Net Zero Strategy and Heat and Buildings Strategy

Ruth Cadbury Excerpts

Tuesday 19th October 2021 Commons Chamber

[Greg Hands]

I will of course meet my hon. Friend to discuss that. I thank him for taking a strong interest in my visit to Aberdeen last week. He is right that the oil and gas sector is in transition, welcomes the North sea transition deal and wants to work closely with the Government, the OGA, Oil & Gas UK and so on in continuing to make a massive contribution to Scotland and the whole of the United Kingdom.

On carbon capture, utilisation and storage, this is not the end of the story, as I said. We need to make a decision and make progress, but Acorn is the first reserve. If Members look at the rest of our policy, they will see that there is potential to expand our commitment yet further in advance of 2030.

[Ruth Cadbury (Brentford and Isleworth) (Lab)]

The delivery of a target of 600,000 new heat pumps by 2028 requires significant resource; otherwise, only the very well-off will be able to afford the cost of both the heat pump and the additional insulation that most homes would need to make the pumps cost-effective. As the hon. Member for St Ives (Derek Thomas) said, many homes will need additional power supplies. Will the Government therefore extend their ambition and link the programme for adequate insulation with adequate funding for heat pumps, such that more people than just the very well-off will be able to deliver the changes according to the Government’s strategy?

[Greg Hands]

The hon. Lady underestimates our commitment, because it is not 600,000 new heat pumps, but 600,000 new heat pumps per annum by 2028. This is a huge commitment, but it is a commitment that is best met largely by the private sector. That is why we strongly believe that the announcement that we made today on the grants of up to £5,000 will kickstart the private sector in providing these heat pumps. I have already pointed overnight to the welcome of this announcement by the energy companies, which think that they can get the price of those heat pumps down. That is the right strategy, rather than having the Government pay for everything to meet that commitment. I think it is about working with the private sector. The ball is now partly in the energy companies’ court to see whether they can get the price of those heat pumps down.