(5 years, 1 month ago)
Lords ChamberMy Lords, my noble friend is slightly wide of the Question, but I accept that shipping wood across the Atlantic in dirty burning boats is sometimes not the best way to go about things—although, in the transition to getting rid of burning coal, it is a great improvement.
My Lords, one of the best forms of energy for carbon budgets is nuclear. Our civil nuclear programme seems to be in complete disarray. What will we do to get it back on track, so that we can provide a third of the power the country wants from nuclear, which was the Government’s position?
My Lords, I assure the noble Lord that nuclear will continue to play a major part in what we are doing. He is right that it provides useful power with little carbon produced. We will continue to keep nuclear as an option, as I have made clear on a number of occasions.
(5 years, 3 months ago)
Lords ChamberComing from Lincolnshire, my noble friend knows exactly the problems faced by those employed by British Steel in Scunthorpe. As my right honourable friend made clear, particularly in responding to a whole raft of questions from those in another place who have constituency interests, one of our first concerns is to ensure that the uncertainty can be removed for those workers. That is why we are encouraged that their pay packets have at least been dealt with as of yesterday. But as I said, we want to work with the official receiver to ensure that this can continue and that a viable, operating concern can be sold on to someone else, so that steel can continue to be produced both at Scunthorpe and at the other two sites.
My Lords, there is a strategic defence requirement for a capability to produce steel. Thirty-seven years ago, in the early hours of the morning my ship sank and blew up in the Falklands, having been attacked for 18 hours. In war, you need to replace ships, and you cannot always rely on people supplying you with steel—or anything—because they might not agree with what you are doing. There is an absolute need to do this. It seems that we have not pulled together our defence industrial strategy in terms of the 100,000 tonnes of steel that we would get from the UK if we built solid support ships in the UK, the 25,000 tonnes of frigate steel if we built the 31e’s here and the 80,000 tonnes of steel for the new ballistic missile submarines. We have given the recipe for specialist steel, at which we are the best in the world, to the French so they can provide us with some. This is not joined up. Does the Minister agree that it is an absolute strategic defence requirement for our nation to be able to produce steel, and that we must therefore pull together a policy and provide support in whatever way necessary to ensure that we have this for the future?
My Lords, as far as I am aware, British Steel is not producing steel in large quantities for the defence industry. Having said that, I take the point that the noble Lord made. It is obviously very important to our defence industry and, more importantly, to the defence of the realm to make sure that we can produce steel of an appropriate sort. My right honourable friend is fully aware of that, and that is why he has encouraged all departments to look to their procurement of steel and why, where possible, certain adjustments have been made to allow them to take other factors into account in procurement. The noble Lord, Lord Fox, was rather dismissive of the tables we have produced to encourage other departments to buy British steel, but they are important. I can assure the noble Lord that, wherever possible within the rules, we will certainly use British steel for defence projects, but not necessarily steel produced by this company, if it does not produce the right sort of steel.
(5 years, 4 months ago)
Lords ChamberMy Lords, the noble Lord rightly points to the importance of the fintech sector and the fact that London is its leading world player. We shall have to look carefully to ensure that we can attract the right people not only from abroad but from the UK. That is why skills will be important. I am sure that my noble friend from the Home Office will have noticed what he had to say on bringing in people from overseas.
My Lords, I raise a slightly different aspect. We are ahead of most countries in the world on AI, particularly at our universities, but a large number of university courses are getting very full with Chinese students. Is there any concern about this vast number coming in, bearing in mind their input to a large number of other areas of high tech within our nation?
The noble Lord takes me slightly wider than the original Question. Again, it is a sign of the success of the university sector that it attracts people paying large fees into universities, to the benefit of those universities and of this country. I hope that universities will then be able to consider expanding those courses.
(5 years, 7 months ago)
Lords ChamberThe noble Lord, too, I suspect, is trying to frighten the horses. What I am saying is that we are meeting some very high nuclear safeguards standards—nothing to do with security or safety—and we will be there in due course. We have always been clear that we will deliver on our international obligations from day one. That is what I have made clear, and we will build to Euratom standards by December 2020.
My Lords, I apologise for not being here at the beginning of the debate. As I understand it, these safeguards relate purely to the ability to monitor that none of the products from the nuclear industry are being used somewhere where they could make a nuclear weapon. Am I correct?
The noble Lord is absolutely right and he gave a very good definition for the layman. Given his expertise, we would not dismiss him as such, but he gave a very good layman’s definition of nuclear safeguards. It is important that I make it clear again that this has nothing to do with either safety or security.
