Oral Answers to Questions

Lord Bellingham Excerpts

Tuesday 3rd July 2018 Commons Chamber

[Mr Hammond]

I can give it to the hon. Lady now, with a brevity you will be proud of, Mr Speaker. It is £2.27 billion in 2023-24.

[Sir Henry Bellingham (North West Norfolk) (Con)]

9. What assessment his Department has made of the effect of the tax regime for onsite battery storage on the development of the UK battery storage market.

[The Economic Secretary to the Treasury (John Glen)]

The Government have a number of policies in place to support the development of low-carbon technology, including battery storage technologies. Those include the carbon price support mechanism, which encourages decarbonisation of the power sector; the Government’s smart systems and flexibility plan; and the Faraday challenge fund.

[Sir Henry Bellingham]

I am very grateful to the Minister for that reply. Is he aware of the huge investment in the offshore wind sector along the Norfolk and Lincolnshire coast, where more than 1,000 individual turbines are in place, with the prospect of many more to come? The key breakthrough that is required is enhanced battery storage technology, which will enable wind-generated electricity to be put through the grid on days when the wind is not blowing. What more is he going to do to try to incentivise further breakthroughs on that?

[John Glen]

I am grateful for that question. My hon. Friend is correct; we are maintaining our position as a global leader in offshore wind. But the combination of that with support for the battery storage sector is important, and we will be supporting it through the capacity market, which is helping to bring down costs.