Transport

Debate between Mike Kane and Caroline Nokes

Monday 9th September 2024 Commons Chamber

[The Parliamentary Under-Secretary of State for Transport (Mike Kane)]

I beg to move,

That the draft Renewable Transport Fuel Obligations (Sustainable Aviation Fuel) Order 2024, which was laid before this House on 24 July, be approved.

I want to take a moment to pay tribute to my former constituent Ken Eastham, who died recently at the age of 96. He served the people of Blackley and Broughton in this House from 1979 to 1997. He knew me as a child, and was delighted that I became a Member of Parliament. He worked diligently on behalf of his constituents. I will remember him, his late wife Doris, with whom I kept in contact, and his family in my prayers tonight.

As a fuel that can be used in existing aircraft, sustainable aviation fuel, or SAF, is one of the most effective ways of starting to decarbonise flights. The greenhouse gas emissions associated with the use of SAF are 70% less than those from fossil jet fuel on a life-cycle basis. This Government recognise the urgency of the global climate challenge, and the opportunities that are available from leading on the development of these technologies. It is a core part of our mission to make the UK a clean energy superpower, and it is one of the many steps that we are taking to decarbonise aviation, which include our plans for airspace modernisation. The SAF mandate will support the decarbonisation of the aviation industry by creating demand for SAF in the UK. The scheme has been developed over several years, during which there have been two formal consultations and significant stakeholder consultation. In July this year, we confirmed the detail of the proposed SAF mandate set out in the statutory instrument, and that was received positively by stakeholders.

The SAF mandate is one of several Government initiatives to support the development, production and use of SAF in the UK. The advanced fuel fund, for example, is currently supporting 13 UK plants with £135 million of grant funding. Additionally, the Government are introducing a revenue support certainty mechanism Bill, which was included in the King’s Speech and will support SAF producers who are seeking to invest in new plants in the UK. It will incentivise investment in UK SAF production, helping to drive growth across the UK, secure the supply of British-made SAF, and maintain the UK’s position as a global leader.

Alongside the potential for SAF to reduce carbon emissions on a life-cycle basis—compared to that of traditional jet fuel—there are significant economic benefits associated with the development of a domestic SAF industry. Industry research estimates that such development could generate up to 60,000 new jobs by 2050, adding up to £10 billion gross value added per annum. That supports our growth mission to kick-start economic growth across the UK.

The introduction of a SAF mandate marks an important step forward for the decarbonisation of the aviation sector. It will provide a long-term incentive for SAF use in the UK by setting a guaranteed level of demand, demonstrating the UK’s world-leading commitment to SAF uptake. It will also provide clarity for investors: a clear signal to develop SAF production facilities and more advanced SAF technologies in the UK and globally. Crucially, the mandate could reduce aviation emissions by up to 2.7 megatonnes of carbon dioxide equivalents in 2030, and by up to 6.3 megatonnes of CO₂ equivalents in 2040.

Decarbonising transport is a key focus for this Government. It is central to the delivery of the UK’s cross-economy climate targets, and directly supports the Prime Minister’s mission to accelerate our journey to net zero. Delivering greener transport is also one of the five priorities that my right hon. Friend the Secretary of State for Transport has set out for the Department. This statutory instrument will deliver on our manifesto pledge to secure the UK aviation industry’s long-term future by promoting sustainable aviation fuels. It will impose an annual sustainable aviation fuel obligation on every company that supplies jet fuel over a certain threshold in a specified period. The SI will operate a tradeable certificate scheme, whereby the supplier of SAF is rewarded in proportion to its greenhouse gas emissions reduction.

To be eligible for certificates, the supplied SAF must meet strict sustainability criteria, including that it must be a residual waste or residue-derived biofuel, a recycled carbon fuel, a low-carbon hydrogen fuel or a power-to-liquid fuel. The certificates can be used to discharge a supplier’s obligation or sold to other suppliers. If this statutory instrument is approved, the SAF mandate will take effect on 1 January 2025. The SAF mandate will require 2% of jet fuel to be made from sustainable sources in 2025, 10% in 2030 and 22% in 2040. It is one of the world’s most ambitious frameworks to drive demand for SAF.

