New Homes (Solar Generation) Bill

Nesil Caliskan Excerpts

2nd reading
Friday 17th January 2025 Commons Chamber

[Adam Thompson]

I thank the hon. Member for her intervention, and I will cover some of those points shortly. I broadly agree with the sentiment of what she said.

The Bill’s aims, in promoting the installation of solar panels on all new homes, feed into the Government’s overall intent, and I am pleased about that. I note, however, that it is undeniable that solar farms, especially the larger ones, are much more efficient than rooftop solar for a whole spectrum of reasons. Rooftop solar panels are constrained by the size, orientation and structural limitations of individual buildings, while solar farms are optimised for maximum energy generation. The difference in output can be as high as 30%. Economies of scale mean that the cost to install, maintain and centralise the supportive infrastructure notably reduces the ratio of cost per unit of energy generated by solar farms. That is not to say that I do not support rooftop solar, because I very much do, but solar farms are a highly scalable, cost-effective means through which to achieve the green energy transition.

[Nesil Caliskan (Barking) (Lab)]

Is that not exactly the point—we need to do both, because that creates a subsidy for more opportunities to have rooftop solar panels?

[Adam Thompson]

I completely agree. It is not about one solution versus another, but a diverse, broad array of solutions, all feeding into a grand, greener future.

--- Later in debate ---

[Matthew Pennycook]

The hon. Lady makes a fair challenge, but the Government do not intend to proceed on the basis of primary legislation. She might find that the primary legislation route is ultimately slower than the way in which we intend to introduce the future standards later this year. Speed is absolutely an issue we are grappling with, but I gently challenge the idea that this private Member’s Bill is the fastest way to proceed, even leaving aside the points I have raised, which I do not consider to be minor or technical.

In contrast, the future homes standards consultation sets out two options for transitional arrangements, which we believe are far more robust. The first option involves a six-month period between the laying date of the regulations and the regulations coming into force. The second option involves a period of up to 12 months. That approach to transition will ensure that as many homes as possible are required to meet the new standards in a way that is structured and achievable.

It is our responsibility to ensure that the standards we set for new homes are ambitious, but also technically feasible and deliverable, as I have said. For the reasons I have set out, and others that I have not covered today, we believe that forthcoming future standards, developed as a clear and coherent response to the 2023 consultation, are a more appropriate and arguably faster means of achieving the Bill’s aims, which we fully share with the hon. Member for Cheltenham.

[Nesil Caliskan]

Reflecting on the point made by the hon. Member for Broxbourne (Lewis Cocking) about industry using excuses to push back on delivering homes, can the Minister give assurances that in their efforts the Government will push ahead with renewable energy, particularly solar, and do everything they can to ensure that industry and housing companies do not use viability as an excuse not to deliver the many new homes that we need?

[Matthew Pennycook]

My hon. Friend makes a good point. I am afraid that the time to go into it is not available to me, but I would mention the Government’s intention to revise viability guidance this year to strengthen the section 106 developer contributions system rather than implementing the infrastructure levy that the previous Government devised. In lots of different respects, this Government are absolutely ensuring that developers are held to the commitments they make, and, as she will know, we gave significant weight to the benefits of renewable and low-carbon energy proposals more generally in the NPPF.

As I was saying, maintaining consistency with the established direction of travel is vital. There is a history of environmental standards being committed to and then withdrawn by previous Governments, which has understandably left industry reluctant to invest in preparing for new standards. However, since its announcement in 2019, the future homes standard has become a world-recognised framework, giving industry time to develop the necessary supply chains, skills and construction practices, and many developers are already building to higher standards in anticipation of its roll-out. Introducing conflicting legislation at this stage could create significant confusion and risks reversing the confidence and momentum that we have worked hard to establish.

Let me reassure the House that it is our firm intention to legislate for future standards later this year, as I have made clear, and to increase rooftop solar deployment significantly as a result. I understand that hon. Members and industry will need more details about what the standards will entail before they can arrive at a judgment as to their efficacy. Although we need to take the necessary time to get that right, my intention is to set out further details as soon as I am able—in the not-too-distant future, I hope.