Infrastructure Bill [HL] Debate

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Department: HM Treasury

Infrastructure Bill [HL]

Lord Borwick Excerpts
Monday 10th November 2014

(9 years, 6 months ago)

Lords Chamber
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As the noble Lord, Lord Deben, said, one of the problems is that different rules apply in different states in America. We have a strong set of rules in this country, but people need to know that those who judge, for example, the integrity of the wells, have no link, other than being funded by them, with the companies involved. I hope that the Minister will be able to assure me that the Government have taken that on board. I understand the point about the free market, but, as my noble friend Lord Hollick said, people need to know that it is not those with an interest in the business who are judging the safety and security of the wells, but those whose only concern is to report the truth. If the Minister cannot give that rock-solid guarantee, the people of Lancashire who have spoken to me will not be happy. That will delay the process, and nobody wants that.
Lord Borwick Portrait Lord Borwick (Con)
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My Lords, I think that the period for monitoring proposed in Amendment 113G—the previous 12 months—is unnecessary. The British Geological Survey found that background methane in aquifers is generally low. It also concluded that the majority of sites it studied showed little change in methane levels. That says to me that we should monitor situations on an individual basis, based purely on risk and not on anything else. Extensive monitoring like that proposed in the amendment is only going to delay safe projects from going ahead. Once we get a green light at an extraction site, we should get on with it.

On Amendment 115A, I do not see a great need for the Government to spend time putting together a report on fugitive emissions. Industry will already monitor emissions from the site; indeed, all the companies involved are committed to doing so. Fugitive emissions occur from leaks and poor-quality construction. In the UK the well design and plans have to be signed off by the regulators and reported on, so that is unlikely to be a major issue. Civil servants could spend their time far more productively than in producing such a report.

Baroness Jones of Moulsecoomb Portrait Baroness Jones of Moulsecoomb (GP)
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I support Labour’s amendments. They attempt to improve the regulatory framework but they do not go far enough. I hope that other amendments will be pushed through. We need a complete rejection of fracking. The things that have been said so far are not borne out by the facts and it would be very interesting to see future examples of just where fracking has gone very badly wrong.

We need to see a reprioritisation of renewables and energy efficiency. That would reduce our overall energy demand and make us much more able to fulfil our agreement under the Climate Change Act. Energy efficiency and renewables are already delivering jobs. They are very good at supplying employment and will do much more for energy security, lower bills and reduced emissions than an unacceptably risky shale gas industry can ever do.

The Bill contains some very worrying new measures that will, if given the green light by Parliament, threaten the UK’s wildlife. No one seems to take that into account. It will also promote the unfettered extraction of unconventional fossil fuels, which will undermine the Climate Change Act and our ability to avoid, as one nation among many nations, dangerous climate change.

The coalition talks endlessly about its supposed concern for future generations when it comes to reducing the budget but the same level of commitment is, surprisingly, absent when it comes to the environment and handing on a planet fit to live on. The next generation will be given a very degraded natural world if we do not understand the sort of damage that fracking can do.

If we want any more evidence that this is not the “greenest Government ever”, we need look no further than Clauses 32 to 37 and the deeply worrying and hugely unpopular new provisions to give companies the freedom to frack under our homes without letting us know. The Government have pushed ahead with this change despite recent polling showing that 75% of people are against it and the fact that 99% of respondents to the consultation rejected the proposals. I remind noble Lords that those people are voters.

If we look at just how much we have to do if we are not to allow the world to heat by more than 2 degrees—although it is probably already too late to avoid that—it is clear that fracking cannot be part of it. It is not even as though shale gas will bridge the gap that we keep hearing about between now and a future based on renewables. Shale gas will not be online until about 2020, or even well into the 2020s, so if the Government stick to our commitments under the Climate Change Act and coal is offline by the early 2020s, shale gas will not be replacing coal. We will see exactly what we have seen happening in the United States, which is that it is simply able to export more coal when shale gas fills its own energy needs. Shale gas merely displaces fossil fuels; it does not replace them. Professor Dieter Helm of Oxford University has told us that there is enough gas and coal to fry the planet several times. But of course we cannot use it. It must stay locked up. That is the most efficient form of carbon capture: leave it as coal.

