Jackdaw Gasfield
Debate between Tessa Munt and Michael Shanks(2 weeks ago)
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Michael Shanks
I am always happy to meet my hon. Friend and any other hon. Members from across the House who have experience that they want to raise or ideas about how we can do this. I chair the North sea future board, which has trade unions at its heart to bring the story of workers to the heart of the decisions we are making, not just because we owe that to those workers, who are powering the country right now and have done for decades, but because they are the critical workforce that will help us build what we need in the future. He is right to point to failed transitions—we will all have experience of that in our communities, but some more than others. There is a lesson from history that if Government do not actively engage in building the next part of the transition, we will not support those workers. We are doing everything that we can on that, but there is a lot more that we can do and I am happy to work with him on it.
Tessa Munt (Wells and Mendip Hills) (LD)
My colleagues and I have consistently called for electricity prices to be decoupled from the wholesale gas price. The Minister has accepted that approving more domestic gas production will not in itself protect households from international price shocks, but doing that might. Will he accelerate the decoupling? Can he offer a timetable in which he will do that?
Michael Shanks
The hon. Lady is right to point to that fact. We have renewables in the system, but we are not getting the benefit of the pricing, because the last margin unit that we need in order to meet our supply is often gas. That used to be 90% of the time, but it is now less than 60% of the time. We are making huge progress; since the closure of the strait of Hormuz, we have been saving £50 million or more a day on displaced gas costs, because of the renewables that we have built. We are going as fast as we can, but I cannot just pull a lever and make decoupling happen, because the marginal price setting is important to ensure that we can meet our supply every single day. We are doing everything that we can on that issue. It is a No. 1 priority to ensure that people feel the benefit of clean power coming through on to their bills.
Oral Answers to Questions
Debate between Tessa Munt and Michael Shanks(2 years ago)
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Tessa Munt (Wells and Mendip Hills) (LD)
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Michael Shanks)
We are halving the development time for new transmission infrastructure through reforms of planning, supply chains and other areas, delivering the grid capacity that is needed to achieve clean power by 2030 and meet a doubling of electricity demand by 2050.
Tessa Munt
Communities are doing their very best, and lots of people are trying to help each community to power itself. My own village has its community solar project, which was fully funded by local residents. There are non-profit organisations which have dealt with local schemes by putting solar panels on schools with an element of community ownership, and there are individuals who try but are faced with extortionate costs for connection to the grid. The grid was really designed for big old power stations rather than smaller power creators trying to plonk power into the system. What can the Minister do to encourage National Grid to pivot, and help communities and individuals to create their energy nearer to their homes?
Michael Shanks
The hon. Lady is right to draw attention to the importance of community energy projects throughout the country. We want to see many more of them, but we have inherited a grid that needs significant upgrading, and we are now working apace to ensure that that happens. Part of the work that I have been doing with National Grid and others involves trying to identify the next steps that are needed to shorten the connections queue, and also to make it more affordable for smaller community projects to connect. There is an important role for partnership as well, with some of the bigger renewables projects giving part of their connections queues to smaller ones, and that is already happening in some parts of the country. There is no doubt that there is much more to do, but we are, as I have said, working apace to try to move this forward after 14 years of inaction.