(1 year, 7 months ago)
Commons ChamberAbsolutely. When decisions are taken either to amend or to revoke, the usual channels will be followed in Parliament. Committees will be put in place and decisions will be reviewed the Leaders of both Houses. Decisions can be taken openly and transparently. We also have the dashboard, which will be updated and already has thousands of EU laws on it.
The Minister is right that the whole point of Brexit was to take control of our own laws. She is also right that there needs to be a single set of laws across the United Kingdom. But the Bill makes it clear that we will not have a single set of laws across the United Kingdom, because a wide range of laws in Northern Ireland are exempt from the provisions of the Bill. Furthermore, in future when EU law changes and applies in Northern Ireland, the gap between the laws in the rest of the United Kingdom and Northern Ireland will get ever wider. Does she accept that unless the protocol is dealt with, there is a real danger that Northern Ireland will be treated differently and be constitutionally separated from the United Kingdom?
My right hon. Friend raises a very important issue. As it is sensitive, he must allow me a moment to ensure that my response is accurate. The UK Government are committed to ensuring that the necessary legislation is in place to uphold the UK’s international obligations, including the Northern Ireland protocol and the trade and co-operation agreement after the sunset date. The Bill will not alter the rights of EU nations that are protected, or eligible to be protected, by the relevant provisions in the Northern Ireland protocol. The Bill contains provisions that, when exercised appropriately, will ensure the continued implementation of our international obligations, including the Northern Ireland protocol.
It is our preference to resolve the Northern Ireland protocol issue through talks. The Government are engaging in constructive dialogue with the EU to find solutions to these problems. I must put on record that officials have been working with officials in Northern Ireland for the last 18 months. We know how important and sensitive this issue is.
(1 year, 9 months ago)
Commons ChamberI am proud that this Government have led the way, with contracts for difference driving renewables such as offshore wind by driving down costs. I am also delighted that we have the legislative vehicle to deliver the necessary changes, and the Energy Security Bill will be taken forward in this Parliament to transform our energy industry by turbocharging carbon capture, utilisation and storage and our hydrogen industries in pioneering projects from the Humber to the Mersey, and beyond. The Bill will encourage competition in the energy sector, creating opportunity, prosperity and security with clean jobs, new skills and, as my hon. Friend rightly highlights, cheaper bills.
The Minister talks about long-term energy support. Will he bear in mind that, despite the promises made here today that everyone in the United Kingdom is already benefiting from short-term support, not one penny has been allocated to consumers in Northern Ireland, even though the electricity companies are ready and the utility regular has told him that the ground has been set. When will payments be made to people in Northern Ireland? We are looking not for promises tomorrow but for payments today.
The energy price guarantee is benefiting Northern Ireland consumers today, along with pensioners and vulnerable families—they are all being helped. Of course, energy policy is devolved to Northern Ireland, and we have had to step in because of the lack of an Executive. We are working very hard. I held a roundtable with energy suppliers only last week, and another one was held yesterday. We are doing everything within our power to find the right route, while protecting public money in the proper fashion, to get money out to Northern Ireland consumers this winter. We are doing everything for our part, and I hope the right hon. Gentleman will support me in urging others to do the same.
(1 year, 9 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The hon. Gentleman has a valid question. The negotiations are so fresh—the agreement was concluded yesterday and the negotiations are still ongoing to flesh out the detail—that I do not have a direct answer. It is still being negotiated. However, the UK contribution will continue to ensure high value for money for the UK taxpayer from that international support, and of course we are dedicated to making sure that we reach our target and our commitment to the loss and damage fund.
While thousands of the great and the good, the chattering classes and the global warming zealots are flying out of Egypt today in their private planes and fleets of airlines, patting themselves on the back that for the 27th time they have saved the world, does the Minister accept that we still need reliable fossil fuel energy to drive our economy and to lift billions out of poverty in the developing world? Does she accept that many people across the United Kingdom who were hit with big tax rises last week will be concerned at the demand for even more billions to pay compensation because we industrialised first? Will she assure us that she will not be taken on some kind of ecological guilt trip and end up committing to pay billions in compensation when we are responsible for less than 1% of CO2 emissions in the world?
