Energy Price Freeze

Debate between Phillip Lee and Paul Flynn

Wednesday 2nd April 2014 Commons Chamber

[Dr Lee]

Of course. If my hon. Friend will forgive me, many people have already made the case for how simplistic and foolish an energy price freeze would be, and I did not want to add to that, because I thought it would be presumed that I would agree. My hon. Friend smiles. We are about to carry out an investigation into the market, and perhaps we need to start to think about how we might restructure our energy sector in a more profound way.

Before I come to that, I want to mention security. Currently, about 70% of our oil and gas comes from Norway; that relationship is key. Centrica has a long-term contract with the Qataris, worth in excess of £4 billion, which is important. Contrary to the hon. Member for Newport West (Paul Flynn), I am a strong supporter of the nuclear industry, but I have some issues—I have gone on public record about this—because a strategy on the nuclear industry is required.

I am somewhat concerned that we have had to go abroad for the technology. We have had to do so because the Opposition sold all the technology during the previous Parliament. Westinghouse was sold, as was British Energy—we could have made hay about that, but never mind. I am concerned that we have to go abroad for technology that arguably is not the cheapest and that, as the hon. Member for Newport West said, has not been delivered on time anywhere on the face of the earth. We need a strategy as a country. For example, why not have small reactors across the country, built by Rolls-Royce? That is just a suggestion.

[Paul Flynn]

Does the hon. Gentleman agree that Centrica made a considered and serious decision when it abandoned the £200 million it had already invested in Hinkley Point? That meant that the serious investors had deserted, and so we now have to rely on cheap Chinese money, of which is there is an abundance. What has Hinkley Point got to do with Britain?

[Dr Thérèse Coffey (Suffolk Coastal) (Con)]

They did not have control of the asset.