[Miss Anne Begg in the Chair] — UK Energy (Coal)

Part of the debate – in Westminster Hall at 10:23 am on 17 March 2009.

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Photo of Don Touhig Don Touhig Chair, Members' Allowances Committee, Chair, Members' Allowances Committee 10:23, 17 March 2009

I echo the remarks made today in congratulating my hon. Friend Mr. Anderson on securing this debate.

The volatility of global energy markets has once again pushed the case for coal to the forefront. Twenty- five years ago, we could not have imagined that such a thing would ever occur. Although coal is an abundant source of energy—it is the fuel of choice in newly industrialised countries such as China and India, but without the environmental safeguards that we would expect—in Britain it is has been written off by all sides. Indeed, for many people, even those in my constituency of Islwyn in south Wales, which is a former mining area, people think that the debate belongs to a bygone era. That attitude does not reconcile itself with the fact that clean coal technology can give us a great new opportunity for using this wonderful source of energy.

In recent years, the volatility in global energy markets has made the case for clean coal technology even more powerful. That is why I believe that the pits in south Wales that closed many years ago may still have a vital role to play in providing Britain's future energy needs. Aneurin Bevan once said:

"This island is made mainly of coal and surrounded by fish. Only an organising genius could produce a shortage of coal and fish at the same time."

Even now those words still have relevance. It is complete madness to import billions of tonnes of coal from other countries, when we are sitting on an island of coal. It is those coal reserves that we should be using to meet our future energy needs. It is common sense that we should look to ourselves to help solve some of our energy needs. However, as my mother used to say when I was growing up, "Son, in life you will find that sense is not that common."

Clean coal technology represents a massive opportunity not only to revive the coal industry and guarantee a market for coal, but to make us less reliant on energy from other countries—a point well made by Mr. Cash. I welcome the fact that the Department for Innovation, Universities and Skills supports the Technology Strategy Board, which has done some research on the matter. The board has identified carbon abatement technologies as being a priority. It is supporting 11 projects to the value of more than £13 million. However, that is the tip of the iceberg. More needs to done, and we need to take a long-term approach to using coal in our energy policy. By a long-term approach, I do not mean a five-year strategy, but one of 20 or 30 years, if we are to recoup the benefits of clean coal technology.

Our long-term aim surely must be to attract long-term investment for the production of coal, through clean coal technology. Such a commitment would give confidence to those who are developing the technologies through the knowledge that the Government support them. My hon. Friend Paddy Tipping referred to support from the European Union, which is important. I once borrowed £37 million from the European Investment Bank[Interruption.] I paid it back; I do not owe it a penny. The EU is a source of support that we ought to exploit in such circumstances. We have the opportunity to become a world leader in the new technology, but for that to happen we will need investment. I am sure that we are all keen to hear the Minister's response to the debate, because such a thing will not happen without investment and Government support; it is as simple as that.

At the end of the day, there will be all sorts of wonderful arguments for the environment and for clean coal technology, but without the political will, it simply cannot happen. If we invest in that way, we will have the chance to revitalise the coal industry, providing jobs and helping to improve the quality of our environment. I hope that my hon. and learned Friend the Minister will take the opportunity to give an assurance that the Government are with us on this matter.

When we reflect on what has happened during the past 25 years, with the commemorations of the end of the strike and so on, it would be a tragedy and a betrayal of those men and those communities that fought so hard for that industry and to keep the jobs that would keep their communities going—many were destroyed when the pits went—if we failed now to say, "Here is an opportunity to produce coal in a clean and safe way for our environment." It is something that we owe; it is also something that we can bequeath to a new generation. At the end of the day, it is a political decision, and I look to our Government—a Labour Government—to answer that important call.