There was so much in that question. Rest assured, I am never driven by any guilt trip whatsoever. I am not sure how far I can push the envelope, but there is a certain something about people flying in and out while we are trying to drive down greenhouse gas emissions. There is some hypocrisy there.
We know there is a huge issue at home. We are dealing with fuel bills, and one of the answers to that is making sure that we have a mix of energy. Going forward, we are absolutely committed to offshore and nuclear, which will provide us with a certain level of security and will help to manage our bills. The hon. Gentleman is absolutely right that we have to accept our contribution to global emissions, and even more so our leadership position. We will make sure we honour that.
(1 year, 10 months ago)
Commons ChamberOnce again, my hon. Friend is a staunch advocate for North West Durham and its businesses, particularly Weardale Lithium. We are absolutely committed to ensuring that we have resilience and security of supply. The Government are committed to building domestic critical mineral supply chains and generating jobs and wealth across the UK—for example, by supporting lithium projects in County Durham via the automotive transformation fund. He has often spoken about China; resilience is key.
The Government’s plan for net zero by 2050 is unplanned and uncosted. On top of that, we now have the difficulty of finding the metals that are needed for batteries, magnets and the required systems, because China controls 60% of earth metals. Only this week, a Finnish Government report indicated that there is not enough lithium in the world for the batteries that are required for motor cars and battery storage. How will the Government deliver on that unrealistic target?
There is indeed a race to secure critical minerals, especially when countries such as China own so much of them. By 2040, the world is expected to need four times as many critical minerals as we can access today for clean energy technologies, but there is work under way in collaboration with international partners and in the UK with the Critical Minerals Intelligence Centre.
(1 year, 10 months ago)
Commons ChamberI am sure that many hon. Members are standing up to say how pleased they are with that announcement.
As someone who fought to free ourselves from the shackles of Brussels, I welcome the legislation. Does the Minister recognise that the passing of the Bill will make it even more imperative that the Northern Ireland protocol be removed, because those freedoms would not be available to the Northern Ireland Administration, which will still be bound by EU laws?
The right hon. Member makes an important point. This is about the United Kingdom and making sure that every single person across this great nation, wherever they live, can do and be their best in all that they do.
The right hon. Gentleman is entirely correct. This is an issue of the supremacy of this Parliament, and this law will enforce, and reinforce, the point that when we left the EU we made Parliament sovereign. Does the right hon. Gentleman accept, however, that the Bill will also highlight the fact that Parliament is not sovereign across the United Kingdom? Some of this cannot apply to Northern Ireland, where EU law past and future will still apply. If anything, the Bill could drive a greater wedge between Northern Ireland, constitutionally, and the rest of the United Kingdom.
I am certainly concerned about that. In the last couple of days I had to sign off a couple of explanatory memorandums covering law that was going to come into Northern Ireland from the European Union. That is an unsatisfactory constitutional situation, which is why I am so supportive of the Northern Ireland Protocol Bill that is in the other place today. That is something we must push forward with, to ensure that we have a unified legal system across the whole of the United Kingdom.
Does the hon. Gentleman understand the inconsistency of his argument? He objects to Ministers in the country to which he belongs being able to make changes to the law through this Parliament, yet he and his party would be quite happy to hand over all these lawmaking powers to Brussels, where he would have no say.
The right hon. Gentleman will be aware that Scotland, exactly the same as Northern Ireland, voted to remain in the European Union. What the Scottish people decide to do with our sovereignty is entirely our own decision. If we decide to pool and share that sovereignty with our European neighbours and friends, that is what we will do. He is asking me to accede to this Government, a Government we have never elected, riding roughshod over Scottish domestic policy in areas that are wholly devolved.
