Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if his Department will make an assessment of the potential merits of reforming the Smart Export Guarantee Scheme to help ensure that microgenerators receive a price that reflects the market value of the electricity they sell.
Answered by Graham Stuart - Minister of State (Department for Energy Security and Net Zero)
The Smart Export Guarantee (SEG) is a cost-reflective and market led mechanism and it is for suppliers to determine the value of the exported electricity and to take account of the administrative costs associated when setting their tariffs.
Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, whether his Department is taking steps to introduce a regulated market for solar microgenerators.
Answered by Graham Stuart - Minister of State (Department for Energy Security and Net Zero)
The Government’s approach to supporting microgeneration including solar is through the Smart Export Guarantee (SEG). The SEG is a cost-reflective and market led mechanism whereby it is for suppliers to determine the value of the exported electricity.
Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to help ensure that energy suppliers pay a price that reflects the market value of energy produced by solar microgenerators.
Answered by Graham Stuart - Minister of State (Department for Energy Security and Net Zero)
The Smart Export Guarantee (SEG) ensures small-scale generators are paid for the renewable electricity they export to the grid. It is a cost-reflective and market led mechanism. Suppliers determine the value of the exported electricity and take account of the associated administrative costs when setting their tariffs.
Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
What steps his Department is taking to introduce a regulated asset base for the offshore grid.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
Our Net Zero Strategy delivers more offshore wind with a more coordinated offshore grid, through the Offshore Transmission Network Review.
Within this, Ofgem have consulted on options for delivery models for offshore connections, including a regulated asset base approach.
Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department has taken to restart the Government’s consultation into the use of a Regulated Asset Base model for renewables and low carbon energy generating assets.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
The Government consulted on the use of a Regulated Asset Base (RAB) model for nuclear in summer 2019, concluding that RAB was a credible model for large-scale nuclear projects. The Government introduced the Nuclear Energy (Financing) Bill on 26 October to establish the RAB model to fund new nuclear projects at a low cost of capital, saving consumers money. As set out in our response to the consultation, the Government will continue to consider whether a RAB model could be applied to other low carbon technologies, including transport and storage infrastructure for carbon dioxide (outlined in the Government’s response to the carbon capture, usage and storage business models consultation).
Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to assess the fire risks posed by large scale lithium-ion battery storage.
Answered by Anne-Marie Trevelyan - Minister of State (Foreign, Commonwealth and Development Office)
Grid-scale lithium-ion battery energy storage systems are covered by a robust regulatory framework which requires manufacturers to ensure products are safe before they are placed on the market, that they are installed correctly, and that any safety issues found after products are on the market or after installation are dealt with.
In 2018, BEIS set up an industry-led Storage Health and Safety Governance Group responsible for ensuring that an appropriate, robust, and future-proofed health and safety framework is sustained as the industry develops. In 2020 following a recommendation from this Group, the Government commissioned a gap analysis to identify any gaps in the health and safety standards landscape. This will be published in due course
Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, whether the cross-Departmental group coordinated by his Department is assessing lithium-ion battery safety in domestic settings in addition to large-scale battery storage facilities.
Answered by Anne-Marie Trevelyan - Minister of State (Foreign, Commonwealth and Development Office)
BEIS established an industry-led storage health and safety group with an independent chair, following the joint BEIS and Ofgem 2017 Smart Systems and Flexibility Plan.
This group considers the safety of lithium-ion storage both in domestic settings and for large-scale facilities.
Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential merits of regulating lithium-ion battery energy storage systems to help mitigate the risk of fire.
Answered by Anne-Marie Trevelyan - Minister of State (Foreign, Commonwealth and Development Office)
Lithium-ion battery energy storage systems, including grid-scale installations and those used in homes and businesses, are covered by a robust regulatory framework which requires manufacturers to ensure products are safe before they are placed on the market, that they are installed correctly by project developers, and that any safety issues found after products are on the market or after installation are dealt with.
There are a number of regulations that must be met for the product and installation of a battery to mitigate the risk of fire, including the Electrical Equipment (Safety) Regulations 2016, the Electricity at Work Regulations 1989, the Regulatory Reform (Fire Safety) Order 2005, Dangerous Substances and Explosive Atmospheres Regulations 2002, and the Management of Health and Safety at Work Regulations 1999. In addition, for large scale battery storage there are statutory requirements to notify the Fire and Rescue Service to inform their emergency response planning.
Asked by: Jerome Mayhew (Conservative - Broadland)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he is taking to (a) develop carbon capture and storage technology and (b) retrain and redeploy oil and gas sector workers in low-carbon industries.
Answered by Kwasi Kwarteng
We are committed to deploying carbon capture and storage (CCS) this decade as we work towards Net Zero by 2050 and see an opportunity for the UK to become a global leader in CCS.
That’s why we announced a new CCS Infrastructure Fund which will enhance long-term competitiveness of UK’s industrial regions by providing at least £800million to establish CCS in at least two UK clusters, one by the mid-2020s and another by 2030, contributing to our net zero targets and levelling up the economy.
In parallel, we are investing over £40 million between 2016 and 2021in innovation funding carbon capture, usage and storage. United Kingdom Research and Innovation has also recently announced the allocation of the first phase of funding for the Industrial Decarbonisation Challenge, in which we expect carbon capture and storage to play an important role.
The upstream oil and gas sector remains an important sector in its own right. However, as we transition to a low carbon economy we expect the oil and gas sector, including its supply chain, to have a key role in delivering this transformation. We are already seeing this happening as the supply chain uses its existing skills and capabilities to diversify into low-carbon sectors such as offshore wind. We are working with the sector on our manifesto commitment to deliver a transformational oil and gas Sector Deal which we expect to focus around the energy transition.