Clause 18
Energy Bill
10:30 am
Martin Horwood (Shadow Minister (Environment), Environment, Food & Rural Affairs; Cheltenham, Liberal Democrat)
I shall first address the stand part debate, particularly in respect of clause 18(2)(e). The impact assessment signed by the Minister raises an interesting question on page 19 about carbon caption storage falling within the European Union emissions trading scheme. Future leakages or losses of carbon dioxide from geological or other storage facilities will attract financial penalties, because permits are technically required for such carbon emissions.
As the Minister has pointed out, we are talking about very long-term prospects. He almost issued the phrase, “A millennium is a long time in politics”, and I wish that he had; as it would have been a good one. I want to ask about the licensing regime and whether the future obligation not to lose carbon dioxide from storage facilities will be incorporated within the licensing regime. From the impact assessment, it seems as though it should be, but it is obviously a challenge to design that licensing regime to cope with the very long time scales that might be involved.
The hon. Member for South Thanet was right to draw a comparison with the nuclear clauses, although we would make the obvious distinction between one industry that we would rather discourage and another that, in this case, we would rather encourage. That legitimises a different approach. After all, when instantly released, CO2 does not start poisoning anyone or making their hair fall out.