Lord Barker of Battle
Main Page: Lord Barker of Battle (Conservative - Life peer)(11 years, 1 month ago)
Commons ChamberRead Full debate Read Hansard Text
Luciana Berger (Liverpool, Wavertree) (Lab/Co-op)
16. What steps he is taking to help households improve their energy efficiency.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
For the first time ever, the UK now has a national energy efficiency strategy. This is something no Government have put in place before. Helping to cut energy bills is at the heart of this drive through the green deal, energy company obligation, electricity market reform, smart meter roll-out and support for innovation, research and development. They all demonstrate the Government’s determination to drive unprecedented investment into energy efficiency.
Alex Cunningham
I think that just 25 people have benefited from the green deal in my constituency so far, but thousands of people across Stockton-on-Tees could have warmer homes thanks to a tremendous project to externally clad their homes run by the borough council and deliverer partner, Go Warm. This has attracted £20 million of investment and 300 jobs. Sadly, a legal judgment means that BT is the only company that can remove the eyelets that support the wires in the houses that are benefiting from the scheme. This is slowing the programme down because of insufficient resources to do the work in a reasonable time. Will the Minister please intervene, tell BT to get its act together, get the work done more quickly and give my constituents the warmth they deserve?
Gregory Barker
The hon. Gentleman raises a legitimate point about BT. I will certainly look at this in more detail and would be happy to meet him to discuss it. We want to press ahead. We have an ambitious efficiency programme, which is led by the energy company obligation. We believe that through a combination of the ECO and the green deal, nearly 250,000 people will have seen their homes improve by Christmas.
Ann McKechin
Fuel poverty is increasing, but the amount of money spent on energy efficiency programmes directed at the fuel poor has decreased by 50% since 2010. Is it not time that the Minister changed his priorities?
Gregory Barker
The hon. Lady seems to be confusing the record of the coalition with that of the last Government. During the last Parliament, fuel poverty rose in every single year; under the coalition, it has fallen in every year. [Interruption.] The definition has not been changed yet. It will be changed next year, on a cross-party basis.
We still have a great deal to do, but this Government are rolling up their sleeves and making a difference, unlike the last Government. They had the chance to deal with fuel poverty, but it rose in every single year of the last Parliament.
Luciana Berger
The Government forecast that the green deal and the energy company obligation would create 60,000 jobs, but earlier this year the Insulation Industry Forum confirmed that more than 4,000 jobs had been lost during the transition to the ECO. Just the other week, Carillion, a leading green deal provider, was forced to announce a restructuring that is expected to lead to further job losses in the green deal sector. That is a disaster for the workers who are affected, for their families, and for our low-carbon industry. Can the Minister confirm the number of people who have lost their jobs since the scheme was launched, and can he explain why this is happening?
Gregory Barker
We are certainly seeing a change in the industry, and we expect to see a structural change. New companies are now entering the market. The growth that we are seeing is not in the big energy companies created by the last Labour Government, but in the small and medium-sized enterprises, the independents and entrepreneurs who are being championed by the coalition. The ECO is helping more than 215,000 households, and we expect it—in combination with other measures—to enable nearly a quarter of a million homes to benefit from insulation, and from a range of new products that were not available before, by the end of the year.
Charles Hendry (Wealden) (Con)
Does my right hon. Friend agree that fuel poverty would be worsened if the cost of the capital required for the billions of pounds of new investment rose because of heightened political risk associated with the United Kingdom? Indeed, is that not exactly what the Leader of the Opposition has achieved? Surely his comments will make fuel poverty worse.
Gregory Barker
My hon. Friend, who has huge experience in these matters, is absolutely right. Labour’s policy would scorch investment. According to an analysis by Cornwall Energy, which leads the monthly forum for independent energy companies, Labour’s policy is “wrong”, and
“based on imperfect information, flawed assumptions and emotion, which will cost the consumer dearly. There are at least five significant problems with it.”
Labour’s policy would indeed have an impact on the cost of capital and on investment, and consumers—particularly vulnerable consumers—would be left to pick up the pieces.
Miss Anne McIntosh (Thirsk and Malton) (Con)
A report by Anna Walker did a huge amount to improve energy and water efficiency. What are the Government doing to educate people, and to advise them not to heat water beyond what they use and to become more energy and water-efficient?
