All 2 Debates between Vicky Ford and Stephen Kerr

Net Zero Carbon Emissions: UK’s Progress

Debate between Vicky Ford and Stephen Kerr
Thursday 28th February 2019

(5 years, 8 months ago)

Commons Chamber
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Vicky Ford Portrait Vicky Ford (Chelmsford) (Con)
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Last night in the other place, the inspirational Lord Rees of Ludlow, who has been the astronomer royal since the mid-1990s and is a former president of the Royal Society, gave a deeply inspirational lecture about what the world might look like after 2050. It struck me that that is actually not very far away, because by 2050 my daughter will only be the same age as I am now. By then, the world’s population will have reached at least 9 billion. He pointed out that that means that the population of Nigeria will be larger than the population of the EU, the UK and the US put together. The world will be much more crowded and much warmer.

The UK has come very far with regard to addressing climate change. I am very proud that we have cut emissions by 40%—more than any other developed country—and that we have led the world in areas like renewables, which now account for about a third of our energy supply. Because we know that this is a global challenge, we have put in that diplomatic effort. I have seen how it was often the UK pushing the rest of Europe to act, if perhaps sometimes not as fast as we would have wanted. I know how our leadership at the Paris agreement negotiations was absolutely fundamental in getting those 181 countries to sign up to take the temperature changes seriously.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
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We have seen that not only in Paris but at the recent COP24, where the Minister herself was a star turn. Many people reported back to me in my constituency that her performance, vision and ambition in representing the UK Government were inspirational for many other people who were present.

Vicky Ford Portrait Vicky Ford
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Absolutely. The Minister is a force to be reckoned with on climate change, and I thank her for her leadership not just in this country but across the world.

If we are to leave the planet a safer and better place not just for our children but for their children and grandchildren, then much more must be done. The science is very clear. We cannot continue to pump more greenhouse gases into the atmosphere, and we must achieve the net zero target by 2050, or sooner if possible. However, it is not good enough just to talk about the targets—we must also think about the actions that we need to take as a society, as individuals and as Governments.

We must also think about how we harness the powers of science and technology to help us to find these solutions. I serve on the Science and Technology Committee. We are in the middle of doing a study on the technologies that we will need in order to meet the clean growth targets. It is a fascinating study. We are in the middle of taking evidence. I do not want to prejudice the final report, but perhaps I can make some comments on some of the actions taking place. First, on energy supply, it is absolutely vital that we continue to work on more zero-carbon energy sources, investing in renewables. I know the Minister knows that I would like to see a pathway to market for onshore wind again, especially to re-power the old sites that are often in the windiest parts of our country but now have very old turbines. We could make them much more efficient. There is very exciting technology being developed. We have heard about floating wind—going out to our deeper oceans and having floating turbines. As a physicist, I will always campaign for continued investment in nuclear fusion, because the potential benefits are too enormous to be ignored. We then need the storage, batteries, air compression and smart grids to go with it.

We must do more on the energy efficiency of homes. In my constituency of Chelmsford, the district is building 1,000 new homes every year. Our new homes should be zero carbon, and we need to reignite the discussion about how we retrofit old homes to make them more efficient and decarbonise heat.

Net zero means that we need strategies to take carbon out of the atmosphere, which is why the Agriculture Bill is such an opportunity. We must incentivise tree planting in woodlands, but in a way that does not take away from our carbon sinks.

I would like to thank the Royal Society for the Protection of Birds for the paper it has produced. I am a sucker for a puffin, and I have visited puffins all over the UK. The RSPB made the excellent point that peatland in the UK is estimated to hold more carbon than the forests of Britain, France and Germany combined. We must protect our peoples.

The food that we can grow and eat will fundamentally change because of climate change. In universities and institutions such as Rothamsted Research and the John Innes research centre in Norwich, we have world leaders in food technology, and we must continue to encourage their work.

I want to wrap up by talking about plastics. I am pleased that the Government have taken action on bags, beads and bottles, launched their “producer pays” tax and are looking at better ways to recycle. However, this is a global problem. Plastic is a true disaster in developing countries, where plastic waste is blocking waterways and causing flooding and disease, and uncontrolled burning of plastic is polluting the air.

