we should do an exchange programme one day and view each other’s constituency. She makes an important point: wind energy is just one part of the jigsaw of how we decarbonise and create enough green energy. There will be other forms of energy that are part of the mixture that will help us to decarbonise by 2050. We are lucky in Norfolk and Suffolk to have an enormous amount of wind energy off our coast, but there are many areas around the country with leading initiatives that are helping in the fight to tackle climate change.
The point I want to highlight, and the reason why this debate is so important, is what these cable corridors are leading to. They are causing major environmental damage, as wildlife habitats and agricultural land are dug up multiple times. Nutrient-rich land is sometimes irreversibly damaged from the disturbance caused, and many farmers report poor crop growth along cable routes—much worse than before those cables were put into the ground—caused by the disturbance of the digging. Communities also suffer great socioeconomic damage from the disruption and upheaval caused. For businesses that are along cable routes, there is disturbance, including from heavy goods vehicles and traffic for many months—sometimes up to a year—while these trenches are being dug. It causes enormous problems for these small, often rural communities in my part of the world.
My hon. Friend has already made mention of the beautiful village of Cawston in my constituency and the neighbouring village of Oulton. Does he agree that when we look at the socioeconomic impact of these cable routes, it is wrong to look at them in isolation? In the case of Cawston, for example, there are no fewer than two routes crossing each other in the same community, yet we have individual planning applications. Does he agree that a more integrated approach dealing with all the infrastructure requirements for offshore wind should be taken?
My hon. Friend is absolutely right. He makes a hugely important point: we have places that are seeing multiple crossings of cable routes. Of course, what we should be doing is looking ahead with some vision about what is coming in.
Again, my hon. Friend hits such an important point. We touched on this at the very beginning when we talked about the ability to create energy security for ourselves. Where else do we produce a solution in which we could actually end up exporting energy? We will be a sovereign nation—we are a sovereign nation again—and the ability to have that security but export excess energy to other countries in Europe is almost a no-brainer. I know that he has very close links to the Chancellor, and I am sure that he, too, is watching this speech and that his eyes will light up at the potential export opportunity and income to the Treasury.
The integrated technology is reasonably available, but a key way to unleash the new system is through the use of HVDC circuit breakers. As we heard very recently, some of the technology is already available. Some is being developed. We are very much at the cusp of this.