Lord Barker of Battle
Main Page: Lord Barker of Battle (Conservative - Life peer)(13 years, 11 months ago)
Commons ChamberRead Full debate Read Hansard Text
Sarah Newton (Truro and Falmouth) (Con)
2. What recent representations he has received on Government support for deep geothermal energy production in the UK.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
My Department engages regularly with the deep geothermal sector, and believes that that exciting renewable energy source has considerable unexploited potential. I shall be meeting the key players in the sector in the new year.
Sarah Newton
I thank the Minister for his helpful response. Deep geothermal power could generate 10% of the United Kingdom’s energy needs. It is a tried and tested technology which provides energy in countries throughout Europe. The last Government did not support that type of power generation, and rejected calls for the introduction of a licensing structure similar to those of other European countries. What are the Government doing to provide support for this important energy sector?
Gregory Barker
My hon. Friend has fought a vigorous campaign on behalf of this exciting new form of energy. I am delighted to say that, at my direction, officials are actively examining the practical and legal aspects of an exploration licensing scheme covering geothermal heat and power projects, which will be vital to unlocking the true potential of this renewable energy source.
Hugh Bayley (York Central) (Lab)
3. When he last met representatives of (a) Ofgem and (b) energy suppliers to discuss consumer energy prices.
Damian Hinds (East Hampshire) (Con)
5. What support his Department is providing for community energy schemes; and if he will make a statement.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
The coalition wants local communities to share the business rates generated from large-scale renewable energy projects and to benefit from financial incentives for smaller renewables. DECC has also recently launched the community energy online website to provide advice and support for both communities and local authorities.
Damian Hinds
My hon. Friend will be aware of the greening campaign, which started in Petersfield in my East Hampshire constituency and has now spread to 200 towns and villages. What can he do to help such bottom-up community-based organisations as they go about providing facilitation and practical support to local groups that are looking to develop community energy schemes?
Gregory Barker
The greening campaign in my hon. Friend’s constituency is an excellent initiative. As he knows, community engagement in the energy sector will be vital to our vision of the development of energy in the UK in the coming decades. We are helping communities to access the planning system more effectively through the Localism Bill and giving them more information and advice with the new community energy online website. The finance mechanisms that we are putting in place with feed-in tariffs and the renewable heat incentive will be a great help.
Huw Irranca-Davies (Ogmore) (Lab)
In response to my question in the last DECC questions, the Minister suggested that all was light and joy in the photovoltaic sector and with the feed-in tariffs. Within days, however, he had called the sector in for an urgent meeting. Speculation is rife that he will rush forward a review, and the headlines shout, “Clouds gather over solar park gold rush”. If there is a genuine problem, why does not the Minister stop denying it, stop passing the buck and get on and fix it? After all, that is what he is paid for.
Gregory Barker
The hon. Gentleman is absolutely right—we inherited a real mess from the last Government with ineffective legislation. Just as with the national debt, it falls to this coalition to clear it up. I took action—I did not dither—and I have called in the industry. We will put a stop to the gold rush that might have developed as a result of Labour’s lousy legislation. We will not allow large speculators in field solar to soak up available funds that are intended for community and household projects.
Mr Dave Watts (St Helens North) (Lab)
6. What discussions he has had with representatives of business organisations on the carbon reduction commitment energy efficiency scheme.
Bridget Phillipson (Houghton and Sunderland South) (Lab)
9. What plans he has for the future of the carbon reduction commitment; and if he will make a statement.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
My right hon. Friend and I regularly meet businesses to discuss climate change and energy issues. My officials are also discussing how to simplify the policy landscape with a wide range of CRC and climate change agreement participants. This will inform the proposals the coalition will bring forward next year.
Mr Watts
I thank the Minister for his response. On energy efficiency, will he assure me that the Government will include double glazing in their green deal? Will he meet me and Pilkington glass, from St Helens, to discuss the contribution that that company can make to energy conservation and the impact that VAT increases will have on future double glazing sales in the UK?
Gregory Barker
We want the green deal to be technology inclusive. Any technology or energy efficiency measure that can pass our golden rule of providing the savings needed will be considered very kindly. We want it to be inclusive and for it to drive innovation and technology.
Bridget Phillipson
What reassurance can the Minister give us that he will closely consider the Government’s position to ensure that the initiative works for businesses while also driving down emissions?