(5 years, 7 months ago)
Lords ChamberTo ask Her Majesty’s Government what assessment they have made of the impact on the United Kingdom’s future energy needs of any decision by Hitachi to withdraw from the Wylfa Newydd nuclear project and Toshiba having withdrawn from the Moorside project in Cumbria.
My Lords, the noble Lord’s Question is timely. My right honourable friend the Secretary of State for Business, Energy and Industrial Strategy will be making a Statement in another place following Hitachi’s announcement this morning; I would have been happy to repeat it. National Grid has confirmed that it does not see an issue for future security of supply for plans for these projects over the long term, and there is plenty of time for the market to respond.
My Lords, our nuclear industry is in crisis; I have to say that that Answer has a certain element of complacency in it. In the 1950s, our nation led the world in nuclear power generation, and decisions by successive Governments of all hues have got us into the position today where we cannot even construct a large civil nuclear reactor. A quarter of our energy is provided by nuclear; looking at 2035, when the energy requirements will be much larger, we are saying that a third of our energy will be supplied by nuclear. Now the only player seems to be Chinese. Bearing in mind our view on the rollout of 5G, are we happy for the Chinese, by 2035, to control one-third of the energy supply of our nation?
My Lords, I am glad that the noble Lord stresses the importance of the nuclear industry and the fact that it is supplying some 20% of our electricity requirements and 40% of low-carbon electricity. Some 15 nuclear reactors operate throughout the UK. We would have hoped for a better announcement from Hitachi but that was not the case, and it is obviously right that my right honourable friend looks to the taxpayer to make sure that there is the appropriate deal for them. At the moment, costs in the nuclear sector are still rising, at a time when costs for a great many renewables are coming down. That is one of the reasons why there are problems. However, the fact is that we have seen the development of Hinkley C, and, as the noble Lord was quite right to suggest, we are the first Government for a number of years to make progress in that area.
(6 years, 2 months ago)
Lords ChamberI agree with the noble Lord that the industry has had a pretty traumatic time but I think things are picking up. As he said, this is very important for energy security, jobs, the economy and—dare I say it—the Exchequer. As I said in my original Answer, we are providing funds for seismic surveys to help in the next round. As the noble Lord will be aware, some 61 companies got licences in the previous round, with the potential to produce some 320 million barrels of oil equivalent. I hope something similar or better will come from the next round.
My Lords, the Minister will be aware that oil and gas platforms on the continental shelf, undersea cables and fisheries are all part of what was once called the “offshore tapestry”, with a small fleet of ships to look after that tapestry. We no longer have that; post Brexit, there may be some issues. Does the Minister not believe that we should perhaps look at investing in more ships to look after that highly valuable offshore tapestry?
The noble Lord makes a very important point, which I will certainly pass on to my colleagues in other departments.
(6 years, 4 months ago)
Lords ChamberMy Lords, all I said—I am not going to go much further than this—is that we are looking at other options. I also stress that we have the capability to do quite a lot ourselves. I am not suggesting that we will engage with Russia and other similar countries.
My Lords, the Minister will be aware that we work closely with America in this field—most of the work is so sensitive we cannot talk about it—and that we were so far ahead of anyone else in the world in satellite coverage and intelligence that we used to help other countries. It is extraordinary that Europe is now playing silly games about the use of satellites when we have been so generous in the past in the giving of intelligence and working with it. It is also extraordinary, given the skills that we have in this area, that it is not keen to keep us fully involved.
The noble Lord could hardly have put it better, particularly in stressing the capabilities that we have in this country. Only recently I visited an American company making micro-satellites in Glasgow. It could have invested anywhere in the world but it chose Glasgow because it knew Glasgow has the right people with the right skills here in the United Kingdom. We have a great capability and I am sure other people will recognise this.
(6 years, 10 months ago)
Lords ChamberMy Lords, again, I can only agree with the noble Lord. We are doing well. There is more to be done and he will hear more in due course. Again, if he is patient he will see the industrial strategy later this month.
My Lords, there are huge benefits in digital technology, but I skimmed the review wearing the old hat I used to have on security. Sadly, this marvellous digital revolution opens up vulnerabilities. I could not see anything mentioning any concerns on that. We need to be very wary because it will often open up people to losing their identities and all sorts of things. We need to be very aware that, as well as all the benefits we get from digitalisation, there are some real risks. We need always to bear those in mind.