(1 year, 10 months ago)
Commons ChamberI beg to move,
That this House calls on the Government to introduce a ban on hydraulic fracking for shale gas; and makes provision as set out in this Order:
(1) On Tuesday 29 November 2022:
(a) Standing Order No. 14(1) (which provides that government business shall have precedence at every sitting save as provided in that Order) shall not apply;
(b) any proceedings governed by this Order may be proceeded with until any hour, though opposed, and shall not be interrupted;
(c) the Speaker may not propose the question on the previous question, and may not put any question under Standing Order No. 36 (Closure of debate) or Standing Order No. 163 (Motion to sit in private);
(d) at 3.00 pm, the Speaker shall interrupt any business prior to the business governed by this Order and call the Leader of the Opposition or another Member on his behalf to present a Bill concerning a ban on hydraulic fracking for shale gas of which notice of presentation has been given and immediately thereafter (notwithstanding the practice of the House) call a Member to move the motion that the Ban on Fracking for Shale Gas Bill be now read a second time as if it were an order of the House;
(e) in respect of that Bill, notices of Amendments, new Clauses and new Schedules to be moved in Committee may be accepted by the Clerks at the Table before the Bill has been read a second time.
(f) any proceedings interrupted or superseded by this Order may be resumed or (as the case may be) entered upon and proceeded with after the moment of interruption.
(2) The provisions of paragraphs (3) to (18) of this Order shall apply to and in connection with the proceedings on the Ban on Fracking for Shale Gas Bill in the present Session of Parliament.
Timetable for the Bill on Tuesday 29 November 2022
(3)(a) Proceedings on Second Reading and in Committee of the whole House, any proceedings on Consideration and proceedings up to and including Third Reading shall be taken at the sitting on Tuesday 29 November 2022 in accordance with this Order.
(b) Proceedings on Second Reading shall be brought to a conclusion (so far as not previously concluded) at 5.00 pm.
(c) Proceedings in Committee of the whole House, any proceedings on Consideration and proceedings up to and including Third Reading shall be brought to a conclusion (so far as not previously concluded) at 7.00 pm. Timing of proceedings and Questions to be put on Tuesday 29 November 2022
(4) When the Bill has been read a second time: (a) it shall, notwithstanding Standing Order No. 63 (Committal of bills not subject to a programme Order), stand committed to a Committee of the whole House without any Question being put; (b) the Speaker shall leave the Chair whether or not notice of an Instruction has been given.
(5)(a) On the conclusion of proceedings in Committee of the whole House, the Chairman shall report the Bill to the House without putting any Question.
(b) If the Bill is reported with amendments, the House shall proceed to consider the Bill as amended without any Question being put.
(6) For the purpose of bringing any proceedings to a conclusion in accordance with paragraph (3), the Chairman or Speaker shall forthwith put the following Questions in the same order as they would fall to be put if this Order did not apply—
(a) any Question already proposed from the Chair;
(b) any Question necessary to bring to a decision a Question so proposed;
(c) the Question on any amendment, new clause or new schedule selected by The Chairman or Speaker for separate decision;
(d) the Question on any amendment moved or Motion made by a designated Member;
(e) any other Question necessary for the disposal of the business to be concluded; and shall not put any other Questions, other than the Question on any motion described in paragraph (15) of this Order.
(7) On a Motion made for a new Clause or a new Schedule, the Chairman or Speaker shall put only the Question that the Clause or Schedule be added to the Bill.
Consideration of Lords Amendments and Messages on a subsequent day
(8) If on any future sitting day any message on the Bill (other than a message that the House of Lords agrees with the Bill without amendment or agrees with any message from this House) is expected from the House of Lords, this House shall not adjourn until that message has been received and any proceedings under paragraph (9) have been concluded.
(9) On any day on which such a message is received, if a designated Member indicates to the Speaker an intention to proceed to consider that message—
(a) notwithstanding Standing Order No. 14(1) any Lords Amendments to the Bill or any further Message from the Lords on the Bill may be considered forthwith without any Question being put; and any proceedings interrupted for that purpose shall be suspended accordingly;
(b) proceedings on consideration of Lords Amendments or on any further Message from the Lords shall (so far as not previously concluded) be brought to a conclusion one hour after their commencement; and any proceedings suspended under subparagraph (a) shall thereupon be resumed;
(c) the Speaker may not propose the question on the previous question, and may not put any question under Standing Order No. 36 (Closure of debate) or Standing Order No. 163 (Motion to sit in private) in the course of those proceedings.