A successful and resilient SAF industry will need a range of technologies and feedstocks to meet increasing demand. The SAF mandate drives the diversity of technologies and feedstocks in two main ways. First, we will create space for more advanced fuels by setting a future cap on fuels that will be limited by feedstock supply. Fuels derived from segregated oils and fats are known as hydroprocessed esters and fatty acids. We recognise that HEFA will make an important contribution to meeting the SAF mandate, particularly in the early stages of the mandate. HEFA can contribute 100% of the SAF demand required under the mandate in 2025 and 2026. The cap will then gradually tighten, decreasing to 71% in 2030 and 35% in 2040. The mandate will still allow around 1 million tonnes of HEFA-derived SAF to be supplied each year in the UK from 2035.

Secondly, to accelerate the development of advanced fuels, a specific obligation on suppliers to supply power-to-liquid fuels will be introduced. Power-to-liquid fuels have a lower risk of feedstock competition and other negative environmental impacts. From 2028, the power-to-liquid obligation will be set at 0.2% of total jet fuel demand, increasing to 3.5% in 2040. Fuel suppliers will be able to meet their SAF mandate obligation in three ways: they can supply SAF and earn certificates, buy certificates from others who have supplied fuel, or pay a buy-out price. The buy-out mechanism will apply to both the main obligation and the power-to-liquid obligation, which will operate as a method of compliance if there is insufficient SAF supply in the market. This SI sets out the buy-out prices, which represent a significant incentive to supply SAF to the UK market. They are set at a level that encourages the supply of SAF over the use of the buy-out and set a maximum cost for the scheme, thereby delivering a greenhouse gas emissions reduction at an acceptable cost.

As I have mentioned, for fuel to be eligible for certificates, it must align with strict sustainability criteria and be made from sustainable wastes or residues. SAF produced from food, feed or energy crops will not be allowed. Suppliers must therefore report information to the mandate administrator to demonstrate compliance with the sustainability criteria for each application. The mandate administrator will have the power to not issue certificates if sufficient evidence is not provided. It will also have the power to revoke certificates if inaccurate or fraudulent information is provided, and to issue civil penalties to suppliers for lack of compliance.

The information that fuel suppliers provide must be independently verified before suppliers can apply for SAF certificates. To ensure that the design of the SAF mandate reflects the latest technological and commercial developments on SAF, there will be continuous monitoring of trends, and formal reviews will be conducted and published every five years, with the first review carried out by 2030. To support fuel suppliers, the administration of the SAF mandate is closely aligned with the administration of the renewable transport fuels obligation, which currently obligates suppliers of road fuels in a very similar way.

The Government recognise that sectors such as aviation are vital for achieving economic growth, shaping the future of clean energy and delivering for our communities. The development of the SAF mandate, alongside other priorities such as modernising our airspace, is a key part of this Government’s ambitious and pragmatic approach to decarbonising transport and promoting economic growth, ensuring that the UK continues to lead the way on SAF globally. I commend this order to the House.

[Madam Deputy Speaker]

I call the shadow Minister.

Cruise Industry

Debate between Mike Kane and Caroline Nokes

Wednesday 22nd September 2021 Westminster Hall

[Mike Kane (Wythenshawe and Sale East) (Lab)]

What an astonishing debate we have had today—I thought that we were all going to burst into song at one point. Far from “Under the Sea” from “The Little Mermaid”, from the speeches that we have heard today I was going to suggest that “(Sittin’ On) The Dock of the Bay” by Otis Redding might be appropriate.

It is a pleasure to serve under your chairmanship, Mr Efford. As a Member for a landlocked constituency yourself, let us not forget that you have one of the most historic palaces in the nation, Eltham Palace, one of my favourites—a world-class blend of art deco and medieval, the medieval bit being, obviously, where Henry VIII grew up. I wanted to throw that in there, as Members were talking about their own heritage sites, in particular the hon. Member for Strangford (Jim Shannon)—what a pitch he made for the new chief executive of Tourism Ireland! I will come back to that in a few minutes. I am a Manchester MP, and we are a seagoing city, as Members know. There may be seven locks between us and Liverpool, but I am proud of that heritage and the canal that Daniel Adamson built in the 1880s.

