Jet Zero Council

Kerry McCarthy Excerpts

Wednesday 14th October 2020 Westminster Hall

[Alan Brown]

Yes, I agree it is important. They need to be replaced because half the existing nuclear power stations will be phased out in the next four years. However, they do not need to be replaced by nuclear; they should be replaced by renewable energy, so I absolutely do not agree on that point.

We also heard about Airbus being a Jet Zero member, and how it is developing the ZEROe hydrogen aircraft. We look forward to hydrogen aircraft being up and running. I draw Members’ attention to a post-briefing note that highlights the fact that hydrogen emits twice as much water vapour as existing jet fuel. That is a potential issue, and perhaps the Jet Zero Council could look at that, in collaboration with the Government. The need for wider sector support from the Government, by doubling of Aerospace Technology Institute funding to £330 million a year, is also rightly identified. What assessments have the Government made of those asks?

There seems to be cross-party support for Jet Zero and the aim to get net zero aviation by 2050, but there are clear asks for the Government, and I look forward to hearing the Minister confirm those financial commitments that have been asked for around the tables.

3.36 pm

[Kerry McCarthy (Bristol East) (Lab)]

It is a pleasure to see you in the Chair, Ms Miller. I congratulate the hon. Member for South West Bedfordshire (Andrew Selous) on securing the debate. The fact that we had contributions from Members with constituencies as far afield as Strangford and St Austell and Newquay, taking in Gloucester, Newcastle upon Tyne North and South Cambridgeshire on the way, says an awful lot. Each Member stressed the importance of the sector to their constituency. I was on the board of London Luton airport a long time ago, when I was a councillor in Luton, and I appreciate the importance of the airport to the town and to Dunstable and the wider area. Of course, now I am a Bristol MP, and we have a vibrant aerospace sector—and we are home to Concorde, although I note that the hon. Member for South Cambridgeshire (Anthony Browne) says that he has a Concorde as well. Technically ours is just over the border in Filton, but I think Bristol lays claim to those areas when it is in our interest to do so.

We all know how important the subject of the debate is and, particularly at such a difficult and challenging time for the sector, it is important to take a considered, nuanced approach to the issues that we are discussing. We might, if we had had the debate much earlier in the year, have been able to focus purely on decarbonisation and the need to make progress with that in the sector, but covid has, as with so many other things, turned everything in the aviation world on its head. There have, as we have heard, been unprecedented falls in demand for flights because of the pandemic. The sector has faced immense financial hardship and it is predicted that it will not fully get back to its feet until 2023 or 2024 —or, given the degree of uncertainty, who knows?

Now, therefore, the discussion of decarbonisation must also deal with how to save aviation jobs in the short term, ranging from those in manufacturing, technology and design to those in airports and airlines, and the supply chain. We should not forget the many small companies that also rely on the industry and need to be part of the shift. It is one thing to consult bigger companies as part of the Jet Zero Council, but for every big company at the forefront of innovation there will be many other small and medium-sized enterprises that rely very much on being taken along on the journey.

Labour has called for a sector-specific package for aviation, which will be conditional not just on the protection of jobs—including an end to firing and rehiring on inferior contracts—but on progress in meeting environmental targets. It is important that those two objectives should be intertwined. Some nations uncritically bailed out their aviation sectors because of the pandemic without considering the climate impacts, but other nations have been both ambitious in protecting their aviation sectors and sensitive to the need to decarbonise the sector. France, for example, provided more than €15 billion, much of it to Air France, conditional on a number of things. For example, France expects the airline to renew its fleet with more efficient aircraft; to source 2% of fuel from sustainable sources by 2025; to achieve a 50% reduction in carbon dioxide from domestic flights by the end of 2024; and to ensure that overall emissions from all flights are halved by 2030.

I welcome the Minister to his new post. I hope that we hear from him how the UK can follow France in taking such a lead, because this is too important an opportunity to miss, given that we need far more intervention and investment in the aviation sector—more of a lead from the Government—than we perhaps would in normal times. How can we maximise the opportunity to get the sector back on its feet and also accelerate the progress we all want to make towards net zero?