These clauses will also allow fracking companies to undertake activities that have not yet been assessed for their environmental safety, including the keeping of substances within infrastructure on the land with no limits on what can be kept or for how long. Injection wells could be extremely damaging. They have caused problems in the United States, particularly in Ohio, where there have been earthquakes.

We know that the existing regulatory framework is full of gaps. Rather than continue the obsession with deregulating fracking and allowing the industry—an industry that the Chancellor proudly stated has the most generous tax regime in the world—to regulate itself, the Government should see this as an opportunity to introduce regulation that is fit for purpose in order to safeguard the climate. Balcombe, which has been the scene of a lot of interest in the context of fracking, has now decided to go carbon-neutral. If Balcombe can do it, the rest of us can do it.

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Lord Wigley Portrait Lord Wigley
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As I was saying before such diverse interventions, I welcome these amendments. They exclude important parts of these islands from the impact of fracking.

I come back to the experience of the United States—I will be talking more about that in the next group of amendments. The experience of the United States has been scorned in our previous debates, but it teaches us to be extremely careful before allowing such developments in our more sensitive rural areas. I accept that perhaps the rules will be different in the United Kingdom compared to the United States. That is one of the reasons why we need to have rules in the United Kingdom to look after these areas. Most certainly in the United States, to my knowledge, there are areas that have suffered not just from the effects underground but also very badly on the surface.

Noble Lords will be aware of the classic book Rape of the Fair Country by Alexander Cordell. We in Wales know what such extractive industry can do to our beautiful countryside and its effect on all sorts of wildlife. My only reservation with this amendment is merely that it does not go far enough and that many sensitive environments are excluded from being governed by it.

Lord Borwick Portrait Lord Borwick
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My Lords, I only wish that I could agree with the noble Lord, Lord Judd, that it is a short-term exercise to get planning permission for this sort of development. The planning permission process will take many months, probably years, and cost a large amount of money. It is not a short-term exercise, and that is why I think this amendment is unnecessary because it will be up to the local council or local planning authority to grant the planning permission, with all the pressures put upon them to make the decision to protect the environment. With these sites listed in this amendment, I do not think they are going to get the planning permission which the noble Baroness fears they will. I really do not think it is going to be possible.

Secondly, I am sorry that—despite trying to listen to it—I am not sure I fully understood the meaning of “functionally linked”. How wide a definition will that actually be in practice? I wonder whether the noble Baroness could help in explaining that?

Earl of Caithness Portrait The Earl of Caithness
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My Lords, I rise to oppose these amendments. I understand the principle behind them but, as my noble friend Lord Jenkin has reminded us, we are talking about something that is going to happen well below the surface. Having taken that into account, and while I agree with him that the amendment is in the wrong place, I also think that the principle of the amendment is quite important. However, what the noble Baroness has totally failed to do, and what the noble Lord, Lord Judd, has failed to do, is to explain why the present system of controls is not adequate.

I do not class myself as an environmentalist; I class myself much more as a countryman. I have a much broader range of interest than an environmentalist would have. The house that I used to own very recently up in Caithness was right beside an SSSI, and on that SSSI there wintered whooper swans and lots of geese and ducks. Around us there are now eight wind turbine farms. This is a huge area—an important one for nature—but the argument was looked at for every single one of those turbines. More recently, a planning application was made for four wind turbines to be sited much closer to the SSSI. My house was perhaps one of the nearest that was going to be affected by that and I lodged my objection on the grounds of nature and what effect the four wind turbines—which are considerably bigger than anything we are talking about in the fracking process and would be at a higher level for much longer—might have on the flight path of geese and swans.

The planning process worked perfectly and the decision was turned down. It has gone to appeal and I do not yet know what the result of that is, but my point is that the existing procedures are there now to protect such sites as these. I used the existing procedures and the planners looked at the existing procedures and agreed with all of us that had objected to these four wind turbines. I believe that what we have got in place is sufficient and we do not need any more.