Energy Grid Resilience

Harriet Cross Excerpts

Wednesday 30th April 2025 Commons Chamber

[Hon. Members]

Hear, hear!

[Harriet Cross (Gordon and Buchan) (Con)]

Thank you, Madam Deputy Speaker—I think we can all stop that now.

Centrica operates the Rough gas storage site, which provides about half of the UK’s current gas storage capacity. Centrica stands ready to invest £2 billion of its own capital to redevelop Rough into the largest long-duration energy storage facility in Europe, capable of storing both natural gas and hydrogen, which would improve resilience and protect customers from price spikes. To unlock this £2 billion, the company needs assurances and clarity from the Government, not least over regulatory support and a workable cap and floor mechanism. Will the Minister set out what progress has been made in discussions with Centrica to develop this cap and floor mechanism? Given that the Government can make decisions quickly when they choose to, as we saw with British Steel, why has a decision on this mechanism been allowed to drag on for months?

[Michael Shanks]

I congratulated the hon. Lady yesterday on her remarkable marathon; I think she ran it two hours faster than I did, which leaves considerable room for improvement on my part, but congratulations to her again. She is right to raise this point, and I have answered questions on it before. I have met Centrica on several occasions to discuss various things, including that proposal, but it is a commercial matter for Centrica to bring the proposal to us. The Rough storage facility, which we last talked about in this House a few months ago, was mothballed for a number of years under the previous Government. We are looking in the round at the role it could play in energy security and at the value-for-money arguments. We want to ensure that value for money for the public is protected alongside the security of energy.