Eastern Link Undersea Cable Electricity Generation
Debate between Neale Hanvey and Graham Stuart
The Minister for Climate (Graham Stuart)
I congratulate the hon. Member for East Lothian (Kenny MacAskill) on securing this important debate. The Government are leading the world on offshore wind. We have the most installed capacity in Europe. In our energy security strategy, we aim to go much further with an ambition of 50 GW of offshore wind and 5 GW of floating wind by 2030. As he knows and has set out, Scotland has a vital part to play and there are many green jobs around that work in Scotland.
Neale Hanvey (Kirkcaldy and Cowdenbeath) (Alba)
That suggestion simply does not stand up. The organisation Scottish Renewables has frequently told me that the best that the Scottish people can hope for from the renewables boom is to become service engineers for heat exchangers, which is simply not good enough. There are no meaningful jobs in construction or offshore maintenance in my constituency, which looks out at the Seagreen development off the Fife coast, so the Minister’s assertion is not borne out by the facts or the numbers.
Graham Stuart
I have a lot of offshore wind off my constituency as well. What we have done with the contracts for difference, and leading the world in the deployment of offshore wind, has been tremendous for increasing renewables and for transforming the economics of offshore wind. There are benefits not only domestically but globally, and there have been many jobs.
Given our global leadership, I share with the hon. Member for East Lothian the question of whether we have created as many jobs and as much of the industrial capability and community benefit as we would like; I leave that question in the air. My feeling is that in the expansion of offshore wind and the coming technologies, such as hydrogen and carbon capture, we must not just deploy at the lowest cost, but capture their wider value in the right way that balances and gives the best possible value for our constituents.
Scotland is home to Hywind Scotland and Kincardine—the world’s first and largest commercial floating wind farms, respectively—and Scotland’s plentiful supply of stormy skies holds vast promise. The Scotland Crown Estate’s recent ScotWind licensing round kick-started 20 new projects totalling around 28 GW of installed capacity—a frankly enormous figure. This is all sterling stuff, but increasing our renewable energy capacity is key for delivering on our net zero 2050 target, which I am sure the hon. Gentleman and the hon. Member for Kirkcaldy and Cowdenbeath (Neale Hanvey) would strongly support. It is also crucial for guaranteeing security of supply at a time when Putin’s appalling invasion of Ukraine threatens to drive up prices and drive down thermostats, because wind energy is not just renewable, but secure and increasingly affordable.
However, installed capacity is only one part of the story. One of the challenges we have to address is how to get the electricity we are generating to the households who need it. The stakes are high, because it is not just households; it is schools, hospitals and businesses too. Right now, there are significant network constraints between Scotland and England, and no matter how many kettles are boiling across Yorkshire, when the network is at full capacity, Scottish renewable energy generation, as the hon. Member for East Lothian laid out, has to be curtailed.
With more projects coming online each year, it is all the more vital that we transform our electricity network to unlock Scotland’s potential. That is why transmission links on the east coast joining our two countries are so crucial, particularly for projects such as Berwick Bank, off the coast of the hon. Gentleman’s East Lothian constituency, with connections in both England and Scotland. In July, Ofgem approved two of these links in their final needs case—one between Torness in East Lothian and Hawthorn Pit in County Durham, and the other between Peterhead in Aberdeenshire and Drax in north Yorkshire. These links will ensure that, before 2030, no Scottish renewable energy potential will go to waste, and they will reduce any potential constraint costs caused by limited capacity.
Oral Answers to Questions
Debate between Neale Hanvey and Graham Stuart(4 years, 3 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Neale Hanvey (Kirkcaldy and Cowdenbeath) (SNP)
The Parliamentary Under-Secretary of State for International Trade (Graham Stuart)
Direct talks on the UK-Japan FTA between Japanese Foreign Minister Motegi and my right hon. Friend the Secretary of State took place on 6 and 7 August, and I am pleased to say that they reached consensus on the major elements. We are in the final stage of negotiations and are optimistic about reaching an agreement in the coming weeks. Both sides are committed to a deal coming into force by the end of this year.
Graham Stuart
The benefit of trade deals is that they reduce the barriers to trade. As the hon. Gentleman will know, the EU-Japan trade deal has only recently come into force. I am delighted to say that the model deal that we are looking to secure with Japan is more ambitious; it goes further, not least on digital and data aspects, which will be tremendously important to the growing and strengthening tech scene in Scotland and beyond.
Neale Hanvey
As my hon. Friend the Member for Aberdeen South (Stephen Flynn) just mentioned, Japan accounts for around 2% of the UK’s total exports. The EU is worth more than 20 times that and already has a trade deal with Japan. With many talks stalling, the UK is on track for a slew of bad deals, or simply no deal at all. Is it not now time for the Government, given their summer of U-turns on the covid crisis, to admit that their Brexit bluff has been called and urgently review this, in the light of the impact that disruption to trade, jobs and livelihoods, and the UK’s covid recovery, will have?
Graham Stuart
I do not know who wrote the hon. Gentleman’s question, but it is clear that they are hanging on desperately to the idea that there should be a failure. Overwhelmingly, the continuity agreements have been rolled over. We have opportunities, not least with Japan, to go further and have a more ambitious programme, as well as to set new standards through deals with Australia, New Zealand and the United States.
It is noticeable that in all the years that the EU has been in charge of our trade policy, it has never signed an FTA with the world’s largest economy, let alone the next largest economies in the world. The truth is that it is dawning on the hon. Gentleman and his separatist, schismatic colleagues that they are going to see not a failure of our trade policy but a success.