Oral Answers to Questions Debate
Full Debate: Read Full DebateEd Miliband
Main Page: Ed Miliband (Labour - Doncaster North)Department Debates - View all Ed Miliband's debates with the Department for Energy Security & Net Zero
(2 days, 12 hours ago)
Commons ChamberOur warm homes plan will upgrade up to 5 million homes with technologies such as heat pumps, solar panels and insulation, helping families to lower bills and improve their homes. Last week we allocated £1.8 billion to local authorities and social housing providers to help low-income households and social housing tenants. We will publish further plans following the spending review.
The warm homes plan delivers a welcome uplift in resources for domestic energy efficiency. Failures by Governments, energy companies and local authorities over a number of years have left my constituents paying huge energy costs, with poor connectivity, failure to install smart meters or smart meters not working when they are installed, and not-fit-for-purpose electric heating systems in the Braes villages. Does the Minister agree that the Government must do all they can to end fuel poverty, and will he meet me to discuss how to hold accountable those who are responsible for the ongoing issues in my constituency?
My hon. Friend raises a number of important issues. It is about having a tough regulator in Ofgem, it is about smart meters that work, and it is about every decision the Government take seeking to tackle fuel poverty. That is why I was incredibly pleased that we announced the extension of the warm homes discount to an extra 2.7 million families, with an extra £150 next winter to help families. That is what this Labour Government are all about.
I welcome the energy efficiency measures that my right hon. Friend mentions, which will really make a difference to many families in the future, but what can the Government and energy providers do to help families struggling to pay their energy bills today?
My hon. Friend speaks with great expertise about these issues. She will know that the Minister for Energy Consumers, my hon. Friend the Member for Peckham (Miatta Fahnbulleh), put in place with the energy companies £500 million this winter to help families struggling with their bills. We also want to see Ofgem proceed with the plan to relieve the debts that many families face, because the debt overhang from the cost of living crisis that we saw after Russia’s invasion of Ukraine still blights many families in our country. If we move forward on all those fronts, we can tackle these issues.
I strongly support all efforts to increase energy efficiency and bring down bills. Is the Secretary of State concerned about the potential unforeseen consequences of raising the minimum level of energy performance certificates to C for long-term rented accommodation but not doing so for short-term lets and owned properties? Will that not create an incentive in communities such as ours for people to go to Airbnb or second home ownership, rather than providing affordable homes for local people?
The hon. Gentleman raises an important issue. I believe I am right in saying—I was checking with the Minister for Energy Consumers—that as part of the consultation on energy efficiency, we are looking at the issue of short-term lets, which has been raised in the past. He is right to draw attention to what we are doing here, because this measure, which the last Government proposed and then backed away from—a pattern we are seeing quite a lot at the moment—will take up to 1 million families out of poverty. It is a basic principle: if someone is renting a home and they pay their rent on time, they have a right to live in decent, warm accommodation.
We are driving forward at speed to deliver clean power by 2030. Last week, the Government introduced the Planning and Infrastructure Bill, which will enable the biggest expansion of the grid for generations, sweeping away the connection delays and the queue that held us back for too long under the last Government and reforming the planning system to speed up delivery. We have also laid out for the first time legislation to provide households near new or upgraded pylons £250 a year off their energy bills for 10 years, as part of our commitment to delivering meaningful benefits for communities hosting clean energy infrastructure.
Does the Secretary of State agree that community energy has a vital role to play in the transition to cleaner and greener power? Will he accept an invitation to come to my constituency in north London to visit Community Energy Barnet, which is working on one of the largest community energy projects in the country?
I always like visiting north London, and I would very much like to accept an invitation from my hon. Friend. He makes a really serious and important point about community energy. If we look at Germany and Denmark, we see that they have done much better on community energy than us. Great British Energy has an important role to play in this, and we will say more about that in the coming weeks.
Does the Secretary of State share my concern about reports of persistent misconduct by Drax, regarding cutting down old-growth forest and burning it at its power station? To be clear, this is a company that chops down pristine forest, ships it halfway across the world to burn it in the United Kingdom and claims that it is sustainable. Will he look again at the large amounts of subsidies that have been approved by this Government for that company?
I do not know whether the right hon. Gentleman, for whom I have great respect, was present when the Under-Secretary of State for Energy Security and Net Zero, my hon. Friend the Member for Rutherglen (Michael Shanks), made a statement on precisely that issue. On the impact on bills, he will be delighted to know that under the new arrangements that this Government agreed, there has been an absolute transformation in the scale of subsidy to Drax; it will be halved. There is also a windfall tax when its profits go above a certain level, which I am sure the right hon. Gentleman is in favour of, and there are much higher standards of sustainability. He is right that we should take these issues seriously.