(10) Paragraphs (2) to (7) of Standing Order No. 83F (Programme Orders: conclusion of proceedings on consideration of Lords amendments) apply for the purposes of bringing any proceedings on consideration of Lords Amendments to a conclusion as if:
(a) any reference to a Minister of the Crown were a reference to a designated Member;
(b) after paragraph (4)(a) there is inserted—
“(aa) the question on any amendment or motion selected by the Speaker for separate decision;”.
(11) Paragraphs (2) to (5) of Standing Order No. 83G (Programme Orders: conclusion of proceedings on further messages from the Lords) apply for the purposes of bringing any proceedings on consideration of a Lords Message to a conclusion as if any reference to a Minister of the Crown were a reference to a designated Member.
Reasons Committee
(12) Paragraphs (2) to (6) of Standing Order No. 83H (Programme Orders: reasons committee) apply in relation to any committee to be appointed to draw up reasons after proceedings have been brought to a conclusion in accordance with this Order as if any reference to a Minister of the Crown were a reference to a designated Member.
Miscellaneous
(13) Standing Order No. 82 (Business Committee) shall not apply in relation to any proceedings on the Bill to which this Order applies.
(14)(a) No Motion shall be made, except by a designated Member, to alter the order in which any proceedings on the Bill are taken, to recommit the Bill or to vary or supplement the provisions of this Order.
(b) No notice shall be required of such a Motion.
(c) Such a Motion may be considered forthwith without any Question being put; and any proceedings interrupted for that purpose shall be suspended accordingly.
(d) The Question on such a Motion shall be put forthwith; and any proceedings suspended under sub-paragraph (c) shall thereupon be resumed.
(e) Standing Order No. 15(1) (Exempted business) shall apply to proceedings on such a Motion.
(15)(a) No dilatory Motion shall be made in relation to proceedings on the Bill to which this Order applies except by a designated Member.
(b) The Question on any such Motion shall be put forthwith.
(16) Proceedings to which this Order applies shall not be interrupted under any Standing Order relating to the sittings of the House.
(17) No private business may be considered at any sitting to which the provisions of this Order apply.
(18)(a) The start of any debate under Standing Order No. 24 (Emergency debates) to be held on a day on which proceedings to which this Order applies are to take place shall be postponed until the conclusion of any proceedings to which this Order applies. (b) Standing Order 15(1) (Exempted business) shall apply in respect of any such debate.
(19) In this Order, “a designated Member” means—
(a) the Leader of the Opposition; and
(b) any other Member acting on behalf of the Leader of the Opposition.
(20) This Order shall be a Standing Order of the House.
We have called this debate to provide the House with the right, which it should have, to make the decision on whether fracking should be allowed to restart across our country. The Business Secretary made it clear last week that he will not give the House a binding vote on the principle of the fracking ban, despite the Conservatives overturning their manifesto promise to keep the ban in place, despite the concern in all parts of this House and despite the concerns of the public.
If our motion is passed, it will mean that on 29 November, in six weeks’ time, the House will debate a fracking Bill. We have done this because we know what would have happened if we had had a simple Opposition Day motion on fracking. The Government would simply have abstained and ignored the vote, as they have done in votes on the windfall tax, fire and rehire, and the cut to universal credit, and as they will no doubt try to do with the motion that has just been passed. This is about faith in politics. The Government are seeking to break their manifesto promise without even getting the consent of this House. Today, we give all Members a chance to make this crucial decision on fracking.
Now let me go through the substantive arguments against fracking. There are four key questions for the House and the country. Will fracking make a difference to the price of energy? The answer is no. Is there categorical evidence that it is safe? The answer is no. Is it consistent with any remotely serious response to the climate crisis? The answer is no. Crucially, do people want it? The answer is no.