Gregory Barker
Any green deal assessment will feature a number of recommendations. We have found that people are very pleased with their assessments. More than 80,000 people have had a green deal survey, and 81% said that as a result of a survey they had taken action, would be taking action or were currently taking action, while 72% said that they were recommending the green deal to their friends. It is still early days, but the green deal, with its range of measures from handy tips to big structural changes in homes, is the way forward.
Mr Philip Hollobone (Kettering) (Con)
I have been contacted by a pensioner constituent whose annual heating bill is £700. He lives in a terraced house in the middle of Kettering with a solid wall that requires external insulation and rendering. He has been in touch with 17 local companies, and has been told that he must pay between £4,000 and £15,000 to get the work done and that the green deal is not available to help with that type of work. Can the Minister please advise?
Gregory Barker
That is very puzzling, because the ECO, which is designed to complement the green deal, has exactly that sort of consumer in mind. I should be happy to meet my hon. Friend to discuss his constituent and see how we can help.
Mark Lazarowicz (Edinburgh North and Leith) (Lab/Co-op)
During the passage of the Energy Bill I raised with the Minister the way that the Government’s policy on simplifying tariffs is resulting in some customers paying more. Ofgem’s recommendation of the reintroduction of standing charges is resulting in some customers who are energy-efficient, increasing, rather than lowering, their bills. That cannot be right. Why cannot the Government look into it?
Gregory Barker
I am sorry, but I did not catch all of the hon. Gentleman’s question. He raises a serious point, however, and I will be very happy to talk to him in more detail about our tariff plans. This is a Government who are taking real action to simplify tariffs, to get on the side of the consumer and to deliver better value for money after years of inactivity and inaction under the last Labour Government.
Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op)
Because this Government will not stand up to the energy companies, Ministers in other Departments are clearly eyeing up the ECO scheme that funds energy-saving measures as a short-term, although counter-productive, way to reduce bills, but is not the poor running of the ECO scheme by Ministers what has made it so vulnerable? It is too bureaucratic, it is not geographically focused and it does not prioritise the genuinely fuel-poor. What is the Minister going to do to sort it out?
Gregory Barker
First, may I welcome the hon. Gentleman to his post? I am not sure whether he is the 10th or 11th member of the Labour party I have had opposite me on the Labour Front-Bench, but I hope he has a long stay on the Opposition Front-Bench—a very long stay indeed.
The hon. Gentleman’s criticisms of the ECO are misplaced. I am not saying it is perfect, and as we go forward we will always look to improve the scheme, but, as I said earlier, we anticipate that between 215,000 and 230,000 homes will be helped by the ECO by Christmas this year—that is nearly a quarter of a million families benefiting from warmer homes and cheaper bills. I will be very happy to organise a briefing for the hon. Gentleman, so next time he can, perhaps, come to questions a little better prepped.
Mr Marcus Jones (Nuneaton) (Con)
4. What progress he has made on encouraging investment in new nuclear power.
Jeremy Lefroy (Stafford) (Con)
8. What proportion of UK energy demand is met by renewable sources.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
In 2012, under the measure used for the 2009 EU renewable energy directive, renewable sources contributed 4.1% of gross final energy consumption. In terms of renewable electricity, however, the share of overall generation has more than doubled in the last three years, from 6% in the second quarter of 2010, when the Labour party left government, to 15.5% in the second quarter of 2013.
Jeremy Lefroy
I welcome that answer from my right hon. Friend. Alstom in my constituency supplies component parts for turbines used in tidal lagoons, such as those proposed by Tidal Lagoon Power, a consortium of which Alstom is a member. What is my right hon. Friend doing to support such tidal projects, which generate clean electricity and provide critical base load energy?
Gregory Barker
My hon. Friend will know that this Government have put much greater emphasis on driving forward the efforts to develop the potential for marine energy around our shoreline. We have created two marine energy parks to do that. Tidal lagoon is a very interesting technology. The project in Swansea is at a pre-planning application stage, so I cannot give a specific answer on that project, but we are interested in working on research and development to drive the technology forward.
Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
I do not know whether the Minister is as early a riser as I am, but on “Farming Today” there was a poor farmer who had been encouraged by a £1 million grant to grow willow and miscanthus. There is no market for it, nor great storage for it, so what kind of policy is that? Will the Minister listen to that programme, even if he has to listen to it on iPlayer, and do something about farmers who are trying to contribute to renewable energy?
Gregory Barker
A poor farmer with a £1 million grant seems a slight oxymoron, but I am sure that the hon. Gentleman is making a real point. I will happily look into the programme he mentions, but I regularly meet the National Farmers Union, the Country Land and Business Association and a range of stakeholders with an interest in bioenergy. We are making great progress under this Government and picking up the slack left by the last.
