Energy Infrastructure: Chinese Companies

Lindsay Hoyle Excerpts

Wednesday 12th February 2025 Commons Chamber

[Kerry McCarthy]

The hon. Lady raises important concerns that we are very much alive to. As I said in my first answer, energy security is critical to the Department’s work and that is why we have the clean power mission to end our dependency on fossil fuels. International investment is a crucial part of that and helps to support growth and jobs across the country. As part of that, we have discussions with a wide range of international investors, but we absolutely recognise that this needs to be balanced against national security implications. We work on that constantly across Government with input from a number of Departments, and I am pleased to see my hon. Friend the Minister for Security from the Home Office here for the urgent question.

The Government have to consider both those aspects together: the need for investment and for greater capacity in our supply chains, and the security risk. While I cannot get into the details of the individual case, given the nature of the ongoing discussions, I reassure the hon. Lady that we are taking these factors into account. We do want to make sure that the most robust processes are followed as we look at the details of this particular issue.

[Mr Speaker]

I call the Chair of the Select Committee.

[Bill Esterson (Sefton Central) (Lab)]

I was pleased to hear the Minister confirm the importance of our energy security, in contrast to what we saw under the previous Government. [Interruption.] Opposition Members can groan all they want, but that is the reality of what was inherited in July last year.

As we extend energy infrastructure in this country, can my hon. Friend the Minister confirm how this Government will ensure that we have control of the operation of that infrastructure? Does she agree it is vital that through the industrial strategy we see a renaissance in our manufacturing and greater resilience in our supply chain, all of which adds to the energy security of this country?

[Kerry McCarthy]

My hon. Friend is absolutely right that dealing with capacity issues in our supply chain is a crucial part of getting this investment into infrastructure. It is one of the reasons why, through the national wealth fund, we invested in lithium in Cornwall last week. Through the critical minerals strategy, we want to maximise the natural resources that we have, where we can. As I have said, we want to make absolutely sure that security concerns are addressed as well when we look at which investors invest in our new economy.

[Mr Speaker]

I call the shadow Secretary of State.

--- Later in debate ---

[Kerry McCarthy]

I thank my hon. Friend for her question. We have launched the clean industry bonus, which will be crucial in protecting our supply chain. We are investing through GB Energy and the national wealth fund—I have already mentioned lithium in Cornwall. Through the global clean power alliance, which we launched at the end of last year, we will bring together our counterparts from other countries, including at the International Energy Agency conference in April, to look at a supply chain mission to deal with these issues. These issues do not just affect us in this country. As other countries seek to decarbonise and increase the role of renewables, we will all need to co-operate and deal with the capacity issues across the supply chain.

[Mr Speaker]

I call the Liberal Democrat spokesperson.

[Pippa Heylings (South Cambridgeshire) (LD)]

I thank my hon. Friend the Member for Edinburgh West (Christine Jardine) for securing this important urgent question. Since the Russian invasion of Ukraine, as the Minister has rightly said, “energy security” has been a key term in this Chamber. There are two ways of looking at energy security. First, it is about generating our own renewable energy to avoid price volatility and exposure to authoritarian regimes, ensuring that we have the jobs here at home for design and construction. Secondly, it is about the national security issues around our energy infrastructure, which is also a form of energy security. A former MI6 chief has warned of the vulnerabilities, either deliberate or inadvertent, posed by foreign-controlled software embedded in our energy infrastructure. Given those serious concerns, can the Minister guarantee that any further investment in Scotland will increase both our energy and our national security?