Does the right hon. Gentleman accept that there is another vital question to be asked? Since we will require gas until at least 2050—£1 trillion-worth of gas is to be imported—where are we going to get that gas from?
We can have a debate about North sea oil and gas, but fracking is a wholly different category. It is dangerous, it is expensive and it is not supported by the public.
The hon. Gentleman’s intervention is indeed helpful. Green hydrogen is one of the most exciting technologies, and I am very enthusiastic about the opportunities there.
Does the Secretary of State share my bemusement at some of the arguments? We know that we will need gas and that we will spend billions of pounds importing it from regimes that we cannot depend upon, and we know that we have gas in the north of England that could generate thousands of jobs and give us the security of our own supply. What is not to like about that?
I am grateful to the right hon. Gentleman, who puts his thoughts with classic cogency.
That brings me to the point that I was going to make. If this is all about local democracy and democracy itself, why are the hon. Member’s Government making his MPs vote in a way that they say they do not want to vote? How can we trust them to implement some form of local democracy when MPs are getting forced to vote for the Government amendment against their will?
At least the hon. Member is being honest in his speech. He has made it clear that the only reason why he is intervening on what he believes is an English issue is that this is a vote of no confidence in the Government. Surely he understands, therefore, why this ceases to be a debate about local democracy and where we get our gas from. This is all a bit of political playing by the Opposition.
The political playing is by the Government, who have made the motion a vote of confidence in themselves, and are making their MPs vote in a way they do not want to. It is not the Opposition playing games—it is that lot over there.
The hon. Gentleman has made the point very well, and it is one of which we need to take cognisance. We have to doubt the Government when they say they are committed to net zero by 2030. We have to wonder how serious they are about that. They know that 2030 is a while away—it is future Governments away—so they can do what they want now, and pretend they are still in favour of abiding by that net zero commitment.
Even if we accept some of the Government’s arguments, the exploration and appraisal phases of a fracking site last for, roughly, between two and five years, so it is not possible that fracking can produce any sort of quick-fix solution to the problems that they think they are trying to solve.
If this Tory Government are so worried about people’s energy bills, they must ask themselves why they did a screaming U-turn on the so-called energy price guarantee this week. The Prime Minister had told us previously that she would prevent household energy bills from rising to an astonishing £6,000 a year, but presumably the UK Government now believe that—unfortunately for the majority of households in the UK—bills might rise to that level at some point after April 2023, when they are scrapping the guarantee. They may not think the bills will become that high, but the energy prices paper produced by the Department for Business, Energy and Industrial Strategy contains an estimate of £4,400, and other papers produced this week speculate that average bills could easily hit £5,000.
Even if the Government introduce measures which they say will protect the most vulnerable, bills as high as that—allied with record inflation—will still cause misery to millions of people. These are, of course, households that have already seen mortgage rates and costs increase as a direct consequence of the Prime Minister’s ideological mini-Budget. Bad decisions made by the Government are already affecting household expenditure, and such measures are obviously not the solution. National Energy Action estimates that even under the current support scheme, with average household bills of £2,500, 6.7 million households will be in fuel poverty, and it is clear that if bills became much higher than that, millions more would be in that position. A year and a half ago, when the price cap set bills at an average of £1,100, constituents of mine were already struggling, and some were in fuel poverty. If the bills go up by much more, there will be misery for many. Fracking does nothing to help them in the here and now, and I urge the Government to start thinking about the support that they will have to provide to bring household energy bills down for people.
Other measures that should be taken include energy efficiency installation. The Government need to increase, massively, their commitment to upgrading homes to the target of EPC band C. Energy efficiency installation clearly reduces energy demand. It reduces reliance on gas, at least for energy generation, it brings down household bills, and it creates jobs.
