Climate Change Debate
Full Debate: Read Full DebateWera Hobhouse
Main Page: Wera Hobhouse (Liberal Democrat - Bath)Department Debates - View all Wera Hobhouse's debates with the Department for Energy Security & Net Zero
(1 day, 8 hours ago)
Commons ChamberThe UK has a lot to be proud of in our record on climate change, such as halving our greenhouse gas emissions since 1990, being the first EU nation to phase out coal, and massively scaling up renewable energy. It is no coincidence that many of these accomplishments came against a background of cross-party consensus on the need to reach net zero.
The parties used to compete to have the most ambitious environmental programme, but since the last election the Conservatives have abandoned our ambitious climate commitments. Instead, they have kowtowed to the politics of fear, and seized on net zero in a culture war of trying to out-Reform Reform—and where are the Reform Members? Even while still in government, the Conservatives squandered some of the huge economic, social and environmental opportunities of net zero, and now they are falling even further behind the curve. Their recent decision to call for the Climate Change Act to be scrapped would critically endanger future generations, who deserve a safer planet, energy security and a stronger economy. The Climate Change Committee frequently warned that the last Government were not moving fast enough. Let us not forget that they were defeated twice in the High Court due to their inadequate climate plans.
We Liberal Democrats recognise the urgent need to go further and faster on climate change. This generation should be the first to leave the country and the world in a better condition than we found them in. We also recognise the huge opportunities that new renewable energy brings to support skilled jobs and economic growth. Previous failure to invest sufficiently in renewable energy and insulate our homes has led directly to the energy crisis, pushing up energy bills for everyone and squeezing family finances. The situation in Iran has laid bare the state of UK energy security as prices have shot up because we are so reliant on oil and gas. Home-grown, renewable energy does not have to pass through the strait of Hormuz, and its price is not set on the rollercoaster of international markets.
Conservative and Reform Members have their heads in the sand in adopting anti-renewable, anti-environmental policies that would leave us vulnerable to more energy crises in the future. The Climate Change Committee has found that the cost of net zero by 2050 is less than the impact of one fuel crisis. Conservative and Reform Members would have us believe that we cannot afford net zero. In reality, the truth is that we cannot afford not to get to net zero.
We cannot escape the fact that our electricity prices are among the highest in Europe, but that is not inevitable; it is the result of a pricing imbalance. Right now, the cost of electricity is set by the price of gas 97% of the time, even though half of our electricity comes from renewables, which are much cheaper. That disconnect is driving up bills unnecessarily, and we must break that link. We Liberal Democrats propose the practical solution of moving older renewable projects off expensive renewable obligation certificates and on to cheaper contracts for difference. The UK Energy Research Centre estimates that that change alone would save a typical household about £200 a year.
At the same time, the Energy Security and Net Zero Committee’s inquiry into the cost of energy has uncovered serious concerns about transparency. We have heard evidence that profits can be obscured within network charges on energy bills. Energy companies must be transparent, so consumers can clearly see what they are paying for and where profits are being made. Our constituents deserve energy bills to be fair, affordable and easy to understand.
In Bath, the majority of my constituents are firmly behind climate action, and so is my Liberal Democrat council. I was delighted to hold a pop-up surgery at Bath climate hub last week. The hub supports people to reduce their carbon footprint through diet, energy use or transportation changes. It also facilitates the meaningful conversation that we must keep having on climate issues. From action to rewild nature-depleted land to community owned energy initiatives, local areas in Bath are making changes that together make a big difference.
In Bath, like the rest of the country, retrofitting our homes through a national insulation programme is crucial to lowering carbon emissions and reducing bills. The Government’s warm homes plan unfortunately falls short of the scale, ambition and long-term certainty we need. An emergency home upgrade programme should have been implemented in the first 100 days of this Government. We Liberal Democrats would upgrade our homes, making them cheaper to heat with a 10-year emergency home upgrade programme, starting with free insulation for those on low incomes and ensuring that all new homes are zero-carbon. We would also provide further incentives for installing heat pumps that cover the real cost. That would reduce emissions and bills, combating both climate change and fuel poverty.
Climate change is, after all, a global issue. We must bring others with us. The UK and European partners must lead the global effort to tackle climate change together, even more so given that the US has abandoned the multilateral approach to international climate policy. One choice the Government could take immediately to help global efforts towards net zero would be to reverse the cut to the aid budget and set out a road map for restoring official development assistance to 0.7% of gross national income. UK aid provides vital support for the most vulnerable people in the world and is a key tool in meeting our climate commitments.
We Liberal Democrats have also pushed for a long time for stronger marine environmental targets, both internationally and domestically. We welcome the Government’s decision to ratify the global oceans treaty through legislation. However, much more needs to be done to work with our coastal and fishing communities to ensure a sustainable future for fishing and our marine environment.
Public support for climate action remains strong across the UK, but we cannot take it for granted. We must continue to bring the public with us throughout the energy transition. A part of that is ensuring that misinformation and disinformation is effectively challenged. That means tackling myths about renewable energy head-on, and making sure that households right across the country actually feel the benefits through lower bills, warmer homes and secure jobs in their communities.
