(12 years, 4 months ago)
Commons ChamberI am pleased to have an opportunity to speak in this important debate. I warmly congratulate the hon. Member for South Thanet (Laura Sandys) on driving the initiative for the debate and on making a telling and significant opening speech in which she set it on the right course.
So far, speakers have not much reflected on why it is necessary for us to pursue a low-carbon future—apart, that is, from the right hon. Member for Hitchin and Harpenden (Mr Lilley), who is no longer in his place—and have accepted that policy as a given. As a responsible and significant country that wishes to lead the way internationally—for example, at the recent Rio+20 summit —we should be setting the standards in responding to the challenges facing the globe. The recent Stern report set out the significant impact that rapid climate change will have on people and their lifestyles around the globe, and on the world’s economy, including this country’s economy, if we fail properly to get on top of the problem.
I am glad that that is now seen as the relatively unarguable fact of the matter. Although there are some who advance the case—I will not say that it is a respectable case, but I respect the fact that they argue it—of the climate change deniers, who are the modern equivalent of the flat earth society, on a relatively un-peer reviewed and un-scientific basis, it is good that this Government, the previous Government and Members of this House generally take a reasonable approach to the challenges that we face.
The global market in low-carbon goods and services is currently worth £3.2 trillion and may be worth as much as £4 trillion by 2015. It employs 28 million people worldwide and, unlike many sectors, is growing at a rate of 4%, which is faster than the world’s GDP. The nub of the debate is that we can either ignore that growing global market in low-carbon goods and services and say that Britain wants no part of it, or say that we want not only to be part of it, but to be at the cutting edge. Britain should provide the necessary economic certainty for the players in that market to develop low-carbon technology in this country. We must give the right signals and encouragement to those industries. The underbelly of such certainty in Britain can provide the basis on which companies can test and develop those industries, and then become world leaders and develop an export market for the UK.
Fundamentally, that is what I believe lies behind what the Government are doing, and theirs is the right approach. They are putting the investment in and trying to read the messages in the market itself. I know that the Government have had some difficulty with solar photovoltaics, but the fact is that the cost of solar PV reduced by more than 50% in one year. It is difficult for any Government to have a system that can respond effectively to that and not create distortions in the market. We need to have the right incentives to encourage these industries, but the incentives must work in a manner that creates certainty for the long term. Despite the difficulty that was experienced last year, I am pleased that there is now a great deal more certainty and a formula in the feed-in tariffs system that will take the solar PV industry forward to a point where ultimately, in only a few years time, it will not need any fiscal stimulus to continue succeeding and to be one of the most significant players in our economy.
Worcester Bosch, a manufacturer of solar thermal energy, is based in my constituency. One of its concerns is that the enormous subsidies for solar PV under the unreformed feed-in tariffs system discouraged people from investing in solar thermal. Does my hon. Friend agree that having a more sensible and sustainable system will encourage the development of all technologies?
My hon. Friend makes the point very well. We must get the balance of the fiscal incentives right. The hon. Member for Southampton, Test (Dr Whitehead) made the point to the right hon. Member for Hitchin and Harpenden that the European rules do not rule out establishing incentives to develop and then roll out new technologies to promote the low-carbon economy.
West Cornwall and the Isles of Scilly in my constituency have for many years been at the cutting edge of many renewable technologies. We had the first wind farms at Delabole and Cold Northcott in the late ’80s. The geothermal project at Rosemanowes, near Penryn, has spawned a number of developments involving ground source heat pumps and deep geothermal, which I believe will be a significant driver of low-carbon technologies into the future. I am also pleased that the Government are investing in geothermal energy. More of Cornwall’s landscape is taken over with large solar PV than other parts of the country—Cornwall is famed for its sun, and it rarely rains. We want to harness that technology.
The first place in the UK to roll out commercial-scale wave technology is also in my area. That required significant Government investment—from the previous Government and the current one. We are at the critical point of ensuring that we plug companies into the system and that it works.
With all those sectors, Cornwall wishes to be seen as the green peninsula—the cutting edge or blueprint from which others can learn. The Eden project is an exemplar of rolling out such projects. It is not just the technologies that hope for opportunities, but companies. For example, Fugro Seacore, an offshore drilling company—I must declare an interest: my son works there—is helping to put in the footings for offshore wind. Such companies hope to have improved opportunities as a result of the fiscal measures that the Government are putting in place to promote low-carbon technology. I hope all hon. Members support this important motion.
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I completely agree with the hon. Gentleman. I remember times in my life when the BBC locally has provided a lifeline when we have been cut off or in crisis situations. Many constituents have told me how much they value the real local knowledge and support provided by local radio at such times.
I thank my hon. Friend for giving way. Radio reflects the distinctiveness of a local area. Radio Cornwall, which faces a 22% cut in output, is one that will suffer. It is not simply a question of its being audio wallpaper; people listen to it with great intensity. He is making a strong point that it is the uniqueness of local radio that is important. In Cornwall, Radio Cornwall is seen as Cornwall’s national radio.
The hon. Gentleman makes a passionate point. For all those reasons, I believe local radio is something special. It is not just another part of the BBC and I hope that the Minister will reflect on its unique offering—reaching people the licence fee might not otherwise reach and providing a service that no other part of the BBC can provide—when he makes his response to the BBC Trust.
I want to raise some specific local concerns and then give time to other hon. Members to say their piece. In Worcestershire, people are particularly worried that any shift towards regional programming and any moves to share programming will inevitably mean a focus on the urban west midlands, specifically Birmingham, at the expense of its rural neighbours.