Oral Answers to Questions

Nick Hurd Excerpts

Tuesday 31st January 2017 Commons Chamber

[Martin Vickers (Cleethorpes) (Con)]

15. What assessment he has made of the effect of the offshore energy sector on the Humber region.

[The Minister for Climate Change and Industry (Mr Nick Hurd)]

The UK is the world’s largest market for offshore wind, and the Humber energy estuary is, in my hon. Friend’s own words, “ideally positioned” to serve that sector. The Secretary of State and I saw that when we visited the new £310 million Siemens turbine blade factory, which has created more than 1,000 very valuable new jobs in the area.

[Martin Vickers]

This afternoon the Humber local enterprise partnership and Humber MPs are staging a showcase event to highlight the assets of the energy estuary. Can the Minister assure business leaders that the Government will continue to support the offshore centre, which is based in northern Lincolnshire, and the wider Humber region? Will he or one of his colleagues find time to visit the event this afternoon?

[Mr Hurd]

Yes to the event, and yes to the assurance that my hon. Friend seeks about continued support. On top of the growth deal, the city deal and the enterprise zone programme, he will be well aware of the very significant Government commitment to future contract for difference auctions worth £730 million for less mature renewable technologies, including offshore wind. I hope he welcomes that.

[Nic Dakin (Scunthorpe) (Lab)]

What steps are the Government taking to ensure the highest possible UK content in the steel used to build the energy infrastructure in the Humber?

[Mr Hurd]

That is an extremely important point, and it is part of our calculation of the return on the investment made by the British taxpayer. Good progress is being made, and analysis shows that aggregated lifetime UK content in operating windfarms is 43%, against a track target of around 50%, and the proportion is higher for the value of operations and maintenance contracts, which run at about 70% of value at the moment. This will be a key area of our focus as we go forward with the industrial strategy.

[Chris Davies (Brecon and Radnorshire) (Con)]

16. What recent discussions he has had with the Chancellor of the Exchequer on improving access to finance for businesses.

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[Christina Rees (Neath) (Lab/Co-op)]

T2. European Commission state aid approval for the steel industry is still not in place. Will the Secretary of State guarantee that compensation under the energy industrial package will be provided by the UK Government until the exemption is finally introduced?

[The Minister for Climate Change and Industry (Mr Nick Hurd)]

Of course it will continue. We are in discussions about the mechanics of that, as part of a broader conversation that the Secretary of State and I are having with senior management of the steel industry and trade unions about securing a sustainable future for the industry.

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[Richard Arkless (Dumfries and Galloway) (SNP)]

T3. The removal of the renewables obligation and the decimation of the feed-in tariff have had a huge negative impact on my constituency, where renewables are the one tangible business area we have that we can grow and that offers highly paid jobs. One year on from those draconian measures, what reassessment has been made of the policy’s effectiveness?

[Mr Hurd]

This country and this Government are on track to invest in excess of £8 billion a year by 2020 in continuing the transition to a clean energy system. We are talking about a low-carbon economy that is generating, at the last count, at least 450,000 jobs. As I made clear in an earlier announcement, there are new commitments to contract for difference auctions for less mature renewable technologies, so the Government’s commitment to clean energy is not in doubt.

[Stephen Metcalfe (South Basildon and East Thurrock) (Con)]

T8. May I again welcome the first two pillars of the proposed industrial strategy: investment in science and developing skills? Will my right hon. Friend the Secretary of State meet me to discuss how the work of the Science and Technology Committee can act as a road map in delivering the Government’s aims?

[Kerry McCarthy (Bristol East) (Lab)]

T5. It is estimated that an ambitious approach to the circular economy could create half a million new jobs. Cities such as Bristol would be very well placed to take advantage of that. It is disappointing that there is little mention of resource efficiency, low-carbon growth and sustainability in the industrial strategy. Can the Government reassure me that they are taking this seriously?

[Mr Hurd]

Yes I can, and I take a strong personal interest in those matters. The hon. Lady says they are not mentioned in the industrial strategy, but they are. One of the clear pillars of the industrial strategy is a commitment to clean growth, within which are some explicit references to our desire to explore the opportunities attached to higher resource and energy productivity.

[Dr Sarah Wollaston (Totnes) (Con)]

T9. It is 100 years since the destruction of Hallsands village following an act of environmental destruction and vandalism that saw the removal of protective shingle from the shoreline. Communities around our entire coast, including in Start Bay, face an even greater threat from climate change. Will the Minister assure me that he will protect us from an act of environmental vandalism —withdrawal from the Paris agreement?

[Mr Hurd]

As the Prime Minister said in Prime Minister’s questions last week, this country is fully committed to the Paris climate change agreement—as are all the countries that endorsed the Marrakech proclamation—and we hope that all parties will continue to ensure that it is put into practice.

[Kelvin Hopkins (Luton North) (Lab)]

T6. Since the EU referendum, the depreciation of sterling has boosted British manufacturing and exports, but, as we are leaving the EU, will the Government now start to use public procurement and necessary state aid to support the vital expansion of our industries and the promotion of import substitution?