As for energy security, it is not so long ago that the UK Government blocked the six years of onshore wind development. Given that onshore wind is the cheapest form of energy generation, they have arguably added costs to consumers’ bills. That form of electricity generation could have reduced reliance on gas, and on imports, in the UK, so why was onshore wind development banned? It is because some loud Tory Back Benchers were against wind turbines, and the Government used that—and some voices in the community—to argue that local consent for the turbines was not there. That was using a few people to destroy local democracy. In fact, it was local democracy in reverse: overturning offshore wind development across the UK was imposing the view of a few people in the shires, and elsewhere in the UK, and making energy more expensive for the rest of us.
Does the hon. Gentleman agree that the main reason people are opposed to onshore wind is that it is extremely land-intensive? Compared with the area that 10 fracking pads would take up, 725 times more land would be required for windmills, which are of course a blot on the landscape.
I thank the right hon. Gentleman for that intervention, and for proving where he is on the whole climate change denial aspect. Studies and surveys show time and again that people are in favour of onshore wind, and we know that people are against fracking, so his argument is completely at odds with what the public think, and probably what his own constituents think.
On energy security and further reducing reliance on gas, the Government need to introduce a pricing mechanism for pumped storage hydro. Dispatchable energy is one way to hit peak demand. SSE already has all the permissions in place. The funding is there to build the Coire Glas scheme in the highlands. All that is needed is a funding mechanism. The predecessor of the Secretary of State said at an evidence session of the Business, Energy and Industrial Strategy Committee that the Government had not agreed a pricing mechanism and were not doing anything on it because it was a predominantly Scottish technology. I urge the new Secretary of State to get over that mindset, and to realise that pumped storage hydro is for the good of the grid and the good of the UK as a whole.
(1 year, 10 months ago)
Commons ChamberYes, I think I can give the hon. Gentleman the assurance he is asking for. That is why the scheme is as broad as it is. The effect of the price rises we were in danger of seeing was so great that it would have affected people who were not on benefits. They would have found that they were in fuel poverty without this assistance. That is why it is so encompassing. The support is being provided at the point in the year when 60% of consumption takes place.
The energy price guarantee comes in addition to the £400 of support provided by the energy bills support scheme for Great Britain, announced earlier this year.
I see the right hon. Gentleman is about to intervene. I will just say one thing, because I am coming on to a point about Northern Ireland on the energy bills support scheme. It will be extended to Northern Ireland to provide domestic consumers with the equivalent level of support being provided to households in Great Britain. This is very much a Unionist package.
First of all, I give our thanks to the Secretary of State for the diligent way he has sought to address the problems in Northern Ireland. He points out that the package is coming at the point of the year where energy consumption is at its highest. In Northern Ireland, because of the difficulties of one electricity company, it may well be that the whole scheme will be held up until it is ready to give a discount on bills. Can he give us an assurance that, since 60% of consumers are with companies that could do it tomorrow, there will be no delay in waiting for the slowest to catch up before the benefits are made available?
The point of the Bill is to bring in support from 1 October. It has already been done in GB for domestic users and it will be retrospective for Northern Ireland. That is what the Bill is trying to achieve.
Obviously everybody in the House welcomes any measures that will help people with the cost of energy crisis, but it beggars belief that this emergency legislation is being rushed through Parliament today, yet at 11 o’clock this morning the Chancellor pulled the rug from under it by saying that the support package will be not for two years, but for only six months.
It was only last week that the Prime Minister’s robotic response to any question put to her was “Energy price guarantee for two years.” She stated that her measures would prevent households from paying more than £6,000 in energy costs in future. If the energy support package is to be pulled in April, what will the average future household bill look like? The Government say that they will bring in support to help the most vulnerable, but people need to know what their bills will look like. This is scaring millions of people, and the Government need to get a grip. When will we know what their support for the most vulnerable will look like? Will they give proper consideration to alternatives such as social tariffs?
The Secretary of State was very clear in spelling out that the so-called guarantee is just a price cap per unit of energy, and that £2,500 is just an estimate for an average household. It is just a pity that the Prime Minister did not understand that: when she was doing media rounds for the Tory party conference, she kept saying that households would not pay more than £2,500. Her rhetoric was dangerous and misleading. Unfortunately, some families might have the wrong impression of the household bills they will pay, because the Prime Minister did not understand her so-called flagship policy.