Mr Speaker
Order. The hon. Member for Huddersfield (Mr Sheerman) is wittering away from a sedentary position and meanwhile the right hon. Member for Mid Sussex (Nicholas Soames) is chuntering about the merits of cricket bats. I have not yet had the pleasure of observing the right hon. Gentleman bat, but I feel sure that that delight awaits me in due course.
Bill Wiggin (North Herefordshire) (Con)
If The Times is correct that the nuclear industry will receive twice the wholesale price for electricity, what are the implications for renewable energy, and does that mean that we can continue to grow the sector?
Gregory Barker
The thing about this Government’s energy policy is that we want a range of technologies. Energy security will come from diversity, and we are committed to driving forward the nuclear programme in a way that the previous Labour Government did not, but not to the exclusion or detriment of significant investment in a range of other technologies, including, importantly, renewables and energy efficiency.
Nic Dakin (Scunthorpe) (Lab)
What are the Government doing to ensure that the investment in the renewable industry paid for by UK taxpayers and UK energy bill payers results in jobs in the UK, not jobs elsewhere?
Gregory Barker
That is a very good question. We are doing a great deal more than the previous Government. The London Array, for example, was a fantastic installation, but it is a shame that 80% of it was constructed and contracted abroad. We now have an industrial strategy. We are working in partnership with the industry to establish, mobilise and grow a supply chain here in the UK. Only if we have a really vibrant UK supply chain is the roll-out of renewables at scale genuinely sustainable.
Neil Carmichael (Stroud) (Con)
9. What steps he is taking to promote competition in European energy markets.
Andrew George (St Ives) (LD)
13. What progress his Department is making towards the UK’s carbon reduction targets.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
The Government are fully committed to meeting the greenhouse gas emissions reduction targets set out in the Climate Change Act 2008, and I am pleased to tell the House that the UK is now 25% below 1990 emissions levels and on track to meet our 2020 34% reduction target.
Andrew George
Many people query why that is important. The recently published Intergovernmental Panel on Climate Change fifth assessment report confirms both the nature and the scale of climate change and human contribution to it. Does my right hon. Friend believe that any Government engaged in evidence-based policy making can afford to ignore these trends? What would be the risks and consequences if we attempted to do so?
Gregory Barker
This Government are very clear that we will continue to drive forward the decarbonisation of the energy sector and of the wider economy, consistent with meeting our targets in the Climate Change Act, which we are committed to. But we need to make sure that we do that in a way that keeps our industry competitive, does not put a burden on consumers and is consistent with growing prosperity. I think this coalition is absolutely up to that job.
Mr Ben Bradshaw (Exeter) (Lab)
Why, then, did the British Government this week help Germany scupper a very important European agreement on reducing CO2 emissions from the most polluting vehicles?
Mr Speaker
Order. I think I heard the right hon. Member for Exeter (Mr Bradshaw) make an allegation of dishonesty. I must ask him to withdraw that word. I think he used a three-letter word which implied direct dishonesty.
Graham Stringer (Blackley and Broughton) (Lab)
It is true that emissions are down both from this country and in Europe, but the contribution of Europe and the United Kingdom to atmospheric carbon dioxide is increasing because of imported manufactured goods. What is the Minister going to do about that?
Gregory Barker
The hon. Gentleman does have a point. Ultimately, we will not defeat dangerous manmade climate change unless there is a global solution. Although we can play our part, the important thing is that we secure a global deal involving all the major economies, particularly China, America and the other fast-growing developing economies, and get everybody on a sustainable economic path. That is why we are putting more and more effort into securing a meaningful, robust global treaty in 2015.
Guy Opperman (Hexham) (Con)
14. What steps his Department is taking to ensure that residents of Northumberland who are off the grid have sufficient support during cold weather this winter.
Michael Fabricant (Lichfield) (Con)
15. What assessment he has made of the potential effects of proposed EU anti-dumping tariffs applicable to solar PV cells manufactured in China; and if he will make a statement.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
Following a robust intervention from the UK, including a delegation of key industry players that I took to Brussels, the European Commission has negotiated an agreement with Chinese exporters that is a significant improvement on the initial EU position. The agreement should mean that we will not undermine the future of the UK solar PV industry or deprive UK consumers of the benefits of cheaper solar panels.