Gregory Barker
Absolutely. We had to take a tough decision on the CRC to end revenue recycling, as a direct result of the state of the public finances we inherited. We are talking closely with business and will be having further discussions in the new year to ensure that it remains an efficient measure of driving forward energy efficiency in businesses. We believe that there are billions to be saved in the private sector in that way.
Huw Irranca-Davies (Ogmore) (Lab)
This week, the Secretary of State was quoted as saying that he does not mind being seen as the Tesco of energy policy, with more for less—being greener for less. Tesco, however, is one of the organisations that will be stung by the changes to the CRC that have, in effect, made it a crude stealth tax for the Chancellor rather than an intelligent driver of energy efficiency. How did Ministers surrender their green credentials to the Treasury so easily and what does this stealth tax—described politely as a “bit of a bombshell” by a local government spokesman—mean for the public sector as well as for the private sector?
Gregory Barker
The hon. Gentleman is in denial about the appalling state of public finances that we inherited from the previous Government. Yes, the coalition is taking action to reduce the deficit—absolutely. That is why we are not the basket case that we would have been had the Labour party remained in Government. The CRC will help to drive energy efficiency. We know that about £1.6 billion is still paid by large companies in the UK as a result of energy inefficiency and we hope that this measure, which will become more effective, will help to drive greater efficiency in UK plc.
Andrew Percy (Brigg and Goole) (Con)
7. If he will make it his policy to provide long-term revenue support for renewables obligation certificates for marine renewable technology to ensure that developers and manufacturers locate themselves in the UK.
Gregg McClymont (Cumbernauld, Kilsyth and Kirkintilloch East) (Lab)
8. What recent discussions he has had with the Secretary of State for Environment, Food and Rural Affairs on mandatory carbon reporting for private companies.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
I met my noble Friend the Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs in October to discuss this issue ahead of the coalition’s bringing forward further proposals in the new year.
Gregg McClymont
I thank the Minister for his answer, but legislation is already in place to oblige companies to report their carbon emissions. Will the Government use those powers to fight climate change—yes or no?
Gregory Barker
We will announce a robust way forward in the new year that will require a clear route map on how companies are required to report their carbon emissions, as they are required to do by the Climate Change Act 2008.
Miss Anne McIntosh (Thirsk and Malton) (Con)
Will my hon. Friend ensure that, through the carbon reporting mechanism, the good work that water companies and others are doing by creating carbon sinks in peat bogs and water storage upstream is more widely known so that we can support it? One example of that is the Pickering pilot project in North Yorkshire, which also brings flood alleviation benefits.
Gregory Barker
As Chairman of the Environment, Food and Rural Affairs Committee, my hon. Friend is well known as an expert on the matter. She makes some very good points and I shall ensure that they are taken into account when we formulate policy on the way forward.
Diana Johnson (Kingston upon Hull North) (Lab)
10. What estimate he has made of the change in the number of homes in receipt of assistance with heating and insulation improvements consequent on the proposed reduction in expenditure on the Warm Front scheme.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
The Warm Front scheme is expected to assist approximately 170,000 households in 2010-11. While we transition to the more ambitious green deal framework, DECC will fund a more targeted Warm Front scheme helping approximately 57,000 households in 2011-12 and a further 50,000 households in 2012-13.
Diana Johnson
Warm Front has helped more than 2,000 households in my constituency of Hull North, with energy efficiency measures that have reduced fuel bills and started to fight fuel poverty, but many more households still need help from Warm Front. What guarantee can the Minister give me and my constituents that the help, especially now that we have such severe winter weather, will be available over the next couple of years?
Gregory Barker
Over the next couple of years, we will be transitioning to the green deal. The fact of the matter is that Warm Front per se was not up to the scale of the challenge of renewing and refurbishing our homes in Britain. If we were to rely on Warm Front, at that rate of progress it would take 82 years to refurbish the 14 million homes we need to refurbish. We are going for a much more ambitious scheme—the green deal. It will be a real game changer and we shall introduce measures in legislation in the other place before Christmas.
Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)
The last time I questioned the Minister, he said that we really have to attack fuel poverty. National Energy Action recently forecast that fuel poverty is set to rise to 5.5 million households next year, the highest level for 15 years. That is one in five homes, yet yesterday we learned that this year’s money for Warm Front—a key weapon in tackling fuel poverty—has run out. This morning, we have heard about reviews, but with the bitterly cold weather, rising energy bills and the warm homes discount not due to kick in until next year, what are the Government actually doing now to attack fuel poverty?