Even as we talk about limiting average bills to £2,500, we need to remember that just a year and a half ago the cap was set at £1,100, so energy bills for everybody are more than doubling. That is really difficult for people to deal with, and other costs are going up as well. Although the Government talk about an average bill of £2,500, it has been estimated that in Scotland the average household will pay £3,300, which is really difficult for people to manage. In Argyll and Bute, one of the most rural communities, the average dual fuel bill will be £4,400. Families are really struggling. National Energy Action estimates that 6.7 million households in Great Britain will be in fuel poverty even with the support package that the Government have announced, so we have really big concerns about what fuel poverty will look like when the package is lifted in April.
Off-grid homes in rural Scotland and in rural Great Britain will suffer even more and will have to pay much higher costs, as the hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards) pointed out in his intervention. The Secretary of State says that he will provide workings for the one-off £100 payment, but no matter what workings he provides, £100 will not be enough for people to deal with the increased cost of filling their oil or liquefied petroleum gas tanks.
I do not know what calculations have been done in Scotland, but in Northern Ireland the regulator has estimated that to give equivalence, there would have to be a payment of £500 per consumer. There needs to be greater transparency about that.
I have not seen that figure, but I agree that it seems more realistic. The reality is that the minimum delivery for a fuel tank costs £500 to £600, and completely filling a fuel tank costs £1,200. The cost per litre has gone up from about 30p to more than £1. It is a crippling cost, and there is no way that £100 will do anything to help people in the circumstances.
It is fair to say that it is effectively Scotland that is paying for the support packages. First, the oil and gas windfall tax was clearly about the revenues from the North sea, and now the new measures are being charged to Scotland’s renewables sector. At the time, we challenged the Government to consider that in investment tax write-offs for the oil and gas sector, investment in renewables should be part of the deductible policy. That was ignored.
Unless the detail of the cap revenue mechanism is examined properly, there is a risk that future investment in renewables will be put in jeopardy. Bizarrely, as the shadow Secretary of State, the right hon. Member for Doncaster North (Edward Miliband), said, we will incentivise people to invest in fossil fuels rather than renewables, which is certainly not the way to bring down bills. Another disparity between the Bill and the oil and gas profits levy is the time specified in the sunset clause: for the oil and gas profits levy, it is only two years. We need to ensure that we do not disincentivise investment in renewables.
The Bill gives too much power to Ministers, with not enough parliamentary scrutiny. At one time the Secretary of State was a so-called champion of parliamentary scrutiny, but now that he is in the Cabinet he seems quite happy to take on parallel powers for himself, including the ability to spend sums of up to £100 million without any approval from the House. Even beyond £100 million, if he feels that it is too difficult to get a resolution of the House, he can still justify spending that much. That is hardly parliamentary sovereignty.
We need to know much more about how the revenue caps will be set. What assessment has the Secretary of State made in respect of hedging? He touched on the fact that a lot of energy has been sold forward. How will the Government deal with that? How will they deal with multiple ownership structures? What discussions has he had with the sector?
We welcome support for consumers, but given the Chancellor’s announcements today, there is clearly not enough. There is too much uncertainty for business. There is too much power in the Secretary of State’s hands. I would like to think that he will agree to amendments in Committee that would return a bit of power to Parliament and to this House, because we know he really believes in that. However, this shambles shows yet again that to go forward, what the people of Scotland really need is independence, proper utilisation of oil and gas revenues, and investment in a truly green future.
(1 year, 11 months ago)
Commons ChamberObviously, we are very concerned to make sure that consumers are supported through the coming winter. That is absolutely at the heart of the existing Government’s policy, and I am sure it will be part of the incoming Prime Minister’s policies as well.
I ask the hon. Member to tell her constituents to have a look at what the Government have already done—the £39 billion-worth that we have already announced this year, not all of which has taken effect yet. For example, the £400 payment for 29 million households has not yet actually come in. I urge the hon. Member to relay to her constituents that the Government are on their side, have already committed large amounts of public funds to this and, I am sure, will be committing more in the coming months.
