Offshore Wind Contracts

Debate between Graham Stuart and Ian Liddell-Grainger

Tuesday 12th September 2023 Commons Chamber

[Graham Stuart]

I do not quite follow the second part of the hon. Gentleman’s question, but I am happy to write to him on that topic.

[Mr Ian Liddell-Grainger (Bridgwater and West Somerset) (Con)]

West Somerset, as the Minister knows, is ideal for offshore wind. I am interested to know why people did not bid in this round. What were their reasons? What can the Government do to learn the lessons of this round so that people like my hon. Friend the Member for North Devon (Selaine Saxby) can make sure that people are bidding in the next round?

[Graham Stuart]

We typically set out the key auction parameters in November, and those include the ceiling of what we will pay for particular technologies. We do that based on our analysis of supply chain costs, and we also commission external analysis. The most important data of all comes from individual auction rounds, and it is on that basis that we set the price parameters. The industry warned us, as it does every year, that it wants us to pay more. We always have to make a judgment call between making sure that we minimise—[Interruption.] It would be so much easier to give my answer, Mr Speaker, if the right hon. Member for Doncaster North (Edward Miliband) would stop—

Local Government Funding: Rural Areas

Debate between Graham Stuart and Ian Liddell-Grainger

Monday 11th January 2016 Commons Chamber

[Mr Ian Liddell-Grainger (Bridgwater and West Somerset) (Con)]

Let me give a practical answer. My area includes Hinkley Point C nuclear power station, and wants to take a view five years into the future on business rates retention. At the moment, however, we cannot do that. We do not know what we are going to get. My hon. Friend is absolutely right about the damping down, because we are not capable at the moment of doing the forward projections in the Sedgemoor area. Does he agree?

[Graham Stuart]

I do. As the system comes in, there will be equalisation, and because of the different dynamics at work and despite the righteous principle—on this side of the House—in believing people should be incentivised to do the right thing and then keep the money, there will almost inevitably be a revisiting. If it turns out that someone’s huge shopping centre is going to be closed, the idea of them being left with no money is preposterous; similarly, if a huge bounty comes someone’s way, it is pretty likely that the Government will do what Governments have always done and raid it.