Gregory Barker
The hon. Lady raises a very important point, but as I just said to her hon. Friend the Member for Kingston upon Hull North (Diana Johnson), Warm Front—the key weapon under the previous Government—signally failed. Under the previous Government, we saw fuel poverty more than double; it rose from 2.5 million in 2005 to 4.5 million now. Warm Front signally failed; we need to be far more ambitious. The green deal will be the game changer, and it will bring in billions of pounds. As for now, we inherited a Warm Front waiting time for installations of between three and six months. Anyone requiring heating to cope with the cold weather now cannot rely on Warm Front, and I am afraid they never have been able to.
Andrea Leadsom (South Northamptonshire) (Con)
13. What assessment he has made of the efficiency and effect on quality of life of onshore wind farms.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
Communities are where big society meets big energy, and the coalition intends to drive new community-led, low-carbon energy projects with strong financial incentives and better information and guidance. We have already acted to allow local authorities to sell the energy that they generate.
Julian Smith
Speaking to representatives of the excellent Settle hydro scheme in my constituency, I was struck by the amount of red tape that they have had to deal with to get the project off the ground, and the legal action that they have had to deal with from environmental groups. Will my hon. Friend make it as easy as possible for community energy projects to get off the ground in the coming 12 months?
Gregory Barker
The Settle micro-hydro scheme is exactly the sort of scheme that we want to see more of and encourage, but my hon. Friend is absolutely right: we need to make it easier for communities to take the initiative. That is why we are making it easier to get through the planning system and providing more financial incentives; and we have also launched a website to give people the information they need.
Christopher Pincher (Tamworth) (Con)
20. What recent progress he has made on facilitating new nuclear power stations without public subsidies.
Mr Mark Spencer (Sherwood) (Con)
21. What plans he has to meet representatives of the heating industry to discuss the proposed green deal for energy efficiency.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
I have recently met heating industry representatives and have invited the heating and hot water taskforce and the Heating and Hotwater Industry Council to be represented on the green deal stakeholder forums that I have established. I want the whole industry to be actively engaged with us on the green deal.
Mr Spencer
I am grateful to the Minister for his response. I was interested to hear his response to the question from the hon. Member for St Helens North (Mr Watts) on the consideration of glazing in the green deal. Will the Minister confirm that he will consider the replacement of old and inefficient heating systems in the green deal?
Gregory Barker
There will certainly be scope for heating systems to be included in the green deal. We want the green deal to be as technology-inclusive as possible, and we want to drive innovation. Any energy efficiency measure that costs less to install than it pays back over a specified period will be eligible. That includes heating measures.
Chi Onwurah (Newcastle upon Tyne Central) (Lab)
22. If he will assess the effect of recent winter weather on the heating bills of the elderly and others in the Newcastle upon Tyne Central constituency.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
Local area energy data are produced on an annual basis covering all homes in a local area. As such, it is not possible to assess short-term changes in energy consumption by specific household types. However, the latest information suggests that eligible households in the Newcastle upon Tyne Central constituency have received between one and three cold weather payments so far this winter.
Chi Onwurah
This week, Eaga—the green energy company that is headquartered in Newcastle—placed 1,400 people on notice of redundancy as a direct result of the 70% cuts to the Warm Front programme that the Government have implemented. Considering 18% of Newcastle constituents live in fuel poverty, will Newcastle not suffer twice over as a result of the Government’s approach to fuel poverty?
Gregory Barker
I am very sorry to hear about the redundancies at Eaga. That is very regrettable. Eaga still has to fulfil about 70,000 jobs this winter, between now and the end of the financial year. However, we need to get more investment into the energy efficiency sector in the long term, which means opening it up to the private sector and getting in billions not hundreds of millions. The green deal is the way forward to achieve that.
Robert Halfon (Harlow) (Con)
T1. If he will make a statement on his departmental responsibilities.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
One of the real steps forward at Cancun was progress on rainforests and forestry in general. Within the package of measures that was agreed was clear text making it absolutely crystal clear that preserving biodiversity and preventing perverse consequences of supporting palm oil plantations would be a key part of rainforest protection and funding.
Malcolm Wicks (Croydon North) (Lab)
On energy security, will Ministers examine critically the supply obligation that we place on companies, given that the tendency to buy short term rather than long term, and sometimes on the spot market, means that there can be no absolute guarantee that the supply will be in place in critical and extreme times for the world?