Energy Bill (Carry-Over Extension)

Michael Fallon Excerpts

Monday 18th November 2013 Commons Chamber

[The Minister of State, Department for Business, Innovation and Skills (Michael Fallon)]

I beg to move,

That the period on the expiry of which proceedings on the Energy Bill shall lapse in pursuance of paragraph (13) of Standing Order No. 80A shall be extended by 13 weeks until 27 February 2014.

The Energy Bill, which is due its Third Reading in the other place tomorrow, was introduced in this House on 29 November 2012. As set out in Standing Order No. 80A, as a carry-over Bill it will fall if it does not receive Royal Assent within 12 months of its First Reading, and that date is now approaching. Given the strong support for the Bill on Third Reading in this House, when 396 hon. Members voted in favour and only eight opposed it, it is only right for us to safeguard against this.

The Bill is a large and significant one that has properly received a great deal of scrutiny in this House and in the other place. Fundamentally, it is vital for securing the United Kingdom’s energy future and ensuring that the crucial investment in energy infrastructure that we need over the next decade comes forward. That investment will be incentivised by the provisions in the Bill to reform the electricity market—the most significant reform since electricity privatisation. The Bill contains a number of other important provisions, including putting people on the cheapest tariff, tougher consumer redress, tackling fuel poverty, and strengthening nuclear regulation.

The Government remain committed to securing Royal Assent by the end of the year. The extension to the end of February simply allows for a sensible contingency. Let me assure Members across the House that extending the time for considering the Bill will not have a detrimental effect on the timetable for electricity market reform. We remain on track for publishing the final electricity market reform delivery plan and for contracts for difference to be available from next year.

This Bill is vital for investment and for security of supply. Of course it is right that we should allow its parliamentary passage to continue, and I look forward to the House’s co-operation in this matter.

--- Later in debate ---

[Michael Fallon]

With the leave of the House, Mr Deputy Speaker, let me say to the hon. Member for Rutherglen and Hamilton West (Tom Greatrex) that I am grateful to him for supporting the Bill, particularly on the grounds that, as I think he said, the investment it brings forward is urgently needed. Why would that be? Because the years of neglect mean that we have rapidly had to address the missing investment in our infrastructure. I am, none the less, grateful for his support.

The hon. Gentleman asked me three specific questions. First, he asked when the amendments made in another place are likely to be considered. I cannot confirm the exact date. That is a matter for the usual channels, and it will be announced shortly. I can, however, tell him that we are absolutely determined—I know he shares that determination—to make sure that the Bill reaches the statute book by our original deadline of Christmas.

Secondly, the hon. Gentleman asked about the amendment passed in the other place on the application of the emissions performance standards to coal-fired plant. He described that as a “licensed rebellion” but I do not recognise that term. Indeed, I am not sure what that is, as I have not heard of it in this place or, indeed, in the other place, so he needs to look into that in a little more detail. We will set out our position on all the amendments made in the other place when we come to consider them shortly.

Thirdly, the hon. Gentleman asked about the Scottish Minister’s remarks about the back-stop to end the renewables obligation in Scotland, along with its ending in England, by March 2017. I am grateful to him for giving me the opportunity to make it clear that that point had been discussed at length with the Scottish Government before that Minister’s remarks in the Scottish Parliament this week. My right hon. Friend the Secretary of State has written to the Scottish Government about it. It has been discussed with them and there is nothing new in the amendment we have tabled.

Finally, let me respond to the two substantive points made by my hon. Friend the Member for Christchurch (Mr Chope) and the hon. Member for East Antrim (Sammy Wilson), both of whom opposed the Bill on Third Reading, as they were entitled to do. The change in the position of the Japanese Government on climate change will of course be discussed at the annual review meeting in Warsaw next week, which will be attended by my right hon. Friend the Secretary of State. Governments do adapt their positions on these matters from time to time. I assure my hon. Friend that this country will play a leading part in those negotiations.

My hon. Friend and the hon. Gentleman spoke about the price that our constituents are paying. They will of course welcome the initiative of my right hon. Friend the Prime Minister to examine the green levies that are applied on top of the price of electricity to ensure that the burden is no greater than is necessary, that the levies are being spread fairly across the population and that the recent increases in electricity bills will not be repeated.

With those reassurances, I hope that the House will pass the motion.

Question put and agreed to.