(1 year, 7 months ago)
Commons ChamberThe Government invest £5 million a year in the local net zero hub programme. We have established the UK Infrastructure Bank, with an initial £12 billion of capital, for the twin goals of tackling climate change and levelling up, and it includes a specific loan facility for local government to deliver net zero. We are looking at other ways of enabling and encouraging local authorities to do more. The details of a devolution deal for retrofit pilots in Manchester and the west midlands will soon be worked out, and I look forward to that being pioneered.
One risk to net zero is the delay in grid connections. The Chair of the Environmental Audit Committee wrote to the Secretary of State recently to highlight the problem of speculative applications for connections. These are applications that do not yet have planning permission and many never get it, but are clogging up the queuing system. What can be done to fix that?
The right hon. Gentleman, as so often, is absolutely right; this is a real issue. We have Nick Winser working on the transmission system and he will report next month. On the distribution level, to which the right hon. Gentleman refers, we will be coming up with a connections plan later this year and working with Ofgem to make sure that we have a system that weeds out projects that are clogging up the system and yet will never be delivered, and make sure that the ones that can be delivered get to the front of the queue.
(1 year, 8 months ago)
Commons ChamberI thank my right hon. Friend for his question. He shares my enthusiasm for leading the world in meeting our net zero challenge and, by doing so, developing technologies and then being able to export those solutions. He is right to highlight issues following the Inflation Reduction Act in the United States, and making sure that in the negotiations with the US and other partners, critical minerals and other issues are dealt with. We are engaging solidly and I know my right hon. Friend was in Japan only last week, talking to Secretary Kerry about that point.
In 2021, approximately 60,000 heat pumps were installed in the UK, compared with 1.5 million gas boilers. According to the European Heat Pump Association, we have the lowest number of heat pumps installed in the whole of Europe, relative to population. What more can the Government do to change that?
The right hon. Gentleman is absolutely right that the decarbonisation of heat remains a major challenge and we need to do more. With the launch of “Powering up Britain”, on which I made a statement to the House just before the recess, we are using £30 million of Government money to leverage £300 million in private investment, but I agree that we need to do more to change the trajectory if we are to meet the target of 600,000 heat pumps a year by 2028.
(1 year, 10 months ago)
General CommitteesI thank my hon. Friend for his point, which I am sure has been received deep in the heart of officialdom. That is exactly what the Committee is here for: not only to scrutinise the regulations, but to make sure that we are better able to scrutinise further regulations in future.
Further to that point, the impact assessment talks about the £2 billion to £4 billion maximum ceiling. Of course, we do not expect all those businesses to require support at the maximum level. Will the Minister clarify who is going to determine how much support an individual business gets? Is it according to a formula?
It is about taking the individual circumstances and then applying to those circumstances the principles that we have laid out for this support. That is not as transparent an answer as the right hon. Gentleman would probably like, but that is fundamentally where we are. We have laid out the principles of the scheme and the principles behind our support. We then have to interrogate the specific circumstances, which turn out to be many, varied and complex.
Some people are partly involved in energy generation to some extent, and we want to make sure that we do not double subsidise those in that space. Equally, we want to recognise the complexities if they have had increased fuel costs or other costs coming through. Wrestling with that, and then coming out with something that is broadly fair, is something that has to be determined within the Department, but it is obviously subject—rightly or otherwise—to potential legal challenge if we do not get the balance right. As I say, the more to the fringes we go, the more complex it gets, but it is still material, as has been discussed. These are very substantial sums of money. Very important facets of society are dependent on these non-standard cases: they are not tiny in quantum, just tiny in number, typically.
(1 year, 10 months ago)
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I thank the hon. Lady for her question. I think she will find that the letter stated that the Government had announced that the scheme would open in January, which was true—we did announce that we aimed to open it in January. The pilot and engagement with local authorities has shown that we need to delay that to February, so I organised briefings yesterday afternoon to make sure that all Members of the House had heard about that. I am also seeking to notify the House as quickly as possible by writing to Select Committee Chairmen and others to let them know. We are doing everything possible to make sure that we have a robust system in place. I set out that this is a novel system: it is complex and it does rely on local authorities. It was after personally meeting representatives of those pilot local authorities that I came to the decision. I felt that this was the right thing to do to ensure speedy delivery of this support to her houseboat owners among others. It is also worth noting that they have seen support if they come through a commercial supplier of electricity through the energy bill relief scheme, but I want to see them get their £400 as well, and I want a system that works, is effective and is as quick as possible.
The Minister appeared to say in answer to an earlier question that no one should be physically disconnected from their energy supply. If I heard that correctly, and if that is indeed the Government’s position, does that extend to people on prepayment meters who cannot connect themselves to their energy supply because they simply do not have the money to top up the meter? If that is the case, I would be interested to hear what further action he will take to prevent that happening in all cases.
Suppliers are required to provide emergency and friendly hours credit to all prepayment meter customers, and where a supplier identifies that a customer in a vulnerable situation has self-disconnected or is self-disconnecting, it must offer them additional support credit where it is in the customer’s best interest to do so. Ofgem warned suppliers way back in June 2018 that PPMs should only be installed as a last resort for debt collection and banned forcible installations for vulnerable consumers in 2017. We are watching to ensure that we have the right steps in place and will take further steps if required to make sure that suppliers live up to their obligations.
What possible justification is there for forcing people to sit in the cold and the dark because they have been required to have a prepayment meter connected that they cannot afford to top up? Twenty-five years ago we had the same debate over water disconnections, and society decided it would no longer be lawful to deny any human being access to water. Have we not now got to the point where, similarly, our constituents should be entitled in all cases to light and to warmth?