Fracking: Local Consent

Debate between George Freeman and Kerry McCarthy

Tuesday 15th November 2022 Westminster Hall

[George Freeman]

I hear the hon. Member; she has made her point and put it on the record. I am slightly adverse to the idea that we put into legislation every single thing that we are not going to do. We would be here an awfully long time to reassure everyone. I am not sure that that is a sustainable way for Parliament to proceed. The Prime Minister made it clear through the written ministerial statement to the House, and the sector and community generally have understood that the idea mooted in September is now dead and buried, and we will not go back there.

I turn to the important point regarding local consent, which a number of colleagues have made. There is little I can say about pockets of local consent in particular areas. With regard to the situation in North Shropshire, in response to which the hon. Member for North Shropshire partly brought forward this debate, the licence for fracking that would potentially impact the Market Drayton and Whitchurch area is an indicative licence. No work has been done and no application for work has been received. In the light of the announcement of the return to the 2019 position, it is difficult to envisage any situation in which that licence could be of any use. I reassure her that we are not expecting any activity in that area.

We all—and the Government certainly—recognise that community support is important. We generally want planning to be something that is done through and with local communities, not to them. Some sort of balance is always required. Obviously, there is a huge difference between a loft extension and the siting of a huge piece of critical national infrastructure. However, a good developer will and should always engage with the local community and listen to real concerns.

I have seen consultations in my area where concerns have been expressed but have not been listened to or reflected in the proposals, and no change has been made to anything that was promoted. That often drives the view of sham consultations, in which people are not being heard. We need to be wary of assuming a one-size-fits-all approach would work for local support. Difficult though it is to see how this would take off, we have left open the possibility that if an area—north, south, south-west, Scotland or Northern Ireland—found itself sitting on an easy and geologically stable opportunity to exploit shale gas and came to the Government with strong local consent, strong environmental data and a strong business and environmental case, the Government would consider it. That is very different from us setting an ambition and encouraging this industry around the country.

My constituency is home to the first two major substations, connecting the first two offshore wind farms in the southern North sea. As the local constituency MP, I watched as the scheme promoter came forward with a proposal for a substation, which I naively thought 10 years ago was a thing the size of a shipping container that hums behind a yew bush, but this thing is the size of Wembley stadium and its proposed location was on top of a hill, so the whole of Norfolk could see this huge piece of industrial development. I was not against hosting the substation in Mid Norfolk, but through decent consultation with the company, we ended up siting it in low-lying ground, out of sight, with minimal light and visual impact.

For our thanks, we have had another one; we now have two next to each other in Mid Norfolk. It is critical infrastructure, although if we were better connecting all the offshore wind farms, we could reduce the need for individual substations and cabling all across the Norfolk and Suffolk coast. The Minister for Climate is looking into that, because it would support the infrastructure for trading out of the southern North sea. I have seen at first hand that communities are often not properly consulted. As other hon. Members have said, without in any way opening up the risk of community benefit creating an opportunity for some sort of inappropriate payments to buy consent, I believe it is important that when a village is hosting two vast pieces of national infrastructure, it might get a park bench or some swings or something from the developer, which is making a huge amount of money.

There is a difficult balance to strike, but we all know good consent and good consultation when we see it. We know when a company is listening and when a community has been properly heard. I do not think that has been the case often enough and I am delighted to have the chance to put that on record.

[Kerry McCarthy]

I thank the Minister for giving way and engaging so much in the debate. There are question marks around where the Government are going with planning. I believe investment zones have been dropped, but I am not sure where we are on fast-tracking things, and bypassing planning permission and local consent. I will leave that for another day. What I want to ask him is this: I understand what he said about a hypothetical situation where fracking was proven to be safe, the local community wanted it and so on, but why is that not the case for onshore wind? If a local community would clearly benefit from onshore wind, why are they not allowed to have it?

[George Freeman]

I do not want to steal the thunder of my ministerial colleague, my right hon. Friend the Member for Beverley and Holderness, who is looking at that issue right now. The pandemic and the war in Ukraine have revealed that we are exposed on a number of our food and agricultural supply chains. We need to get the balance right between covering far too much of our agricultural land and equally making sure that where communities can carry industrial sites, we have the right incentives in place.