The Conservatives and Reform are all too often happy to talk down Britain’s renewable industries. They would have us scraping the bottom of the North sea oil barrel. In doing so, they overlook the remarkable innovation happening right here in the UK: home-grown green technology companies driving growth, creating skilled jobs and shaping a more sustainable future. Even if more oil was extracted from the North sea, it would be sold on the international market at international prices. That would not lower energy bills. The Conservatives know that, so it is particularly callous to ask for something that would leave our constituents less safe and secure economically.
Our constituents want to tackle climate change. They want lower fuel bills. They want their wildlife and landscapes to be protected. They want a strong economy that supports British jobs. That is what the energy transition must give them. We Liberal Democrats will keep making the case for the urgent transition away from fossil fuels.
Harriet Cross
I will not skip forward a few pages of my speech now, but we will touch on that matter in the coming few minutes.
As I said, the things that we have done are notable. Between 2010 and 2019, the UK Government oversaw the planting of 15 million trees, and during our time in office, the UK was home to the first, second, third, fourth and fifth largest wind farms in the world. We—the UK—have done a lot, and yet the climate is still changing. That is not because there has not been enough ambition or enough action from the UK, and it is not because of a need to just go faster. It is because, first—and I know there will be wails about this—the UK contributes less than 1% of global emissions; and secondly, other countries have not been following our lead.
Is the shadow Minister saying that because we cannot make a big enough impact globally, we should scrap our impact altogether?
Harriet Cross
No, that is not what I am saying. I am saying that we have made huge progress and yet others have not been following our lead, so why would we make our industry less competitive? Why would we ensure that investment goes down in our country just to virtue signal and for no one to follow?
We will look at what is happening today. To be very clear—I think this needs saying—disagreeing with the Energy Secretary’s approach to energy policy, and questioning the speed and cost of moving towards renewable energy, does not make one a climate change denier. That is tedious; it is a lazy argument made by those who want to close down the debate—those who believe that decarbonisation must always be the No. 1 priority, at the cost of all else. That is the inherent problem with the current debate on climate change and carbon emissions. It has become a pursuit of what is perceived to be the perfect response—the purist approach to the climate—over what is pragmatic and what is practical. It does not prioritise the public, prices, industry or energy security.
Harriet Cross
The hon. Gentleman is obviously keen to hear from me, which is great, but as he says, I am four minutes in and have taken three interventions; I think I still have a couple of minutes to form my argument.
I will first consider electricity. Our electricity is some of the cleanest in the world, but it is also some of the most expensive, and that is the issue. Making electricity the cheapest option will make it the preferred option. Making electricity cheap will encourage the adoption of electric vehicles and the electrification of home heating, and it will make the UK more attractive for businesses and for growth markets like AI. Cheap electricity will improve the cost of living for households across the country. That is why the Conservatives have a cheap power plan, which would cut electricity bills by 20% for everyone—for households and for businesses. And how? By cutting the carbon tax, which is a tax that makes up a third of the price of our electricity.
But of course, as Members know, electricity only makes up about 20% of our energy mix. Oil and gas—at over 70% of that mix—remain central to our energy needs, and will for a long time. The Climate Change Committee’s projections include oil and gas in its 2050 net zero scenario. So why are the Government banning new licences for the North sea? Why are they taxing companies to such an extent that they pack up and leave? Climate change is a global concern, and therefore global carbon emissions must be considered. Why is the Secretary of State determined to run down our oil and gas production just to increase imports, which are four times more carbon-intensive than what is produced in the North sea? LNG imports have to be extracted, liquefied, shipped and re-gasified, rather than just being piped from the North sea directly into our gas grid.
Permitting Rosebank, Jackdaw and, down the line, Cambo will mean that the UK’s emissions from oil and gas, which we will be using in any case, will be lower—lower than if those reserves are left in the ground and instead we use more carbon-intensive imports. Based on science, emissions and the fact that oil and gas will still be needed in the UK for decades, no one can reasonably argue that replacing domestic North sea oil and gas production with imports is the right course of action. It is not—not for jobs, investment, growth, energy security or emissions.
Does the hon. Lady not recognise that all that might make it cheaper for the oil and gas industry, but it will not make it cheaper for our constituents? Their bills will be the same wherever the gas is extracted; it is the oil and gas industry that might profit from it being extracted elsewhere.
Harriet Cross
I do not know whether there has been a misunderstanding of the title of the debate—it is on climate change, not the costs of bills. For climate change, we are looking at emissions; if we are focusing on emissions, we are focusing on where the carbon is produced. There is less carbon intensity in our domestic oil and gas than in imported oil and gas. I know that is not the message that the hon. Lady or others want to hear, but those are the facts.
Being wedded to domestic emissions targets while ignoring emissions produced elsewhere is causing the deindustrialisation we are seeing across the UK. Businesses in ceramics, refining, petrochemicals, oil and gas and many more industries are packing up and leaving the UK, not because their products are needed less, but because they are unable to sustain themselves here under the weight of industrial energy prices and carbon taxes.