Oral Answers to Questions Debate
Full Debate: Read Full DebateKwasi Kwarteng
Main Page: Kwasi Kwarteng (Conservative - Spelthorne)Department Debates - View all Kwasi Kwarteng's debates with the Department for Business, Energy and Industrial Strategy
(4 years, 1 month ago)
Commons ChamberAs my hon. Friend knows, helping businesses reduce emissions is crucial to delivering our net zero commitment. To tackle some of our highest carbon-intensive businesses, we have just launched the £289 million industrial energy transformation fund, and we are also extending the £300 million climate change agreements scheme to incentivise businesses to invest in energy efficiency.
I thank the Minister very much for his answer. The business sector has successfully reduced greenhouse gas emissions by over 30% since 1990. However, emissions from business transport are counted separately, and transport emissions have gone down only by 3% since 1990. Does my right hon. Friend agree with me that we have a great opportunity in the UK to be a world leader in green transport—from electric vehicles to hydrogen lorries—and will he work closely with the Treasury to incentivise businesses to use more low emission vehicles in the future?
We do have extensive plans. We have further plans for decarbonising freight that will form part of the transport decarbonisation plan, which we expect to publish later this year. We work constantly with other Departments to ensure that we can reach our net zero targets. My hon. Friend is quite right to emphasise, in particular, the role that transport plays in carbon emissions.
If we want business to play its full part in reducing emissions and to finance the innovation and infrastructure critical to the transition to a low-carbon economy, the Government need to address the very real barriers to private investment. One obvious way to do so is through a national investment bank with a clear mandate to channel both public and private capital towards projects that aid a green recovery and help the country to achieve its net zero target. Does the Minister’s Department as a whole support the establishment of such a bank, and if so, will he update the House on what progress has been made in convincing his colleagues in the Treasury to get behind the proposal?
It is no secret that there is plenty of discussion about a national infrastructure bank. The Green Investment Bank, which was set up in 2015, was successful, and this is something that we are constantly in conversations about.
My hon. Friend will know that the Government have a long history of supporting the development of marine technologies. Since 2010, we have provided £80 million in research and development funding, and last month we published a call for evidence on the potential of marine energy, and we are looking forward to those responses.
Will my hon. Friend please update the House on progress that has been made on the development of wind and wave technology around the coastline, as I know that the Crown Estate is looking at the development of wind farms off the south-east coast, near my constituency of Hastings and Rye?
My hon. Friend is quite right. In addition to the proposed extension to the Rampion offshore wind farm off Brighton, I understand that there is significant market interest in the Crown Estate’s current seabed leasing round, and that, we expect, will include areas off the coast of the south-east of England, near my hon. Friend’s constituency.
I reassure the hon. Lady that we are looking with great interest at the Mersey tidal project and that the Government have already funded the north-west energy hub so that we can drive huge opportunities for the region in renewable energy. I know that BEIS officials recently met representatives from the Liverpool City Region Combined Authority to discuss the very Mersey tidal project that she mentions.
Highly skilled, green manufacturing jobs should power our economic recovery beyond the pandemic and it is calculated that the Mersey tidal scheme could have the potential to generate up to four times the energy of all the wind turbines in Liverpool bay—enough energy to power 1 million homes. Liverpool city region’s Mayor has already secured £2.5 million of funding for the next phase of work. Given the Minister’s positive response, will he meet with the metro Mayor, local MPs and industry experts such as Martin Land, who now heads up the project, to help to accelerate it to feed stage development at the appropriate juncture?
I would be very happy to meet with MPs and representatives in the Mersey region. I know the Mayor, Steven Rotherham; I met him in my previous life as a DExEU Under-Secretary. I am happy to meet him and others again.
I pay tribute to my hon. Friend for the work that she is doing in this area. I also congratulate the United Downs project on last month securing £4 million from the Government’s getting building fund. As the Prime Minister has said this weekend, the UK will lead by example by keeping the environment firmly on the global agenda and serving as a launchpad for a global green industrial revolution.
Two years ago, having spent £1.2 billion of taxpayers’ money developing the European Galileo programme, the Government abandoned it to build a duplicate British system at a cost of £3 billion to £5 billion; they spent tens of millions on this “me too” sat-nav system, plus half a billion pounds on OneWeb, a bankrupt American satellite company. Now we hear that the British sat-nav system is to be abandoned too—and for what? According to newspaper reports, which are better briefed than Parliament, it is so that the Prime Minister can go head to head with Elon Musk.
We are very supportive of any schemes in this country that promote the net-zero agenda, and I would be interested to hear details of that scheme in the hon. Gentleman’s constituency. I would be happy to meet him, and others, to discuss those matters further.
The hon. Gentleman and I have different views on that issue. It stands to reason that as we go towards net zero, we will need dispatchable power and a source of firm power. Most of the analysis we have seen suggests that nuclear has a part to play in that net-zero future.