Wind Farm Subsidies (Abolition) Bill
Debate between Julie Elliott and Peter Bone
Mr Bone
I am not sure my hon. Friend is being fair to the Labour party. Yes, it claims that energy prices are too high but wants more and more wind farms—in Northamptonshire, there are wind farms everywhere—but actually its policy is to freeze energy prices, which means, given that energy prices are falling, that prices would be artificially high. The reason for this policy must be the subsidies it wants for wind farms.
Julie Elliott (Sunderland Central) (Lab)
After the general election, Labour’s policy is to freeze energy Bills for 20 months, while the energy market is reformed, but that does not mean that costs cannot come down; it just means they cannot go up artificially.
Mr Bone
I am more confused now. I do not know whether the shadow Minister was announcing new policy, but my understanding of a freeze is that that is the price—it cannot go down. If I am wrong—perhaps Labour has done a U-turn—my hon. Friend the Member for Shipley (Philip Davies) is right and the policy makes no sense. Either it wants higher energy prices, which I understand, or it wants lower energy prices and more wind turbines, which of course it cannot have.
Julie Elliott (Sunderland Central) (Lab)
I am afraid this feels like “Here we go again.” Less than two months ago, my hon. Friend the Member for Stalybridge and Hyde (Jonathan Reynolds) spoke from the shadow Front Bench against a Bill promoted by the hon. Member for Christchurch (Mr Chope) which would remove all subsidies for offshore wind. Today we find ourselves in a similar debate, on a Bill to destroy the UK’s burgeoning onshore wind industry.
I think I speak for many Members when I say how much I enjoyed the “Inside the Commons” documentary. I was pleased that it showed people how Parliament works and what MPs do, and that we are, all things considered, still normal people doing a job to the best of our abilities. There was general amusement at the sight of Members from both sides of the House queuing in shifts to secure private Members’ Bills. Two of those people were, of course, the hon. Member for Wellingborough (Mr Bone), who has just spoken, and the hon. Member for Christchurch. I only wish their time in the queue and our time here discussing the Bill today could have been better spent.
Onshore wind is one of the cheapest large-scale renewable energy technologies. With the right support, it could be subsidy-free by the end of the next Parliament. This Bill, in the unlikely event that it should ever become law, would kill the UK’s onshore wind industry and, in doing so, destroy thousands of jobs and millions of pounds of investment and lead to higher energy bills.
Julie Elliott
No, I am going to carry on.
If the hon. Gentleman had his way and we shut off support mechanisms such as the renewables obligation and contracts for difference, the UK would simply be more reliant on more expensive technologies to meet our crucial carbon emissions commitments. Opposition Members are committed to decarbonising at the lowest possible cost to the consumer. That is why we are committed to setting a 2030 power sector decarbonisation target, which will give investors the long-term certainty they need to invest.
Let me point out a few important facts. Last year, onshore wind generated over 5% of UK electricity generation, and the independent Committee on Climate Change estimates that onshore wind can provide over 15% of our power needs by 2030. Onshore wind generated over 16 TWh of electricity in 2014—enough to power almost 4 million homes. There is currently more than 8 GW of onshore wind capacity, with a further 1.2 GW under construction and more than 5 GW with consent. Last week saw the results of the first allocation rounds for CfDs. Labour supported the introduction of CfDs, as we did during the passage through Parliament of the Energy Bill. Cost reductions—which mean less subsidy, which translates into lower consumer bills—are real and are happening now. New onshore wind projects from 2016 to 2018 will produce power at £79.23 to £82.50 per megawatt-hour—less than other renewable energy technologies and less than new nuclear. The industry is committed to being the cheapest form of new large-scale electricity generation by 2020—cheaper even than new gas plants.
This is a job-creating sector: the onshore wind sector employs, directly and indirectly, 19,000 people in this country. Onshore wind is popular. The Department of Energy and Climate Change’s public attitudes tracking survey has found consistent public support for onshore wind. The latest figures show that 68% of the public support onshore wind, with opposition at only 12%. That is not just theoretical support for the concept of onshore wind. It is important to note that people support onshore wind developments in their communities. A 2014 ComRes poll found that 62% of people would be happy for an onshore wind farm to be constructed in their area.
It is, of course, crucial for local communities to be consulted, and to be fully engaged in any renewable energy development. The Government and, in particular, the Secretary of State for Communities and Local Government preach localism. However, the Secretary of State has taken Whitehall intervention in the planning system to unprecedented heights.
If I had a pound for every time I heard a Conservative Member criticise clean energy technologies for reasons that bear no relationship to cost, genuine public concern or engineering feasibility, I could personally fund the levy control framework for several years. The fifth assessment report of the Intergovernmental Panel on Climate Change provided overwhelming and compelling scientific evidence that climate change is real, that it is caused by human activity, and that it will have devastating consequences if urgent action is not taken to cut our carbon emissions and invest in mitigation.
I would have welcomed the time to engage in a serious debate this morning about onshore wind, and about how we can increase investment and drive down costs. However, no debate on a Bill that would implement an effective ban on onshore wind can be a serious one. Let me repeat a question that I have asked Conservative Members before in the House. They do not like onshore wind, they do not like offshore wind, and they do not like solar. Are there any clean energy technologies that they actually support?
All modern economies face the same energy “trilemma”: how can we generate the energy that we need, which is clean, affordable and secure? Onshore wind delivers on all three counts. It is clean, it is on course to be subsidy-free, and it is based in the United Kingdom, boosting local economies and creating jobs.
Perhaps the hon. Member for Wellingborough’s queuing was not a waste of time after all. It has given me an opportunity to expose the Conservative party’s growing hostility to onshore wind, and to set out how the next Labour Government will work with clean energy developers to ensure that we have the affordable, secure and clean energy that our economy needs in order to succeed.