Lord Haskel
Main Page: Lord Haskel (Labour - Life peer)My Lords, I put my name down to speak in this debate because climate change seems to have taken a back seat recently—a back seat to the economics of the comprehensive spending review. I welcome this debate to re-emphasise its importance. I also broadly welcome the Minister's opening remarks about continuing the non-partisan work on the security of supply and the green economy.
The Minister also spoke about value for money. I am not sure what he means by that. Incidentally, I wonder whether he has consulted the 100-page book in the Treasury which lays out the value-for-money rules in public expenditure. To plan future energy policy, it seems to me that there are four things for the Government to do: first, win the climate change argument; secondly, plan a future supply of low-carbon energy; thirdly, forecast the way that we will use it; and, fourthly, learn how to influence our behaviour so that points two and three will work.
The Minister had nothing to say about winning the argument. My noble friend Lord Grantchester hinted at it, and the noble Lord, Lord Lawson, explained exactly why winning the argument is urgent and never-ending. It is difficult, and changing economic conditions encourage scepticism. The noble Lord, Lord Lawson, spoke of the USA. I agree that the midterm election in the United States does not bode well for the climate change argument. It is difficult to know how scientists can win the argument in America when the other side claims that it is acting on God's will.
However, the Royal Society, in its helpful document summarising the science, lists those aspects of climate change on which there seems to be wide agreement: how surface temperature has changed; how concentrations of CO2 have increased; and how those effects are related to human activity. The Government have to stick to those basic arguments and make the case that unless we act, this trend will continue. The sceptics argue over by exactly how much the earth's temperature will change, but I do not think that that is an argument for government. The argument for government is the effect that all this will have on sea level, on agriculture, as my noble friend explained, on communities, on ecology, and that it is irreversible, as my noble friend Lord Giddens explained. I know that we already have laws about carbon reduction, but even so, it is necessary to engage with and keep winning the argument.
I agree with my noble friend Lord Whitty. Planning the supply of energy over the next 40 years means having a mix: coal and gas, bioenergy and renewables, nuclear, and anything else that comes along. Despite what the noble Lord, Lord Lawson, said, decarbonising the energy supply will require a substantial and sustained investment in research and in equipment, and investment in a smarter and more efficient distribution method. We need to rethink our whole network to accommodate the electrification of sectors which do not use electricity at present, such as delivering electricity to fuel car cells from offshore wind farms. Does that mean a bigger network or a more local network? Probably, a more local one.
The noble Baroness, Lady Maddock, spoke of microgeneration. I was speaking to people at NASA recently, who are talking about supplying small nuclear generators buried in the ground which will supply a cluster of buildings for 20 years without servicing. The noble Baroness is right. Such green technology is an important area for growth.
Several noble Lords have reminded us how much of our energy is imported, and the security and source of those imports is a matter of constant concern. That and climate change enormously influence our future energy policy. Planning the supply of energy is intimately tied up with our forecast of how we use energy. Most expect a substantial increase in the electrification of heating and transport, but the production has to be decarbonised. At the same time, we must reduce our use of energy and use it more efficiently, which means lifestyle changes and changes in our behaviour. Perhaps the most important sector for decarbonisation is transport—electrification of road transport and, at the same time, getting people off the road and on to rail—but the message in the CSR is mixed. We are promised more rail electrification but, at the same time, fares are going up. Some parliamentarians are campaigning against the proposed new high-speed rail scheme to Birmingham while the Mayor of London, instead of increasing the charge for road use, is reducing the congestion charge area.
Changing and influencing behaviour are most easily done by pricing. It seems to me that the Government are not only missing an opportunity in the CSR but sending out a mixed message which will only make things worse. Influencing lifestyle and changing behaviour are certainly part of energy policy. Downing Street has a special unit studying behaviour change and it will be interesting to hear from the Minister about how that unit anticipates influencing our behaviour so that we use less energy. The acronym it uses for the elements that have been found to impact on our behaviour is MINDSPACE. The Minister will have to be careful with this acronym, as it is going to be easily misinterpreted because there is something rather sinister about it. There is probably somebody blogging about it as we speak.
To influence behaviour, you have to make value judgments and those values are open to all kinds of political interpretations. Is it appropriate for the state to influence behaviour and set the limits of personal responsibility in this way? This is a very controversial area. However, when limited to the effects of climate change, to the use of less energy and to the acceptance of new technologies and the necessary change in lifestyles involved, MINDSPACE could be on pretty safe ground. I hope that the Minister will continue to champion climate change and security of supply as a driver for energy policy and I wish him every success in this important work.