The Conservative party abandoned the economy, the NHS, the justice system and immigration, and now it is joining its Reform collaborators and other climate change deniers in the dunce’s corner. Does the Secretary of State agree that, unlike this Government, who recognise the triple benefit of the 2030 goal—energy security, a transition to renewables, and job creation—the Conservative party has no solutions for 21st century Britain?
My hon. Friend should not be so shy and retiring. He makes a really important point. I listened to the interim shadow Secretary of State, the hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie), on the radio this morning. He made net zero 2050 sound like a target dreamed up by me, but it is not. It was Theresa May, the former Conservative Prime Minister, who legislated for net zero by 2050. The hon. Member was her Parliamentary Private Secretary at the time—he was supposed to be the man implementing it. She set the target because it was the right thing to do, so that we can have cleaner home-grown energy, get the jobs, and protect future generations.
The plans for a green generator at the Peterhead power station in my constituency are shovel-ready, but they depend on approval for the Acorn project at St Fergus. On 12 November last year, the Minister for Industry stated in response to a question from me that more information would be available on the track 2 projects “in the coming months.” Given that four months have passed, can the Secretary of State provide an updated timescale and outline what the next steps will be?
I support the Acorn project; it is really important. For reasons that the hon. Member will understand, the right time to make decisions will be at the spending review in June.
The £21.7 billion of funding to which we committed in October will kick-start the carbon capture, usage and storage industry, supporting thousands of jobs in our industrial heartlands through the east coast and HyNet clusters. We continue to engage with important future projects, such as Acorn in Scotland and Viking in the Humber, and we will make further announcements following the spending review.
As my right hon. Friend will recognise, Merseyside is a clean energy pioneer, a hub of carbon capture and hydrogen technology. The climate emergency is the challenge of our generation, and that challenge will be met only through the collective endeavour of communities across our country, including mine in Wirral West. How are the Government helping our communities to deliver good, local energy projects?
My hon. Friend is entirely right about this. We have learned over the last decade and more that this is the biggest jobs opportunity of the 21st century. Nowhere is that more true than in the investments we are making in carbon capture, usage and storage, and I am confident that my hon. Friend’s constituents will benefit. A couple of weeks ago, the Confederation of British Industry produced an important report that showed that last year, the net zero economy grew three times faster than the economy as a whole. The House should let that sink in, because it tells us that if we turn our back on the net zero economy, we turn our back on business, jobs and investment.
Does my right hon. Friend agree that there is huge potential for carbon capture and storage to play a key role in our green energy ambitions for Scotland? As we look towards the spending review, does he agree that the Acorn project presents an excellent and efficient opportunity to invest in CCUS, and to reduce the carbon impact of industries across Scotland, because it will repurpose existing pipelines?
I congratulate my hon. Friend. He is a fantastic advocate for the Acorn project, of which we are hugely supportive. Track 1 projects were agreed in last year’s Budget—a fiscal event, a fiscal moment—and the Government are considering those projects ahead of the next phase of the spending review, which will come in June; but I do not think that anyone doubts the potential value of the Acorn project, not just to Scotland but to the whole United Kingdom.
No one who cares about the future of our children and our grandchildren will gainsay the importance of carbon capture, but does the Secretary of State not understand that he is undermining that good work—notwithstanding his answer to my right hon. Friend the Member for Hertsmere (Sir Oliver Dowden)—by continuing to subsidise the Drax power station, which is cutting down forests in Canada, turning the wood into pellets, and shipping it thousands of miles across the Atlantic to burn here? That makes nonsense of what he is trying to achieve.
I do not agree with the right hon. Gentleman, for whom I have great respect. The situation that we inherited from the last Government meant that we had to consider matters such as security of supply and how we could secure the best deal for bill payers. That is what we did, and that is why we made the statement that we made on Drax. On longer term, however, the right hon. Gentleman is entirely right. We need to move away from unabated biomass and consider all the possibilities to enable us to move towards net zero, and that is what this Government are doing.
Will the Secretary of State join me in congratulating the six students from Bourne community college who came to Westminster yesterday to present their report on the future of hydrogen storage as a net zero approach to aviation? Does he agree that students engaging with science, technology, engineering and mathematics are excited about the potential of clean power and carbon capture, and that proper funding for STEM in our schools will provide us with the next generation of scientists and engineers who can help us to achieve these goals?
