Oral Answers to Questions

Tom Collins Excerpts

Tuesday 6th January 2026 Commons Chamber

[Tom Collins (Worcester) (Lab)]

3. What estimate he has made of the cost of building new gas-fired power stations.

[Ms Polly Billington (East Thanet) (Lab)]

19. Whether he has made an estimate of the cost of building new gas-fired power stations.

[The Secretary of State for Energy Security and Net Zero (Ed Miliband)]

The 2023 generation costs report published under the previous Government shows the levelised cost of electricity to build and operate a new gas-fired power station to be significantly higher than the cost of onshore wind, solar and offshore wind in the most recent renewables auction round. Renewables are a cheaper technology to build and operate than new gas-fired power stations.

[Tom Collins]

The National Energy System Operator’s clean power 2030 plan relies on unabated gas power stations, without a clear plan for their decarbonisation after 2030. The forthcoming hydrogen strategy presents a natural opportunity to set long-term goals for the wider integrated energy system, including hydrogen-fired combined cycle gas turbine generation, and long-term salt cavern energy storage at scale. Will that strategy include a quantified pathway with delivery milestones for transitioning dispatchable power, and will NESO be required to incorporate that pathway into its planning?

[Ed Miliband]

My hon. Friend asks an important question. In our 2030 clean power plan, we talk precisely about the importance of low-carbon dispatchable power as a way forward. I am really proud of what is happening with our carbon capture and storage plans and Net Zero Teesside. Additionally, it will be an important part of our forthcoming hydrogen strategy, as he says.