Infrastructure Projects (Community Benefit)

Debate between Ian Liddell-Grainger and Luciana Berger

Thursday 18th October 2012 Westminster Hall

[Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)]

This is the first time I have had the opportunity to respond on behalf of the Opposition under your chairmanship, Mr Walker, and I look forward to it.

I congratulate the hon. Member for Bridgwater and West Somerset (Mr Liddell-Grainger) on securing this debate. He spoke eloquently in support of his constituency and constituents. I echo his tribute to my late hon. Friend the Member for Croydon North, Malcolm Wicks, who, excuse the pun, was a leading light in energy policy and did some great things for this country. We all miss him.

This is also the first time I have had the opportunity to debate with the Minister, whom I welcome to his new position. He is being kept very busy today.

This is an important debate. With our economy in the longest double-dip recession since the second world war, investment in infrastructure projects such as new nuclear is urgently needed to create jobs and boost confidence now and strengthen our economy for the future. We support new nuclear as part of a balanced energy mix that must also include renewables and carbon capture and storage. If we are to meet our climate change targets and secure our energy future, we cannot put all our eggs in one basket. A recent Institute for Public Policy Research report highlights the potential advantages of new nuclear. Nuclear is a tried and tested means of generating electricity; Last year, Dr Mike Weightman, the UK’s chief nuclear inspector, reported that there was nothing to call into question the viability of safe and reliable nuclear power in the UK.

Although important questions about decommissioning costs and capital overruns must be addressed, the chance to create thousands of jobs is too important to dismiss. The potential for economic growth must not be passed over and the necessity of securing our future energy supply cannot be ignored. With predictions of up to 32,000 additional jobs accruing from new nuclear, and an annual boost to our economy of more than £5 billion, the consideration of new nuclear generation is in the UK’s economic and energy interests. Many of those jobs will be highly skilled and well paid, and they will necessarily be in parts of the country that are crying out for additional employment. So developing new nuclear, and major infrastructure projects more generally, is important for our economy and security of supply.

There is recognition on both sides of the House that, although large-scale infrastructure projects are vital to our national interest, we need to ensure that the local communities in which they are situated also benefit directly. Page 62 of the Government’s “National Infrastructure Plan 2011” recognises that and commits to introducing community benefits for new nuclear, pledging to

“engage with developers and local authorities on community benefit and bring forward proposals by 2012 for reform of the community benefit regime to provide”—

this is the important point—

“greater certainty for all parties.”

Yet, almost 12 months later, we are still waiting for the Government to announce new proposals and to give that certainty.

[Mr Liddell-Grainger]

I am not defending the Minister in any way, but, as the hon. Lady knows, there has been a slight delay as EDF has had to put things back to buy a little more time because of the incredible complication. She has touched on that eloquently, for which I thank her. I, along with the Minister and my right hon. Friend the Member for West Dorset (Mr Letwin), have been working hard to ensure that a decision is made in the right time, rather than in a rush. As a local Member, I can safely tell the hon. Lady that I am happy that we are getting there in the right time.

[Luciana Berger]

I thank the hon. Gentleman for his intervention, although my point is wider than that. He referred to his particular project, but there is a wider commitment in the “National Infrastructure Plan 2011” to consider community benefit as a whole for all projects across the country.

In answer to a parliamentary question from the shadow Secretary of State, my right hon. Friend the Member for Don Valley (Caroline Flint)—I thank the hon. Gentleman for referencing those questions—the Minister said:

“The Department is currently considering proposals for a community benefit package for communities hosting new nuclear. Details of any decisions will be made available by the end of 2012.”—[Official Report, 15 October 2012; Vol. 551, c. 134W.]

I am hopeful that the Minister will be able to give us more detail today, as 2012 is nearly at an end.

The hon. Gentleman referred to the specific instance of Hinkley Point C a great deal. He made a forceful case for the Government to consider community benefit. He made a number of points and referred to facilities that would last: he talked about the long-term legacy impacts of any community benefit.

Hinkley Point C is a substantial development and is much larger than the stations that are already there. It has the potential to provide about 6% of the UK’s electricity and power, approximately 5 million homes. Hinkley Point C’s potential contribution is not to be understated. There will clearly be a short-term impact on the local area during the eight-year construction phase, with some 5,600 workers employed at the peak of construction—I acknowledge that the hon. Gentleman used the figure of 7,000.

[Mr Liddell-Grainger]

The hon. Lady is right about the site. Both the Minister and the former Secretary of State, the right hon. Member for Doncaster North (Edward Miliband), who is now Leader of the Opposition, acknowledge that the whole package for the area will be some 7,500 at its peak. I correct the hon. Lady, but she is right about the site itself.