Electricity

Jim Shannon Excerpts

Monday 15th June 2020 Commons Chamber

[Kwasi Kwarteng]

The right hon. Gentleman is absolutely right that the system needs to evolve. We are looking at some of the smart pricing he alludes to and the flexibility of the system, and I am sure he will read our White Paper with interest. However, the issue of the flexibility of the system is not really germane to this statutory instrument on the capacity market, which, as he and my right hon. Friend the Member for Wokingham (John Redwood) know, is a technology-neutral device.

[Jim Shannon (Strangford) (DUP)]

Have the Government taken into consideration the demand on energy that will arise from their policy to build 100,000 houses a year over the next few years? Are the Government’s goals, as set out by the Minister, achievable, given that house building programme and the associated increase in population?

[Kwasi Kwarteng]

I think it is achievable, but what the hon. Gentleman is talking about is way outside the scope of this statutory instrument. As I have said, we are talking about flexible pricing; we are talking about the growth of renewables. This Government have committed to 40 GW of offshore wind power by 2030, which is a marked increase on the 30 GW ambition that we had. We are talking about nuclear as well—we have Hinkley Point. There are all sorts of generating power on the system. As I have said, we have a White Paper coming up, which talks about all these issues. Once again, with respect, I have to say that this is a very specific SI regarding the operation of the capacity market. The House will have plenty of time to debate other forms of electricity and power generation in the weeks ahead.