This is a timely debate. I congratulate the hon. Member for Southampton, Itchen (Royston Smith), who spoke so eloquently and stood up for his port. He even mentioned Portsmouth in his speech—I am never sure which city is the pride of Hampshire.

[Caroline Nokes]

I can answer that: it is Southampton.

[Mike Kane]

As TS Eliot stated—the Minister likes a good quote—

“The journey,

Not the destination matters”.

That is a saying that rings true to those in the cruise industry more than most. The past 18 months have been an ordeal for the industry to say the least, starting with a scramble to get passengers and crew members home, ports closing to our ships and some crew members remaining stuck at sea. I pay tribute to the industry and the workers who found themselves in such extraordinary circumstances.

I am a huge fan of this country—Members may be aware—and its coastline in all its rugged beauty, but I imagine that, for some, that is a hard sell in comparison to the Caribbean, the Mediterranean or the magnificent fjords of Scandinavia. At the end of July, it was really great to hear that cruise ships were again able not only to traverse the seas but to drop anchor and have passengers disembark to sample the sights and sounds of foreign climes. That was a point made eloquently by the right hon. Member for Romsey and Southampton North (Caroline Nokes).

As the hon. Member for Southampton, Itchen said, when the cruise industry thrives, it contributes £10 billion to the economy. I find this incredible: every ship that docks in the Solent—the capital of cruising, as has already been pointed out—is worth a staggering £2.7 million to the economy. However, the industry does not just benefit Southampton. The Minister and I were in Liverpool, at Anfield, on Friday night at the Merseyside Maritime Industry Awards, an amazing evening and a fantastic, world-class display of British ingenuity. We saw how the docks are being regenerated through Wirral Waters, the Peel Ports Group, the Mersey Docks and Harbour Company, and Mersey Maritime. The project is really innovative for the city region in the north-west.

The right hon. Member for Orkney and Shetland (Mr Carmichael) will know that I have seen huge change over many years—so much so that, when I now visit the islands, I have to get the cruise timetable to make sure that I can get to the Broch of Gurness, Skara Brae, St Magnus Cathedral or Maeshowe. When those coaches turn up, it is almost impossible to get into those sites, which are some of the most historic on our planet. I have also seen the great growth in visitor attractions, new interpretation centres and so on. He is right that the cruise industry needs to co-operate with local authorities to ensure the maximum advantage for islands, highlands, towns and cities when they are visited.

I can tell the hon. Member for Strangford that I will visit Grey Abbey. It is one of the few Cistercian monasteries in our lands that I have not visited, and I am absolutely convinced now that I will get there. In Belfast, Titanic Belfast is an amazing innovative interpretation centre, drawing tens of thousands of visitors and building on the heritage that Northern Ireland has in the cruise industry. I want to make a point for “Game of Thrones” and the port of Derry/Londonderry. We would like to see more cruise ships stopping there in future and exploiting the potential of that fine medieval walled city.

Many jobs in the cruise industry are highly localised. 20% of those employed on cruise ships are based in the UK and the industry is an important source of employment both aboard ship and on shore, and in wider supply chains. However, the industry must be mindful of pay, hours and conditions, particularly of non-UK staff, as the hon. Member for Aberdeen North (Kirsty Blackman) eloquently pointed out in her speech. We should be paying the living wage to all those who dock at and work in our ports. I congratulate and thank the hon. Member for Thurrock (Jackie Doyle-Price) for her work on the all-party parliamentary maritime and ports group, and join her in paying tribute to the industry, which has worked so hard through the pandemic to get people home, to respond to the changes and to get the industry back up and running.

Another thing we must address within the industry is its environmental impact, which the hon. Member for Inverclyde (Ronnie Cowan) spoke eloquently about. He also pointed out that Greenock is still getting more visitors than Edinburgh—I think there is a little needle going on across the central belt. We know this takes many forms, such as the emission of greenhouse gases and waste from ships, and reducing the resilience of marine ecosystems and damaging marine environments. All shipping generates an impact, but cruise ships have traditionally created waste disproportionately as their thousands of passengers create a waste stream, so I was delighted to see the industry yet again showing initiative to do the right thing as we transition towards greener shipping.