I join the hon. Lady in warmly congratulating the six students from her constituency whom she mentioned. I am sure that I speak for all Members of the House when I say that when we meet young people who are engaged in the potential of clean energy technology to transform our country and our world, it is an incredibly important reminder, both about its potential for jobs, and about our duties to future generations.
The Inter-governmental Panel on Climate Change has made it clear that by 2050, we need to be removing 10 billion tonnes of carbon from the atmosphere every year if we are to stand a chance of keeping below the 1.5° target. It is clear that carbon removal, and not just carbon capture and storage, will play a critical role in our avoiding a climate disaster. In the face of the Conservative party once again embracing climate denialism, what steps will the Government take to support the research, development and deployment of carbon removal technologies to ensure that British companies become leaders in this emerging sector?
I thank the hon. Gentleman for his question. I can tell him that the Minister for Industry held a roundtable with a whole range of industry voices on this precise topic last week. He is right about this issue. There is scepticism about CCS in some parts of academia and elsewhere. All the evidence that I have seen from the Climate Change Committee, the IPCC and others, including the International Energy Agency, is that CCS technology has a crucial role to play on something like 20% of emissions. He is also right to say that carbon removal is the next stage of that journey, and it is something that my Department is heavily engaged in.
For this Government, good pay and conditions for workers and the role of trade unions must be at the heart of the renewable energy sector, because that is the only route to a fair transition. Since we came to office, EDF Renewables has announced recognition agreements with four major trade unions. We applaud it for its decision, and we want others to follow suit. Through the Office for Clean Energy Jobs, we are also working with industry and trade unions to support fair pay, terms and conditions in the sector.
I thank my right hon. Friend for his answer. The Employment Rights Bill is an historic step forward for workers, but these rights must go hand in hand with good jobs. What action is he taking to strengthen the UK’s manufacturing capacity and supply chains to ensure that communities such as mine in Knowsley benefit from the transition to net zero?
My hon. Friend is a brilliant advocate for her constituency, and on this issue of manufacturing jobs. If we look at what this Government are doing—from GB Energy to the national wealth fund and the clean industry bonus—we see that this Government are determined to ensure that we manufacture in Britain. We care about where things are made, and we will make those good manufacturing jobs happen.
Britain produces 1% of global climate emissions. China is the world’s largest emitter, yet no UK Energy Secretary has visited it in eight years to make the case for it to do more. That is why I have been in Beijing making the case for climate action. Engagement, not negligence, is what fighting for Britain looks like. On climate, as on so much else, this Government believe that Britain can only protect our national interests by engaging on the international stage.
The Bacton energy hub in my constituency is undergoing a green transition, which I support because I believe in protecting our natural environment and boosting our economy through net zero—two things the Conservatives seem to have abandoned. Green hydrogen at Bacton needs wind power to be brought in from the coast. Will the Secretary of State help to make that happen, and will he visit Bacton with me to see the potential for himself?
This, among many others, is a very, very important potential project and the hon. Gentleman is right to make the case for it. Green hydrogen is absolutely part of our energy mix in the future.
Last month, with surprisingly little fanfare from the Department or the Secretary of State, the Climate Change Committee published carbon budget 7. Among the more eyewatering recommendations was the figure put on the cost of meeting the obligations: £319 billion over the next 15 years. Frontloading that will be a net cost to industry every year until 2050. Is that exorbitant cost the reason that he cancelled his Department’s review, commissioned by his predecessor, into the whole-systems cost of net zero?
I deeply regret the direction in which the hon. Gentleman is going. The Climate Change Committee does incredibly important work. We will look at CB7, but the biggest cost we face as a country is if we do not act on the climate crisis. That is what would leave hundreds of billions of pounds of costs to future generations.
The right hon. Gentleman might be content with signing our energy sovereignty over to the People’s Republic of China, and he might be happy with his Government’s arbitrary targets and bans, pushing bills up and leaving us more reliant on importing and costing jobs, but we think it is time for a new approach, as the Leader of the Opposition said this morning, focused on security and cost to the consumer, not pie-in-the-sky targets with no plan to reach them. Will he recommission the review into the whole-systems cost? If not, what is he trying to hide?
It is the Tory party that has an energy surrender policy: surrendering us to fossil fuel markets controlled by petrostates and dictators. The Tories would keep us locked in to fossil fuels, threaten billions of pounds of investment in net zero and leave our children and grandchildren a terrible legacy. That is the Conservative party in 2025: anti-jobs, anti-growth, anti-business and anti-future generations.
