EU: Energy Governance (EUC Report)

Lord Selkirk of Douglas Excerpts

Monday 13th June 2016 Lords Chamber

[Lord Selkirk of Douglas (Con)]

My Lords, I am delighted to follow the noble Baroness and to say how much those of us on her sub-committee appreciated her splendid leadership and commitment to producing this and other extremely good reports. The contribution that she made as chair and the work of all the members and the clerk helped to produce a really good report, whose conclusions and recommendations will stand the test of time. I wish her successor, the noble Lord, Lord Teverson, every good fortune. I served under him on another sub-committee dealing with foreign affairs and defence, and he, too, in my humble opinion, produced extremely good reports. They were very well thought out and, similarly, have stood the test of time.

I am glad to have the opportunity to say a few words this evening. Perhaps I should mention a past interest: I was a Minister for the Environment in Scotland for five years. I recall that speaking on the subject of how to protect the environment and sustainable development felt a little bit like preaching against sin: some people listened and some did not. Today’s debate is very different because an abundant and affordable supply of energy can be a life-saving measure in circumstances of extreme cold. Whatever the outcome of the referendum, it is extremely likely that continuity of gas supply for heating purposes will be enormously important for the health of our nation, as well as for the health of other European Union nations.

Inevitably, it makes sense to be prepared for unforeseen developments either through emergencies caused, for example, by floods or by nations cutting off the energy they supply or charging enormous fees for it. So it seems to me that developing EU energy governance is necessary to safeguard continuity of supply. In some ways, it is rather like taking out an insurance policy in respect of possible events that may never take place.

I ask the Minister to confirm that the Government will give full support to Recommendations 19 and 20. Recommendation 19 states:

“The Commission should ensure that proposals for a future energy governance framework include legal clarity, a respect for Member State sovereignty, a focus on security of supply, commitment to the consumer, real ambition for decarbonisation and increased regional co-operation”.

Fulfilling those aspirations is likely to be a substantial challenge. For that reason, it is appropriate that the final recommendation—Recommendation 20—takes into account the different timescales that may be applied by different countries. It is therefore right that Recommendation 18 states:

“Regional co-operation”—

the noble Baroness referred to very recent happenings—

“should be far more prominent in governance discussions”.

Similarly, it is right that Recommendation 20 lays down:

“The Commission and Member States should work together on a governance framework that recognises the different timescales that are involved and ensures policy coherence between short and long term targets and objectives”.

Perhaps the Minister will also confirm that on this one aspect of providing sufficient warmth to many millions of people, the Government should be, and should remain, sensitive to the needs of consumers throughout Europe.

It was Napoleon Bonaparte who is believed to have called our countrymen and countrywomen a nation of shopkeepers. According to Napoleon’s surgeon, the defeated emperor later explained his remarks in the following terms:

“You”—

by which he meant all of us—

“were greatly offended with me for having called you ‘a nation of shopkeepers’. Had I meant by this that you were a nation of cowards, you would have had reason to be displeased, even though it were ridiculous and contrary to historical facts; but no such thing was ever intended. I meant that you were a nation of merchants, and that all your great riches and your grand resources arose from commerce, which is true”.

He went on to say that no man of sense should be ashamed to be called a shopkeeper. Nowadays, of course, we would add, “and no woman”. Today, trade and commerce and the selling of goods and services in our country remain every bit as important as they were in Napoleon’s day.

This report is a good one. It has been well received by the European Commission, which, in its positive response, stated that national policies should contribute to member states working better together to meet the challenges of ensuring,

“secure, competitive, safe, affordable and sustainable energy to all consumers”.

I therefore commend this report as being worthy of the Government’s serious and sympathetic consideration and support.