Oral Answers to Questions Debate
Full Debate: Read Full DebateLee Rowley
Main Page: Lee Rowley (Conservative - North East Derbyshire)Department Debates - View all Lee Rowley's debates with the Department for Business, Energy and Industrial Strategy
(3 years, 3 months ago)
Commons ChamberThe Government remain firmly committed to securing gigafactories in the UK, and have demonstrated that commitment through the automotive transformation fund. As many Members will know, the first site in Sunderland was announced in July, and will see an unprecedented 100,000 battery-electric cars produced annually by Nissan and Envision AESC from 2024.
I congratulate the Minister on his appointment, and pay tribute to the Secretary of State and his team for facilitating investment in gigafactories in the UK. Britishvolt is making excellent progress in Blyth, but was originally intended to come to my constituency. These large-scale projects have both devolved and reserved functions. When similar projects arise, might a Minister be dedicated to lead them, looking after both the devolved and the reserved functions and working with the Welsh Government in securing that investment?
I am extremely grateful for my right hon. Friend’s question. I know that he is a huge champion of Wales, and that he has huge experience in this regard. I should be happy to meet him to discuss his suggestion. As he will know, the automotive transformation fund is a UK-wide programme, and we will welcome applications for support throughout the UK. I look forward to talking to my right hon. Friend about that.
I welcome the Minister to his position.
The Prime Minister’s climate change spokeswoman recently announced that she would not be buying an electric car because of the lack of charging infrastructure and battery capacity. In 2018 the UK produced a quarter of Europe’s electric vehicles, but that is set to fall to just 4% by 2030. Motor manufacturers predict that tens of thousands of good jobs will be lost.
Will the Minister confirm that even if he meets his own targets, by 2025 the UK will have only 7% of the battery production capacity of Germany? Germans receive grants of up to €9,000 to buy an electric car, three times what he is offering. What will he do to deliver the battery capacity that is needed to secure British jobs, and make electric cars affordable? Does he understand what affordable means?
We absolutely understand what affordable means, and we are absolutely committed to building an industry that supports batteries in the United Kingdom, ensuring that the transition to electric vehicles will take place within a short period. I am happy to talk to the hon. Lady more about that if she wishes.
My hon. Friend the Member for Warrington South (Andy Carter) asks a timely question; he may be aware that the United Kingdom recently published a hydrogen strategy outlining the Government’s comprehensive package to incentivise low-carbon hydrogen, and a broader plan to help the wider hydrogen economy to develop.
The recent increase in wholesale energy prices strengthens the case for investing in hydrogen in the north-west of England. May I urge the Minister to come to Warrington and see the businesses that rely on intensive use of energy, and rapidly progress hydrogen and the HyNet scheme to produce carbon capture and storage in the UK, so that businesses such as Novelis Recycling and Solvay Interox are able to decarbonise rapidly?
My hon. Friend is a doughty champion for the north-west and his constituency of Warrington. The Secretary of State has said to me that one of the ministerial team would be happy to visit. I think the Secretary of State would be happy to do that—indeed, I think he has already visited. As my hon. Friend is aware, many of the decisions around this matter are currently under way, so I am not going to comment on them at this point. At the end of the process, we will have a low-carbon hydrogen economy to be proud of.
I welcome my hon. Friend to his place. Teesside already produces more than 50% of the UK’s commercially viable hydrogen. What assessment has he made of the benefits of the recently signed deal between BP, the Abu Dhabi National Oil Company and Masdar for the Tees valley? Does he support the phenomenal work being done locally by Ben Houchen to revolutionise our green energy sector?
The benefits will be huge. This work is another example of the fantastic Conservative Tees valley team led by my hon. Friend, supporting Darlington, and the Mayor, and it demonstrates what we can do in an area to level up and improve it for the long term.