In the recent advice for its seventh carbon budget, the Climate Change Committee highlighted the urgency of ensuring cheaper electricity so that households can transition away from gas heating. When will the Government act to improve energy security and reduce costs for the households seeking to adopt low-carbon heating by reforming policy costs on energy bills?
As we discussed earlier, the CCC raised an important issue that we need to look at. The key question on this so-called rebalancing is that it must be looked at in the context of understanding the principled case, while also ensuring that if we go down that or another route, we do so in a way that is fair. That is the work that my Department is engaged on.
Yes, that sounds really good. Community energy is a crucial part of our energy future.
The right hon. Gentleman and I do not necessarily agree on everything, but on this we do agree. The transformation of the West Burton site from a fossil fuel-fired power station to a fusion power plant is an incredibly exciting project, and we should all be battling for it.
The hon. Gentleman raises a really important issue. Rolling out electric car infrastructure is incredibly important. If he writes to my Department, we will ensure that he gets the best possible reply.
Will Ministers consider exercising the community electricity right within the Infrastructure Act 2015 to require commercial renewable energy developers to offer communities the opportunity to part-own schemes developed in their area?
My hon. Friend raises an important matter. As an energy nerd, I am really interested in this 2015 power, which, despite my nerdery, I did not actually know about. We are actively looking at this really important power, which was put in place by the previous Government.
In response to a written question to me last week, the Minister confirmed that no nationally significant infrastructure projects have been consented to that will use greater than 50% best and most versatile agricultural land. In my constituency, the East Park Energy solar farm is close to 75%, but the overarching national policy statement for energy states at paragraph 5.11.34:
“The Secretary of State should ensure that applicants do not site their scheme on the best and most versatile agricultural land without justification.”
Can the Minister confirm whether nearly 1,500 acres of best and most versatile land is too much good-quality agricultural land to sacrifice?
The hon. Gentleman will know that any nationally significant project goes through a proper planning process, and it would not be right for me to comment on that. None the less, I am sure that the decision makers will be looking closely at the issues that he has raised.
Although the Leader of the Opposition thinks that achieving net zero is impossible without “bankrupting us”, investment in low carbon energy for communities such as Severn Beach in my constituency could create valuable skilled jobs. What steps will the Government take to ensure that the area around the River Severn will get the investment that it needs to realise its potential?
The hon. Lady is absolutely right on that. The Opposition are off to the “Wacky Races” when it comes to net zero. We in the Labour party know the truth: net zero is the economic opportunity of the 21st century and, under this Government, we will seize it.
Carbon capture, utilisation and storage is the central plank of the Humber 2030 vision. Does the Secretary of State have any plans to meet the Humber Energy Board, and if he does not will he join me in doing so?
Requiring developers to include solar panels in all new homes and buildings would be extremely popular with the public and help deliver net zero targets. Can the Secretary of State give an update on his discussions with the Secretary of State for Housing, Communities and Local Government, including those on mandatory solar as part of the future homes and buildings standard?
The hon. Gentleman raises an important point. We are actively working on that in government. Whatever one’s view on ground-mounted solar—we in the Labour party think that it has a role—we do need solar panels on rooftops. It is an important opportunity. While we are about it, perhaps the hon. Gentleman can start supporting our plans on planning and infrastructure so that we can build the clean energy infrastructure that we need.
The Secretary of State will be aware of the ongoing work to deliver new nuclear investment in Hartlepool. Billions of pounds are on the table, which will mean jobs and skills for generations to come. Will he meet me to discuss how we can get this deal over the line?
New nuclear is an essential part of our future energy plans. My Ministers and I would be absolutely delighted to meet my hon. Friend to discuss those plans.
I welcome the warm words from the Secretary of State earlier about the Acorn project. How confident is he that the Chancellor is listening?
I speak as an old lag in these things: we have never had a Prime Minister and a Chancellor so enthusiastic and committed to the net zero agenda and what it can do economically for our country. The right hon. Gentleman should take heart from that.
Teesside is seeing thousands of jobs coming on stream in carbon capture and storage, but the Conservatives’ new energy policy would put those jobs at risk. Will the Secretary of State restate his commitment to this industry, and will he work to establish a Europe-wide CO2 market to bring investment and jobs to our region?
My hon. Friend puts it so well. This is the economic opportunity of our time. Our investment in carbon capture and storage shows what is possible. Today’s desperate request for attention from the Opposition is anti-business, anti-jobs, anti-growth, anti-investment and the wrong choice for Britain.