(4 years, 1 month ago)
Commons ChamberAs my hon. Friend knows, helping businesses reduce emissions is crucial to delivering our net zero commitment. To tackle some of our highest carbon-intensive businesses, we have just launched the £289 million industrial energy transformation fund, and we are also extending the £300 million climate change agreements scheme to incentivise businesses to invest in energy efficiency.
I thank the Minister very much for his answer. The business sector has successfully reduced greenhouse gas emissions by over 30% since 1990. However, emissions from business transport are counted separately, and transport emissions have gone down only by 3% since 1990. Does my right hon. Friend agree with me that we have a great opportunity in the UK to be a world leader in green transport—from electric vehicles to hydrogen lorries—and will he work closely with the Treasury to incentivise businesses to use more low emission vehicles in the future?
We do have extensive plans. We have further plans for decarbonising freight that will form part of the transport decarbonisation plan, which we expect to publish later this year. We work constantly with other Departments to ensure that we can reach our net zero targets. My hon. Friend is quite right to emphasise, in particular, the role that transport plays in carbon emissions.
(11 years, 10 months ago)
Commons ChamberI am very grateful for the opportunity to speak in this important debate.
At the outset, we must establish a couple of facts. First, as we all know, the British Government are even now borrowing £100 billion a year, so the budget is very constrained. Secondly, despite the budgetary constraints and the economic pressure that we are all under, the coalition Government remain pledged to keeping the winter fuel allowance and to their environmental commitments in the green deal. Those are significant facts.
If we look at fuel prices—I notice that the right hon. Member for Don Valley (Caroline Flint) is chuntering in a sedentary position—over the past 20 or 30 years, it is an indisputable fact that privatisation led, in its initial phase, to a fall in prices. Competition and a degree of free enterprise reduced costs.
We all know that over the past 10 years in particular, costs have increased. That has been caused by two factors. The first, which has been alluded to by the Front-Bench speakers, is the increase in fossil fuel prices and energy prices. People have talked about the rise of China. The fact that it is developing quickly and consuming a huge amount of energy has put prices up.
The second factor, to which my hon. Friend the Member for Monmouth (David T. C. Davies) alluded, is green legislation. Members from across the House hold different views about the nature or reality—or the unreality if that is what they feel—of climate change. However, it is indisputable that the green legislation that was introduced to decarbonise our economy has added to fuel costs in the short run.
As we use tariffs to increase electricity produced from wind turbines and solar power, we are subsidising that electricity through consumers. That will, in itself, push up the price of energy and bring about more fuel poverty. We must recognise that.