Gas Storage Levels

Lord Lennie Excerpts

Tuesday 14th January 2025 Lords Chamber

[Lord Hunt of Kings Heath (Lab)]

My Lords, I was present during the debate on Thursday on the Select Committee’s excellent report on this very subject. I refer my friend the noble Baroness to the action plan that my department issued only a few weeks ago, estimating that between 40 gigawatts and 50 gigawatts of dispatchable and long-duration flexible capacity could be needed by 2030. We are going to take a number of interventions to ensure that this happens. We have already announced a ground-breaking deal with Net Zero Teesside, our first power CCUS project. We are developing a hydrogen-to-power business model to derisk investment in that area. Ofgem will be introducing the cap and floor scheme to support investment in long-term duration electricity storage. We aim to open the scheme to applications in quarter 2 of 2025. We fully take on board the point that the noble Baroness makes and the Select Committee report.

[Lord Lennie (Lab)]

My Lords, what was the level of storage at the Rough facility when Labour last left office in 2010 and what happened to that storage facility after the Tories took power?

[Lord Hunt of Kings Heath (Lab)]

My Lords, Rough was closed in 2017. At that time, when the party opposite was in government, I do not think that it raised any concerns at all. Indeed, the then Energy Minister, the noble Lord, Lord Harrington, said that the closure of Rough would not cause a problem with security. In 2022, Centrica decided to re-open the site. This was a commercial decision by the company. It now seeks government support. One needs to draw a line between the announcement that it made last week and its request for government support.