--- Later in debate ---

[George Freeman]

I am not sure it is a myth; it is a mixed bag. There are areas where solar has been deployed very effectively, with happy sheep grazing around it and very little reduction in the productive capacity of land. I do not want to stray beyond my brief—I am not the Minister with responsibility for energy—but equally there are in my part of the world, in the east of England, proposals for huge, industrial-scale solar on good productive farmland. In the spirit of the question from the hon. Member for Strangford, I think a lot of people are worried about those proposals.

[Kerry McCarthy]

I was asking about onshore wind, not the solar issue. With solar, there is the question of how the Government classify the best and most versatile—BMV—land. I totally agree with the hon. Member for Strangford that genuine BMV land should not be used for anything other than growing food, but I asked about onshore wind. Onshore wind does not always need to be put on farmland; there are lots of other potential sites.

[George Freeman]

The hon. Lady makes a very important point. In some ways, the two are linked, because there are plenty of examples of deployment of solar and wind onshore that do not undermine the productive capacity of land or the attractiveness of the area. Opinion polls show that if they are properly deployed in the right areas with the right consultation and consent, onshore measures can be popular. My right hon. Friend the Minister for Climate is considering whether there is more we can do to tackle this short-term energy crisis in a way that does not create a problem for us downstream.

I should wrap up; I have strayed beyond my core brief as the Minister for science, research and innovation. Let me close by giving all those watching this debate around the country clear reassurance that the Prime Minister, the Cabinet, the Government, the Secretary of State and the Minister for Climate have taken us back to the position set out in our 2019 manifesto, of which I was proud: an effective moratorium on fracking. We have made it clear that Ministers are not looking to open up fracking to support the crisis in our energy sector. I hope that message goes forth, loud and clear around the country, to those who were understandably worried back in September. They no longer need worry about that at least.

Oral Answers to Questions

Debate between George Freeman and Kerry McCarthy

Tuesday 29th March 2022 Commons Chamber

[George Freeman]

I am delighted to explain how Scotland can benefit from our renewables programme: the North sea transition deal, the net zero hydrogen fund, the industrial energy transformation fund, £20 million ringfenced for Scottish tidal, £40 million for carbon capture and storage, and £27 million for the Aberdeen energy transition zone. Frankly, we need fewer complaints from the Scottish nationalists and more support for the Scottish energy sector.

[Kerry McCarthy (Bristol East) (Lab)]

It is a little disappointing that the Minister could not just give a straightforward no to the question from the hon. Member for Lincoln (Karl MᶜCartney). Moving on, however, there are more than 600 wind and solar projects in the UK that already have planning permission. Will the Government admit they made a mistake in stopping the development of onshore wind, and fast-track those projects? They already have planning permission and are ready to go ahead. They are the answer to meeting our energy needs in the future.

[George Freeman]

The evidence suggests that the UK is the fastest economy in the G7 in deploying renewables. Offshore wind costs have fallen by 60%. Of course, everyone can do more, but I do not accept the criticism that we have not been in the vanguard; we have been, and we are, and offshore wind and solar have been fundamental to reducing the cost of renewables. That is the best support against rising energy prices.

Fuel Prices and the Cost of Living

Debate between George Freeman and Kerry McCarthy

Wednesday 16th March 2011 Commons Chamber

[Kerry McCarthy]

I am sorry, but I have no time to allow any more interventions.

We heard today that unemployment has now risen to more than 2.5 million. Another 27,000 people have been added to the dole queue in the past three months. Those who are in work find their income squeezed by the rising cost of living, with inflation surging over 5%, but average wages growing by just 2.3% and many in the public sector facing a cut in real terms. People are struggling to make ends meet.

This month, the Office for National Statistics added iPhone apps and online dating fees to its RPI shopping basket—I am not sure what was in its RIP shopping basket. The ONS believes that essentials such as food and fuel now make up an increasing proportion of the average family spend. Of course, we have heard today that the price of fuel is rising fast. A litre of fuel is now £1.32, which is up 7p from the beginning of the year. That is an extra £80 for the average driver.

