Cost of Living

Debate between Pat Glass and Phil Wilson

Wednesday 16th May 2012 Commons Chamber

[Phil Wilson]

Ministers do need to take that on board, because the state of bus services is not just an issue about people getting to work, getting to see their family or getting to medical appointments; it is also an issue for schoolchildren and their parents.

[Pat Glass (North West Durham) (Lab)]

This issue is having an impact on every rural and semi-rural constituency across this country and it is having an impact on our future. Young people are now telling me that they are choosing courses on the basis of where they can get to, not on the basis of what the right course is for them or for the future economy of this country.

Solar Power (Feed-in Tariff)

Debate between Pat Glass and Phil Wilson

Wednesday 23rd November 2011 Commons Chamber

[Phil Wilson (Sedgefield) (Lab)]

If ever there was an example of how not to make an announcement in this House, the announcement of the review of feed-in tariffs is it. The Government tried to slip it out as a written statement, but our ever-vigilant DECC team on the Opposition Front Bench recognised its importance, and managed to get a Minister to the Dispatch Box only by tabling an urgent question. The Government’s code of practice on consultations states that they should last 12 weeks, but this consultation is to last only six weeks, with the changes coming into force nearly two weeks before it finishes. Given the dearth of proposed legislation before the Chamber, I would have expected the Government to allow an oral statement and a full- day debate on the issue—not least to discuss the implied loss of jobs. It would be laughable if it were not so serious.

The change will cost a lot of jobs in this sector, in which up to 30,000 people work. It will remove the opportunity for nine out of 10 households to take advantage of the feed-in tariff to reduce their energy bills at a time of rising fuel poverty. The 12 December deadline is causing planned solar projects nationwide to be shelved and millions of pounds of investment to be lost. A survey by the Renewable Energy Association reveals that 57% of companies now anticipate laying off at least half of their staff, while a third believe that their companies will go under.

Let us take the example of Mr Wayne Richardson, one of my constituents who runs Revolution Power—a small renewable energy company employing 17 people. It has been on the go for about six years. Revolution Power fits photovoltaic units and provides ground and air heat pumps. Mr Richardson tells me that he might have to lay off a third of his staff. He is a young man with a young family; he is an entrepreneur and a trier. We need more Wayne Richardsons in the north-east to promote and protect jobs in the private sector.

[Pat Glass (North West Durham) (Lab)]

Does my hon. Friend agree that companies such as Romag—a major employer in my constituency that has been in the industry a long time and employs young people and young graduates in its research and development section—recognise the fact that feed-in tariffs are reducing, but are concerned about the shameful way in which this consultation has occurred and the very tight time scale? That is what is going to do them in.

[Phil Wilson]

My hon. Friend is right. We all agree that the tariff has to come down, but how it is implemented is important. We need to think about the best way of protecting jobs, particularly in the north-east, where I want to see more private sector jobs available.

Wayne Richardson agrees that the value of the feed-in tariff should be reduced, but the cack-handed way in which the Government have introduced this policy is hurting his company. The early reduction in the feed-in tariffs has created a vacuum in the market. As a consequence, parts and materials are in short supply, making it difficult for projects to be finished before 12 December.

One reason behind the reduction is the falling price of installations. Because of the arbitrary deadline of 12 December, however, the price of equipment is going up. The number of inquiries about PV has decreased by 90%, which does not bode well for the future. The FITs scheme is paid for by a levy on energy companies, which is passed on to consumers and costs, as I understand it, only £1 a year. We should compare that with the situation with wind farms. Eon wants to build 45 wind turbines in the constituency. The subsidy from the consumer in that case is close to £200 a year.

The FIT needs to be reduced, but not by 50% in seven weeks. In Germany, where 50% of all PV units are installed, the tariff was cut by 15% and it is being achieved step by step through negotiations and agreement with the industry. Plenty of time and notice has been allowed. I understand that reductions in the tariff there occur year on year so that the industry and consumers can plan ahead—something this Government are daily proving their inability to do. The fact that so little legislation is before the House proves to me that they have no plan and, I suspect, no future.

Wind Farm Development (Sedgefield)

Debate between Pat Glass and Phil Wilson

Wednesday 7th September 2011 Westminster Hall

[Phil Wilson]

I thank the hon. Gentleman for his intervention. There is a lot of discontent in certain parts of the country, because the matter is pertinent to parts of Wales and Scotland, as well as to County Durham and to one or two other parts of the country. A case can be made for wind farms, but when there are dozens in one area it has an impact on the local landscape.

[Pat Glass (North West Durham) (Lab)]

I am grateful to my hon. Friend for giving way. His is a neighbouring constituency.

County Durham was the first county to reach its 2010 target, and it is well on its way to reaching its 2020 target for renewable energy. Like my hon. Friend, I have many wind farms in my constituency, which is largely rural and has two areas of outstanding natural beauty. Energy providers now acknowledge that the cumulative effect of ever more developers rushing to build wind farms is reaching saturation point in the county.

