Shale Gas Production

Steve McCabe Excerpts

Tuesday 15th March 2022 Commons Chamber

[Greg Hands]

I thank my hon. Friend for that incredibly important question. I agree with him: in principle, I am not against shale gas either. He also raised the important question about banks and lending, particularly to the North sea. Let me be absolutely clear from this Dispatch Box: this Government welcome continuing investment in the North sea. That is absolutely part of our energy security and part of our energy resilience. If there is any further sign that banks need a signal from the Government—either from the Department for Business, Energy and Industrial Strategy or the Treasury—let me send that signal today: we want to see continuing investment in our UK continental shelf.

[Steve McCabe (Birmingham, Selly Oak) (Lab)]

Does the Minister accept that biogas from landfill and sewage waste produces cheaper electricity than almost any other form of gas? If that is so, can we do more to up the volume of that production, as, I think, National Grid suggested some seven years ago?

[Greg Hands]

The hon. Member raises a very good point and a strong point. In terms of what defines something as being cheaper, there are different ways to cut that. It will depend on what the prevailing prices are of alternative sources of energy. He will know that, for example, gas prices are more than 15 times their five-year historic high, so much depends on what the other prices are out there. But as I said earlier, a strategy will be launched by the Government before the end of the month, which will address a number of the different questions in terms of where our energy supply will come from in future years.