Tidal Range Energy Generation

Debate between Jim Shannon and Mick Whitley

Wednesday 10th January 2024 Westminster Hall

[Mick Whitley (Birkenhead) (Lab)]

I beg to move,

That this House has considered tidal range energy generation.

It is a pleasure to serve under your chairmanship, Dame Caroline.

The UK, more than any other country in the world, is uniquely positioned to harness the power of its tides. Ten per cent of the world’s tidal resources, and half of Europe’s, are found in Britain. Already well-developed plans for tidal range projects across the west coast promise to mobilise and deliver 10 GW of net zero energy, with the potential for 10 GW of additional capacity—enough to meet approximately 12% of the UK’s electricity needs over the coming decades, when, as a result of our efforts to decarbonise transport, heating and industry, demand for electricity is set to more than double.

While I want to approach this debate constructively, the Government’s ambition in supporting the development of new tidal range projects has been sorely lacking. Tidal range technology was excluded entirely from the Energy Act 2023, and the one reference made to tidal power in the 2022 energy security strategy—a commitment to “aggressively explore” the possibilities of tidal power—has not been delivered on. Although we see encouraging steps in the right direction, including moving towards the inclusion of tidal in the national policy statements on energy and the publication of guidance on tidal range on 18 December last year, much more still needs to be done.

In his correspondence with me dated 26 October, the Minister for Energy Security and Net Zero, the right hon. Member for Beverley and Holderness (Graham Stuart), stated that

“the government remains open to considering well-developed proposals for harnessing tidal range energy”,

but that

“any such proposal would need to demonstrate strong evidence of value for money in the context of other low carbon technologies.”

The issue of value for money has long been cited as the main obstacle to unlocking the potential of the UK’s vast tidal resources. Indeed, when the then Secretary of State for Business, Energy and Industrial Strategy declined in 2018 to provide the proposed tidal lagoon project on Swansea bay with the price stabilisation mechanism that was needed to guarantee investor certainty, it was on the grounds that the levelised cost of energy was higher than that of low-carbon alternatives, including new nuclear.

[Jim Shannon (Strangford) (DUP)]

I support the hon. Gentleman in bringing forward this issue, which is really important for my constituency of Strangford. He has given the example of Swansea. Strangford lough has obvious potential for a tidal stream, which is why there was a trial there in 2008 with SeaGen. I was a Member of the Northern Ireland Assembly at the time. It was a successful pilot scheme but did not seem to go any further. As energy prices have risen, the possibility of a new scheme is even more likely. Does the hon. Gentleman agree that the devolved Administrations have a role to play in developing tidal stream and tidal range, which the Government should utilise so that we can all play our part in tidal energy?

[Mick Whitley]

Yes, I do. There are more examples of tidal energy to come. If the Government take cognisance of the points being made in today’s debate, hopefully some progress can be made.

The former Secretary of State’s decision was met with incredulity by many figures in the industry, coming as it did only 18 months after Charles Hendry’s independent review found that tidal lagoons could

“play a cost effective role in the UK’s energy mix”

and constituted

“an important and exciting new industry for the United Kingdom.”

In retrospect, and particularly in the light of the conclusions of the study undertaken at the University of Birmingham in 2022, which found that the Swansea tidal lagoon would have returned profits to the low-carbon contract company, the Government’s decision not to provide support for the Swansea bay project seems to have been seriously misjudged. It has deprived us of a credible pathfinder project of the kind advocated by Charles Hendry’s review.

However, I have not called this debate simply to revisit debates from a long time before either the Minister or I had entered Parliament. Today is not about looking backwards; it is about facing the future, and asking what we can do to guarantee our energy security in a time of growing geopolitical uncertainty and climate breakdown, and the role tidal range generation has to play in that process. In that vein, I ask the Minister and his colleagues to recognise that the fundamental question of value for money needs revisiting.

Principally, that means adopting a whole-systems approach when assessing cost-effectiveness. The levelised cost of energy can be a useful tool, but it can also be a blunt instrument when it comes to gauging the comparative costs of renewable and low-carbon energy sources that fails to take into consideration the additional costs of solar and wind generation caused by grid transmission constraints, rebalancing and storage.

It also fails to account for the fact that, uniquely for a renewable, tidal energy is a timetabled predictable resource, giving it an important role to play when seasonal factors interrupt supply from solar and wind. In my previous engagements on this issue, I have made the case that when a whole-systems analysis is made, the costs of tidal power are comparable to offshore wind and new nuclear.

I am sure the Minister will take great interest in the research currently being carried out by Jacobs for the British Hydropower Association, soon to be published, which confirms that analysis.

Oil and Gas Producers: Windfall Tax

Debate between Jim Shannon and Mick Whitley

Tuesday 1st February 2022 Commons Chamber

[Mick Whitley (Birkenhead) (Lab)]

I applaud my right hon. Friend the Member for Doncaster North (Edward Miliband), the shadow Secretary of State for climate change and net zero, for demonstrating the strong leadership and breadth of vision that is so sorely lacking on the Government Benches. While Ministers issue desperate excuses from the Dispatch Box for their lack of action, the Labour party has today put forward a fully costed package of proposals that would provide millions of UK households with much needed support. By axing VAT on domestic energy bills, ensuring that no domestic consumer is forced to cover the cost of supplier failure and providing support for those most in need, we can slash energy bills by at least £200. In the midst of this Tory cost of living crisis, that is the difference between just about getting by and deepest destitution.

As people in my constituency bear the brunt of this unprecedented crisis, oil and gas companies are set to report near record profits, with private shareholders cashing in on soaring wholesale energy prices.

[Jim Shannon (Strangford) (DUP)]

Will the hon. Member give way?

[Mick Whitley]

No—[Interruption.] I am sorry.

Even so, that is not enough for this Cabinet of millionaires. In fact, last month, the Education Secretary had the temerity to take to the airwaves and plead poverty on behalf of the fossil fuel giants, saying that they were struggling enough already. This morning, when my hon. Friend the Member for Brighton, Kemptown (Lloyd Russell-Moyle) challenged the Chancellor to put the interests of ordinary people before those of the oil and gas companies, the Chancellor made it clear exactly whose side he was on. Today, Conservative Members have a simple choice: they can either insist that the fossil fuel giants step up and accept responsibility for a crisis from which they have profited so handsomely, or they can continue to turn a blind eye to the immense human suffering unfolding not just in my constituency but in theirs, as they have throughout this long and bitter winter.

Labour is offering the Government the chance to right their failure to prevent the crisis. We know from the Prime Minister’s grotesque performance in the House yesterday that the word “responsibility” is entirely missing from the Conservative party’s vocabulary, but, as recent research by Carbon Brief demonstrates, had successive Conservative Governments not taken a wrecking ball to the zero-carbon homes standard subsidies for onshore wind and spending on essential energy-efficient measures, household bills would be £2.5 billion cheaper than they are today.

With the greatest respect to my good and honourable Friends on the Front Bench, I am convinced that we must be even more muscular in our response to the crisis. At the moment, the energy sector is simply not fit for purpose. Costs for consumers are far too high, investment in green energy is wholly inadequate and we remain dangerously dependent on volatile foreign energy supplies. We learnt last week that extraordinary amounts of UK gas were exported in autumn and winter, even as rising costs decimated hard-working families’ standard of living and hit small businesses’ bottom lines. Our energy system must always put ordinary people’s interests before those of private profits. Confronted with this historic crisis, we must surely accept that public ownership is the only way forward.

We must not forget that the public are watching. They will remember who stood up for them at this terrible time and they will never forget those who looked away. I hope that Conservative Members will reflect on that before walking through the voting Lobby today.