This time last year, I led 41 Conservative MPs in giving up plastic for Lent, to make us all think about our environmental footprint. Yesterday, Tearfund held an excellent drop-in where it encouraged Members across the House to do the same again but also to partner with it on the work it is doing in some of the poorest parts of the world. I encourage Members to not only give up plastic but think about other things they will do this Lent. I will be going lentil for Lent and giving up meat. Any Member who would like to take up a pledge for the environment this Lent should let me know.

Domestic Gas and Electricity (Tariff Cap) Bill (First sitting)

Debate between Vicky Ford and Stephen Kerr
Vicky Ford Portrait Vicky Ford
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Q One of the issues that has been raised is making sure that the price cap does not disincentivise investment in infrastructure. During the consultation, will you also be listening to infrastructure investors to take into consideration their views when setting the cap?

Dermot Nolan: We will listen to everybody when taking views on setting the cap. However, the infrastructure should not formally be part of the price cap. It should not affect the way in which the price cap will broadly be set in terms of interactions with suppliers and the prices of the inputs they purchase. So although we will listen to everyone, I do not think infrastructure investors per se will be crucially involved.

I came in at the end of the last session and heard about smart metering. We will have to consider the smart metering costs, but only in the efficient cost. One of the difficult tasks in setting any level of cap is deciding a precise, efficient cost for the firms and ensuring that those efficient costs are passed on in the cap.

Stephen Kerr Portrait Stephen Kerr
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Q In the past, Ofgem has said that it accepts the outcome of the CMA’s energy market investigation, including the majority view that said a price cap would have a negative impact on competition. How are you going to manage that? You have accepted that a price cap can lead to a loss of competition in the marketplace. How will you know? How are you going to measure competitiveness in the marketplace, and what will you do in terms of pulling levers in order to rectify that?

Dermot Nolan: The CMA view was split. We said we would go with the majority view, but one of the points about the process is that Parliament has now taken a decision. It is absolutely something that we will implement, because we are servants of Parliament, and we will implement it as quickly and as effectively as possible.

On the theme of competition, in my reading of the draft legislation, it seems to me that there is a desire to bring in a cap but also a desire to develop a more competitive market. There are a number of things that we are putting in place that we believe will help develop a competitive market further.

On smart metering, I know there were different views among the earlier panel, but smart metering is helpful. It is in some sense a necessary condition for, if you like, a digitised retail energy sector. There will be faster and more reliable switching processes. There are a number of remedies we have tested for prompts—ways in which people who have not yet been prompted to engage in the market will be prompted further. We have tested a lot of those already, trialled many of them and are going to roll them out in the next couple of years. There is the work on what we call midata, where we are going to push forward with a secure piece of your data that you can use in any price comparison website or any particular thing that will facilitate competition.

There are two more points—I know I am listing them off, but I want to be clear. One is that we think vulnerable protections will still be necessary if a full price cap is removed. We will look at whether any vulnerability price caps should be kept and, in particular, whether other forms and ways of protecting vulnerable customers, including things such as collective switches, could be used.

--- Later in debate ---
Vicky Ford Portrait Vicky Ford
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Q Just to come in on this issue of reviewing every six months, that is of course in the Bill.

Pete Moorey: That is good news.

Stephen Kerr Portrait Stephen Kerr
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Q Would it help to remove the stickiness of customers if the SVTs were renamed emergency tariffs, because that is quite alarming?

Pete Moorey: I don’t know. It might do. That probably returns to the point I made to Alan Whitehead around testing and trialling different ways of engaging people in the market. It is really important that Ofgem tests how it communicates the safeguard and whether it should be called the safeguard. There is a real danger that most consumers, once they hear they are on a safeguard tariff, think that there is absolutely no reason for them to switch. Once the cap is in place, one of our key messages at Which? would be to go out there and say to people, “The safeguard tariff is not the cheapest tariff on the market. You could well still be saving hundreds of pounds by switching, particularly to some of the smaller suppliers in the market.”