We accept that the Government cannot control the price of oil. We understand that the turmoil in the middle east and north Africa is having an impact on global prices. However, the Government are not powerless. They have a choice. They could choose to help working families get through the tough times, or to carry on regardless down their reckless path of cuts, which are too fast and too deep, slashing support for families and putting the recovery at risk.

The Government have made the wrong choice. The Chancellor chose to raise VAT to 20%, which hits low and middle-income families hardest and has pushed up the prices of fuel, energy and food and, as we have heard, has hurt businesses, too.

[George Freeman]

Will the hon. Lady give way on that point?

[Kerry McCarthy]

I am afraid that I do not have time.

Before the election, when a litre of petrol was 12p cheaper than it is now, the Conservative party said that it would consult on the fair fuel stabiliser. It said that it would ensure that families, businesses and the whole British economy were less exposed to volatile oil markets. The Prime Minister said that he would help with the cost of living by trying to give a flatter, more constant rate for filling up the car. The Chancellor said that that would be delivered in the Government’s first Budget. It was not. Conservatives led voters to believe that they could and would act. However, we now face the exact problem that the policy was designed to prevent. Rising oil prices have pushed up fuel prices at the pump beyond £6 a gallon, yet there is no sign of the fair fuel stabiliser. Not only that, but the Government have added nearly 3p to the price of a litre of petrol with their VAT rise this year.

The Government need to come clean about whether they will move ahead with the stabiliser and answer the criticisms of a host of commentators, who said that the idea would never work because rising oil prices do not necessarily lead to higher tax revenues. They include the Office for Budget Responsibility, the new head of which said that its analysis suggested that a fair fuel stabiliser was likely to make the public finances less rather than more stable, and the Institute for Fiscal Studies, which said that the claim that the Treasury receives a windfall gain that it can share with motorists when oil prices rise is incorrect. Even the Secretary of State for Business, Innovation and Skills said before the election that the fair fuel stabiliser would be “unbelievably complicated and unpredictable”.

The Government are no closer to introducing the fuel duty stabiliser now than they were a year ago. Rather than teasing the public and dangling the prospect before them, the Government need to nail their colours to the mast and tell us what they intend to do. Labour believes that the Government should reverse their VAT rise on fuels and reconsider the fuel duty escalator rise, which is due in April. In government, Labour often postponed fuel duty increases when oil prices were rising and families felt the pinch. It was clearly the right thing to do then and we urge the Government to reconsider now.

Obviously, there is a balance to be struck between raising revenue and ensuring that ordinary people who are trying to get on with their lives—earn a living, get the kids to school, get to work on time—are not unfairly penalised. For some, driving is a choice and they can cut down on their journeys when petrol prices increase, but what about those who rely on their cars every day and do not have the option of using public transport because the bus and rail services simply are not there, or those who run small businesses, or the self-employed who need to run vehicles as part of their work?

Ordinary working people did not create the global economic crisis; it began in the financial sector. However, under this Government, it is ordinary working people who are paying the price. The Government are taking away more money from families with children than they are asking for from the banks that caused the problem in the first place. The bank levy is expected to raise £2.5 billion, but the last Budget and the spending review took nearly £5 billion from families with children through cuts to child benefit, child tax credits and other measures. The Government have refused to repeat the bank bonus tax that Labour introduced last year, which raised £3.5 billion and could be expected to raise another £2 billion this year.

We believe that the bank levy, which is expected to raise £800 million more this year than was originally predicted, could be used to pay for a reversal of the VAT rise on fuel. That would be the right thing to do: helping people when times are hard, getting the economy moving again and asking the financial sector to pay its fair share. Asking ordinary people to pay and hitting them where it hurts most is the wrong choice. Government Members can try to pass the buck and blame the EU for their failure to act, but the fact is that they have a choice. They could choose to help ordinary working people in the Budget next week. I urge Members to support the motion.