Intervention is desperately required, both to safeguard jobs and to allow us to become world leaders. Setting up the Jet Zero Council, bringing together all those top minds in the industry to discuss the issues, is a good start. However, as my hon. Friend the Member for Newcastle upon Tyne North (Catherine McKinnell) said, it is a notable omission that there are no workplace representatives on the council. I hope the Minister will address that in his response, because this is very much about everyone involved in the sector, not only the companies behind it.

I confess that, when I first took on the role of shadow Minister for green transport, I was quite sceptical about some of the claims about sustainable aviation fuel being the way forward. There was lots of talk about sucking carbon out of the sky, but it was not really backed up by much science in the debates or the representations that I heard. In the six months that I have been in this job, and having had so many meetings with people, I have been on a steep learning curve, and I now think there is huge potential for us to make progress in developing sustainable aviation fuels. As well as speaking to sustainable aviation figures, I have spoken to Velocys, which is pioneering production in the UK; I think it has £500,000 funding for a centre in Immingham. The hon. Member for South West Bedfordshire talked about it trying to create sustainable aviation fuel from waste, which is a really interesting development.

I also met the Electric Aviation Group, which has a connection with Bristol and with companies such as Airbus. Unfortunately, it has not been invited to join the Jet Zero Council—I have just had a letter back from the Minister about this—but it is working on a hybrid electric aircraft for UK skies. It was interesting to hear from the hon. Member for South Cambridgeshire that easyJet is also looking to develop an electric plane soon. The Electric Aviation Group says that, eventually, easyJet could probably fly hybrid planes to most destinations that it flies to in the future. It is obviously a bit more complicated for longer-haul flights. Hydrogen was mentioned by a number of Members, and the fact that Airbus, for example, is exploring it via its ZEROe concept. We obviously want to go down the path of clean, green hydrogen if we can, rather than blue hydrogen. I hope that the Jet Zero Council helps us move on to that path.

As I said, it is quite exciting how much has been done on sustainable aviation fuels. I think that a lot of progress will be made in the next few years. As other Members said, that in itself does not address the immediate issue, which is that—putting to one side covid and the fall in aviation emissions that we have had as a result of people just not flying—the trend of the last decade is aviation emissions either stagnating or increasing, whereas other sectors have been pretty successful in cutting emissions, such as the energy sector, as the hon. Member for South Cambridgeshire said. We are just not seeing that for aviation.

Aviation counted for 8% of UK emissions in 2019, according to the Committee on Climate Change. I agree with the hon. Member for South Cambridgeshire on the need to include international aviation emissions in the UK’s net zero emissions legislation. Domestic aviation emissions have fallen to some extent, but those international emissions are not currently included in that legislation. I do not know whether the Minister will have something to say on that, because, as I understand it, the Government have said that they want to look at how we can include international aviation and shipping emissions in that target. That would act as a real incentive; rather than just focusing on emissions from domestic flights, which are a tiny minority of journeys, we must look at the international picture.

The hon. Member for South Cambridgeshire also talked about carbon offsetting and planting trees, and options such as those must all be included. We also need to consider the issue of aviation demand, once passenger numbers start to return to normal levels. The debates around airport expansions and attributing responsibility remain important conversations to have, particularly given the recent court ruling against Heathrow expansion.

An estimated 70% of all flights in Britain are taken by just 15% of adults, and I think the Treasury is due to consult on the potential for greening aviation taxation soon. We need to look at how aviation can achieve a sustainable level of demand and remain affordable for ordinary families. I am certainly not arguing that ordinary families should not have the right to fly, travel and go on holidays, but I would argue that we need to place more responsibility on the minority of frequent flyers. Perhaps covid has alerted people to the fact that they do not necessarily need to fly across the world for a business meeting—there are things such as Zoom now. The UK’s replacement for the EU’s emissions trading scheme may well be another opportunity to green aviation taxation appropriately, so I hope we see some ambition from the Government on that in the coming months.

To conclude, I urge the Government to balance things out: in the longer term, the Jet Zero Council is a very exciting proposition, but we know that it will not deliver the solutions that we need to deal with aviation emissions in the short term. Alternative fuels have a role to play but, given the crisis in aviation, what we need from the Government now is a coherent package that looks ahead to international leadership at COP, but also looks at how we can save jobs, reskill people who work in the aviation and aerospace sectors, and create those jobs of the future—saving the industry and saving the planet at the same time.