[Phil Wilson]

I thank my hon. Friend for her intervention. In a moment, I shall be pointing out how much of a role County Durham and Sedgefield residents are playing in combating climate change.

It is the job of each developer to promote their schemes, but because the planning system is run on a first-come, first-served basis there is a rush to the planning authorities, and local people are left feeling under siege and helpless. I shall give an example by detailing the level of interest in and around my constituency by developers. I say “in and around the constituency”, because when my constituents look out of the windows they do not see the boundaries between constituencies; they see pleasant countryside. Indeed, from certain parts of the constituency they can see magnificent views of the North Yorkshire moors and Cleveland hills.

This is the state of play. As I said, 16 wind farms are up and running in County Durham, and another has been permitted but has not yet been built; 67 turbines are generating 126 MW. A further five wind farms are in planning, with a further 10 turbines; and three are in pre-planning with 18 turbines. That is a total of 95 turbines. Then there is the mother of all wind farms, the Isles wind farm proposed by E.ON, which will raise the number of turbines, operational and proposed, to as many as 140.

Within hundreds of metres of the Durham county council border at Sedgefield, three turbines are operational near Elwick. Just to the south, along the A1, a further six have been granted at Red Gap farm. Three turbines have received planning consent at Lambs hill near Stockton, and they directly affect my constituency because of their proximity. In the borough of Darlington, an area that I share with my hon. Friend the Member for Darlington (Mrs Chapman), three are proposed at East and West Newbiggin. Banks Renewables has gone to appeal on a wind farm of 10 turbines at Moor House farm, just to the south of E.ON’s large proposal. The list goes on.

Local people feel inundated and helpless. I am sorry to say that they are resentful of a planning regime that does not seem to listen to them. I accept that not all the proposed wind farms will go ahead. However, the Minister cannot deny that they will have a cumulative impact in County Durham and the Tees valley plain. When I say no to the Isles wind farm, I do so because I know that my constituents in County Durham are doing their bit. Even the developers are starting to concede that point. A representative of Banks Renewables, wind farm developers that have sites in the county, was interviewed by the Teesdale Mercury on 24 August 2011. He said:

“An unfortunate repercussion of County Durham being forward thinking in its approach to renewable energy development is the potential for cumulative impact to occur...The pursuit of several wind farms within the county by competing developers has potential to cause an unacceptable impact upon the landscape.”

He is absolutely right; in my view we are already at that stage.

County Durham’s record on renewable energy is another reason why I believe that we are not being nimbyist in our approach. The county council was the first local authority in England to have a renewable energy strategy; it dates back to 1994. The renewable electricity target for County Durham in the regional spatial strategy—I realise that it does not apply any more—was 82 MW installed capacity by 2010. Since then, about 165 MW of installed capacity of renewable energy development has been permitted in the county. Only 11 MW of that was permitted on appeal—the majority, 154MW, was granted by the council.

A capacity of 165 MW will meet about 55% of County Durham’s household electricity consumption, or 22% of the county’s overall electricity consumption. That is a fantastic record, and one of the best in England. I am sure that the Minister will agree that County Durham is doing its bit, and I hope that he will pay tribute to the county’s record.

County Durham’s 2010 target has been met and exceeded by a substantial margin. The aspiration to double that target by 2020 has already been achieved, and progress is being made towards the more recent national target of 30% by 2020. That has been achieved through a planned approach based on the north-east region’s renewable energy strategy and development capacity studies commissioned and endorsed by local authorities in the region.

The Tees plain was identified as a broad area of least constraint for wind energy development. Its capacity was identified as being between 20 and 25 turbines. It is covered by four local planning authorities—Durham county council, and Stockton, Hartlepool and Darlington borough councils. A development capacity study was carried out by consultants Arup in 2008, when there were a total of 20 operational or permitted turbines in three wind farms. It concluded that there was potential to exceed the level of development anticipated, and that two additional wind farms totalling between nine and 15 turbines might be acceptable.

Since then, two additional wind farms totalling nine turbines have been permitted. The area is therefore at or approaching the capacity identified in the Arup report. Currently, there are planning applications for three additional wind farms and a single turbine development in the area, totalling 13 turbines; and one planning application for 10 turbines is in abeyance. Those applications will be determined against the development plans of the relevant planning authorities, having regard to both the Arup capacity study and the evolving cumulative impact picture as they progress through the system. According to impact assessment studies, the area chosen by E.ON at the Isles—the company has built many wind farms in the area—can cope with only four to six turbines, but E.ON plans between 25 and 45. Durham can meet its targets because we have proved willing to embrace other renewable technologies in the same area. In Chilton, which is in my constituency and north of the Isles, Dalkia has just opened a biomass facility, producing 15 to 17 MW of electricity. Some 24.4 MW of electricity is generated from biomass in the county, 12.7 MW from landfill and 2.1 MW from hydro. County Durham is playing its part. Everyone wants to share the benefits of renewable energy, but we also need to share the burden.