Michael Fabricant
I thank my hon. Friend for that answer. It is good to hear that he stands up not only to the energy companies, but to the European Commission. Does he not agree that if the European Commission had had its way, its tariffs would have not only been inflationary, but damaged the photovoltaic industry, which does so much good in employing people in this country?
Gregory Barker
How typical of my hon. Friend to align himself with an energy source driven by sunshine. I am grateful to him for pointing this out. The UK’s solar sector now has a strong future, thanks to our reforms. It is affordable for consumers, who pay for the subsidy through their bills, and it is now scalable. We are working with the industry to drive down the costs and make this an attractive proposition for consumers up and down the country.
Andrew Stephenson (Pendle) (Con)
17. What steps he has taken to reduce fuel poverty this winter.
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
This year the green deal and the energy company obligation have already transformed the homes of 216,000 low-income and vulnerable households, cutting bills and keeping people warm. Additionally, this winter our warm home discount scheme will pay out to 2 million households, including over 1 million of the poorest pensioners. The Government have also permanently increased cold weather payments to £25 a week, and all pensioners will receive winter fuel payments.
Andrew Stephenson
I thank the Minister for that answer. My constituents want practical help with energy bills, not a rearrangement of the deckchairs at the regulator, Ofgem. Will he confirm what steps the Government are taking to help my most vulnerable constituents keep warm this winter?
Gregory Barker
Absolutely. There will be no return to the 1970s under this Government. We will offer practical help to people struggling with energy bills. This winter, as I have said, that means: a warm home discount worth £135 for 2 million households, including 1.1 million pensioners; guaranteed winter fuel payments for all pensioners; and cold weather payments permanently uprated to £25. Of course, we are also rolling out the most ambitious energy efficiency programme to date, which I am sure will be of great help to my hon. Friend’s constituents.
Steve McCabe (Birmingham, Selly Oak) (Lab)
T1. If he will make a statement on his departmental responsibilities.
Andrew Jones (Harrogate and Knaresborough) (Con)
T4. I welcome the emphasis on microgeneration, including ground-source and air-source heat pumps, plus deploying solar PV on rooftops and brownfield sites where appropriate, and I recognise its potential, but what is being done to stop deployment of the unwanted large-scale ground-mounted PV farms?
The Minister of State, Department of Energy and Climate Change (Gregory Barker)
My hon. Friend makes a good point. We have an ambitious plan for solar, focused on rooftops, on-site generation and brownfield sites. That is why this summer we toughened up the planning guidance, distributed it to local authorities, and made it absolutely clear that the need for renewable energy does not automatically override environmental protections and the planning concerns of local communities. I want to see our guidance in force, and I will be writing to local planning bosses to make sure that they take it on board.
Hugh Bayley (York Central) (Lab)
T2. Under this Government, according to Ofgem’s latest figures, average household fuel bills have increased by £315 a year, while wholesale energy prices have gone up by just £145 a year. That leaves a gap of £170 a year. How much of that is made up by the extra tax taken by the Government from consumers, and how much by higher profits taken by the energy companies?
Julie Hilling (Bolton West) (Lab)
T8. The Minister previously promised me that he would discuss cold alarms with the energy suppliers and let me know their response, but he has not. With people choosing between heating and eating, and with prices ridiculously high, will he please now tell me what progress he has made on cold alarms, which will alert vulnerable people and their carers when temperatures become dangerously low and prevent more unnecessary deaths this winter?
Gregory Barker
I apologise to the hon. Lady. I am not sure whether she actually wrote to me, which I invited her to do following her question. I will look at the issue again after these questions to see where we are, and I will write to her later today.
Peter Aldous (Waveney) (Con)
Will the Minister confirm that he is continuing to work with industry to agree a long-term strategy for the offshore wind sector that will secure large-scale private investment and create thousands of jobs in my constituency and other coastal constituencies?
Julian Sturdy (York Outer) (Con)
In welcoming the new solar road map, in which the Minister sets out guiding principles for the appropriate siting of solar PV, may I ask what added protection from solar farms the road map gives to green-belt land?
Gregory Barker
The road map sets out our industrial strategy. The right place to protect important areas such as the green belt, areas of outstanding natural beauty and grade 1 agricultural land, about which we care passionately, must be the planning process. In particular, we must ensure that local people have a proper say. That is why I am reminding local planning authorities that they have a duty to enforce that.
Mr Speaker
I do not know why the hon. Member for Edinburgh North and Leith (Mark Lazarowicz) was not heard with his first question, but I hope that he will be heard this time.