I know the Minister visited the port of Southampton last week and opened the Horizon cruise terminal. This innovation and infrastructure is vital to helping the sector build back greener and reach its targets of reducing carbon emissions by 40% and of carbon-neutral cruising by 2050 across Europe. It cannot do this alone. It is vital that the Government fund innovation and research in the wider maritime sector and cultivate an environment where the cutting-edge green and just transition can happen. As the hon. Member for Aberdeen North said, we must not see a race to the bottom.

The industry has invested almost £17 billion into ships, bringing on board new technologies to reduce emissions and to be more efficient. Cruise ships are increasingly equipped to support shore-side electricity use, and the development of infrastructure in ports, such as we have seen at Horizon and Kirkwall, will be key. We know there is a levelling-up agenda and that coastal communities are among the poorest. We also know maritime can offer well-paid, highly-skilled jobs, as well as true regeneration and transport connectivity, and I call on the Government to make the investment in the sector as we sail out of the troubled waters of the pandemic.

Windrush

Debate between Mike Kane and Caroline Nokes

Tuesday 4th September 2018 Commons Chamber

[Caroline Nokes]

I would like to reassure the hon. Lady on this point. Her constituent’s case was one of those clearly highlighted, of course, and I was pleased that I was able to offer my personal apology to Paulette Wilson. It is imperative that we get the compensation scheme up and running as soon as possible, and I am determined to do that.

[Mike Kane (Wythenshawe and Sale East) (Lab)]

Forgive me, Mr Speaker, but I thought that the Minister’s answer to the hon. Member for Glasgow North (Patrick Grady) was wholly inadequate. What analysis have the Government done of the hostile environment affecting the other communities, such as the Chagos community in my constituency?

[Caroline Nokes]

The hon. Gentleman will be aware that the Government suspended the proactive sharing between Departments of data relating to those over 30 in the context of the compliant environment. It is important for us to ensure that we have a suite of policies that enable us to take action and correctly identify those who have no right to be here, but it is equally important for us to take the appropriate steps when we identify people who have a right to be here. As the hon. Gentleman will have heard earlier from the Minister for Europe and the Americas, my right hon. Friend the Member for Rutland and Melton (Sir Alan Duncan), our policy on the Chagos islanders is long-standing. I have listened carefully to what has been said by both the hon. Gentleman and the hon. Member for Glasgow North (Patrick Grady).

BT Service Standards

Debate between Mike Kane and Caroline Nokes

Wednesday 9th March 2016 Westminster Hall

[Caroline Nokes]

My hon. Friend is absolutely right to point that out. Like me, she represents an area with enormous rural parts where the mobile signal is often patchy, shall we say, at best. It is absolutely true that in cities it can perhaps be less serious if there is no working telephone connection, because mobile coverage is better—not perfect, but better—but in villages there is often no mobile signal at all. I am sure that we all share the frustration that our constituents do not get the satisfaction that they are looking for from BT until they turn to us.

As I was saying, I welcome the intent expressed by Ofcom, but I ask the Minister to ensure that it is delivered promptly and with absolute rigour, and that Ofcom publicises widely the manner in which customers might communicate with it about faults, the length of time that it takes for repairs to be done and, importantly, transparency of information.

It would not be a debate in Westminster Hall if I did not have a quick trip around the geography of my constituency and the myriad faults and problems that have occurred.

[Mike Kane (Wythenshawe and Sale East) (Lab)]

I congratulate the hon. Lady on securing the debate. Does she agree that the trouble is that in 2015 BT reached all its targets as prescribed by Ofcom? Is there perhaps something wrong with the targets prescribed by Ofcom and not just with BT?

[Caroline Nokes]

The hon. Gentleman’s point is very important, and actually we want the targets to be much higher. We live in a world where consumer demands are getting greater by the day. We expect incredibly high levels of customer service, and companies such as BT should be able to respond to that and have stretch targets to make sure that they are delivering the sort of communication services that we can reasonably expect in the 21st century.