I thank the Minister, his officials and Treasury Ministers and officials for ensuring that the discount on electricity bills will be paid directly to consumers in Northern Ireland rather than having to go through the Assembly and the Departments, which quite frankly would not have been capable of administering it.
I am disappointed, however, that in the Minister’s statement today there was no mention of exploiting the resources that we have on our doorstep, namely the abundant supply of gas in the north-east of England, which could give a very quick supply of additional gas to the UK network. Is he not concerned that his increasing dependence on renewables—for which much of the infrastructure is dependent on the supply of rare earth metals, 60% of which are controlled by China—will leave us as dependent on China in future as Europe is on Russia today?
I have a more immediate question. The Minister has announced 93 contracts for difference. How will he ensure that the companies that get those contracts will not simply—as they are doing at present—refuse to activate them and sell electricity as if it were generated by the most expensive gas?
I thank the right hon. Member for that list of important questions. He will know that the new taskforce has already started meeting to extend the energy bill support scheme, or provisions thereof, to Northern Ireland; that is welcome news.
I think the right hon. Member said that fracking would lead to quick supplies. I am not as convinced that he is that it would be quick, but as I said, we will be responding to the British Geological Survey in due course.
On dependence on renewables, the right hon. Member is right that a number of elements used in creating renewable energy resources are dependent on critical minerals, but that is exactly one of the reasons why the Government have recently launched the critical minerals strategy. We will be talking to all our international partners, as I do, about critical minerals and making sure that we have a diversity of sources of supply for them going forward.
(2 years, 4 months ago)
Commons ChamberAll these issues are being looked at. The six-month periods for the price cap are being reviewed, and, as I have said, financial resilience for new entrants will be considered. A subject that has not been mentioned so far is the future system operator and the electricity system operator. That is a remarkable innovation, and I am proud that it is included in the document. I should be happy to talk to my hon. Friend about these matters.
The Secretary of State has said that this is a long-term strategy, and obviously we need that, but there is a short-term problem, namely that people cannot afford to pay their bills at present. That is partly due to the green levies, which amount to about £400 a year in additional costs to individuals. What plans has the Secretary of State to deal with that? Given his plans for a number of new offshore wind turbines, may I ask how many he believes are needed, and at what cost? What is the cost of connection to the grid, and how will that affect the capital costs on people’s energy bills?
As the right hon. Gentleman will know, in the time during which I—indeed, I suspect, both of us—have been in the House, renewables have really taken off. They are the one bit of the energy story here in the UK that has been genuinely transformative and a world leader, and I am very proud of that. As for the immediate support for hard-pressed consumers facing a global price hike, my right hon. Friend the Chancellor committed £9 million to help people to pay their bills.
(2 years, 5 months ago)
Commons ChamberI strongly commend my hon. Friend for his support for Government policy on energy, and particularly nuclear. He mentioned seismic limits; I was not the Energy Minister at the time, but I believe that tens of thousands of complaints came in to the Geological Society at the time of the drilling. That showed the magnitude of the public impact of some of the drilling at the time.
On my hon. Friend’s point on local consent, I refer him to what I said earlier about the importance of the need to bring local communities on board in respect of any of these projects. With pretty much every type of energy production, we need to bring the local community on board, and that is the case for fracking as well.
There has been much hand-wringing in the House about the cost of energy, energy security and our reliance on outside sources, yet within our own country we have sufficient gas to do us for 50 years. Does the Minister think it is sensible to turn our back on the jobs and taxes and to spend money to buy gas overseas when we have an indigenous source, a pipeline across the United Kingdom and one of the richest and deepest shale gas seams in the world?
We are not turning our back on anybody. We have been absolutely clear that it is vital for us to keep our energy diversity and our energy security. We are not turning our back on anybody or anything, but Government policy on this issue is unchanged: we need to see both the scientific evidence and the local community support before we can proceed, as we set out in our 2019 manifesto.