Energy: Tidal Generation

Lord Forsyth of Drumlean Excerpts

Tuesday 22nd November 2011 Lords Chamber

[Baroness Stowell of Beeston]

This Government are absolutely committed to being the greenest Government ever. On the solar feed-in tariffs that the noble Baroness mentioned, the changes that the Government introduced are precisely to ensure that that industry is sustainable and exists into the future. As to tidal stream and what the department is doing to work with the industry, it has put forward innovation funding of £20 million and it is working closely through the UK marine energy programme, which is chaired by the Minister, Greg Barker, and includes representatives of the technology developers, the utilities, the large industrial organisations and financiers. The Government are committed to supporting this new and emerging industry.

[Lord Forsyth of Drumlean]

My Lords, would it not be fairer for the consumers of electricity in this country if the costs of these schemes, including the solar power and tidal schemes, were clearly put on their bills so that people would know how much extra they were paying for them? They are subsidised by the consumers. Therefore, this is a subsidy for wealthy people from poor people who are struggling to pay for their energy costs.

[Baroness Stowell of Beeston]

I share my noble friend’s concerns about people subsidising others in the way that he has described. If the Government did nothing on the feed-in tariffs for solar power panels, the equivalent of around £9.50 would be added to the average domestic bill. By introducing the changes that we are proposing, that would be reduced by 2014 to around £2.50 or £3. As to his specific proposal of identifying these costs on bills, I will certainly explore that idea with noble friends at the Ministry.