Topical Questions

Energy Security and Net Zero – in the House of Commons at on 17 December 2024.

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Photo of Charlie Dewhirst Charlie Dewhirst Conservative, Bridlington and The Wolds

If he will make a statement on his departmental responsibilities.

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

We are already seeing the benefits of our energy superpower mission and investment in jobs. Since the start of November, we have seen a £1 billion investment in Hull by Siemens Gamesa, supporting 1,300 jobs in blade manufacturing. Ørsted has announced £100 million of orders for UK firms, and we have reached financial close on the UK’s first carbon capture in Teesside. That is what it means to have a Government delivering jobs and investment for the British people.

Photo of Charlie Dewhirst Charlie Dewhirst Conservative, Bridlington and The Wolds

There appears to be inconsistency between what Ministers are saying about the report by the National Energy System Operator and what the CEO of NESO told the Energy Security and Net Zero Committee last week. Can the Secretary of State answer this clearly: does the NESO report forecast higher or lower energy bills under his policy?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

I am very glad that the hon. Gentleman has asked that question, as the shadow Secretary of State has asked me about that. [Interruption.] I will answer the question. Page 77 of the NESO report says very clearly what happens to overall costs in the system: electricity costs are reduced by £10 per MWh. As NESO says, it is for Government to make policy choices that determine the precise impact on bills, but the report is clear that the system will be cheaper. It is completely logical to say that that will lead to a reduction in bills.

Photo of Michelle Welsh Michelle Welsh Labour, Sherwood Forest

My constituency has the second highest number of members on the British Coal staff superannuation scheme in the country; we have more than 1,000 members. Does the Minister agree that we need to end the injustice for all former employees on that scheme? Will she visit my beautiful constituency to meet me and members of the scheme?

Photo of Sarah Jones Sarah Jones Minister of State (Department for Energy Security and Net Zero), Minister of State (Department for Business and Trade)

I would be very happy to meet my hon. Friend and members of the scheme. I met the trustees of the scheme yesterday, and I have committed to talking to the Treasury about their proposals.

Photo of Claire Coutinho Claire Coutinho Shadow Secretary of State for Energy Security and Net Zero, Shadow Minister (Equalities)

Labour’s policy on the North sea will cost the country £12 billion in tax receipts, which would be enough to cover the winter fuel payment for many, many years. Pensioners will be in the cold this winter, and this is a policy that no other major economy is pursuing. How can the Government possibly justify it?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

These are more fantasy numbers from the right hon. Lady. The truth is that the North sea has lost a third of its employment in the past decade. The only future for the North sea is in what this Government are doing: investing in carbon capture and storage, in offshore wind and in hydrogen. That is the future.

Photo of Claire Coutinho Claire Coutinho Shadow Secretary of State for Energy Security and Net Zero, Shadow Minister (Equalities)

That is not my figure; it is a figure from industry—£12 billion in lost North sea tax receipts, in addition to £8 billion for an energy company that will not generate energy, and at least £200 billion for a 2030 target that we now know will not cut bills. Is it not true that pensioners will be sitting in the cold this winter to pick up the bill for this Secretary of State?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

No. The case is that the Conservatives left us dependent on fossil fuels, which led to the worst cost of living crisis in living memory. The tragedy is that they are doubling down on their failed policy. The only answer for lower bills is clean, home-grown energy that we control.

Photo of Kevin Bonavia Kevin Bonavia Labour, Stevenage

I welcome the clean power plan, which the Government published last week, which lays out the route to energy security and lower bills. Will my right hon. Friend provide more detail on how our new national champion, Great British Energy, which is backed by the overwhelming majority of the public in Stevenage and elsewhere, will form part of this new plan?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

My hon. Friend is absolutely right. Great British Energy—headquartered in Aberdeen—is already up and running. Our plans for Great British Energy will be rolled out in the new year. Those plans include working with local communities for solar on schools and hospitals, so that we can start cutting bills for public services and local communities.

Photo of Gagan Mohindra Gagan Mohindra Opposition Deputy Chief Whip (Commons)

My constituents were promised £300 off their energy bills by the Labour Government. Instead, they are having to fork out additional money for Great British Energy and to pursue net zero, while the Government take the winter fuel payment away from millions of pensioners. How can the Secretary of State justify increasing spending on net zero projects while his Government let pensioners go cold this winter?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

The truth is that there is only one way to get bills down sustainably in this country, which is to drive towards clean energy. The Conservatives used to believe that, too; then, in September 2023, the former Prime Minister took them on an anti-net zero crusade, and it is only getting worse.

Photo of Sam Rushworth Sam Rushworth Labour, Bishop Auckland

More than half the homes in my constituency have an energy performance rating of D or worse, and a quarter are off-grid, relying on more expensive fuels, so I welcome this Government’s commitment to a warm homes plan. However, with a lot of rural homes poorly insulated and not suited to heat pumps, will the Secretary of State work with me on a tailored plan for colder, stone-built rural homes?

Photo of Miatta Fahnbulleh Miatta Fahnbulleh Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

We are rolling out our warm homes plan, which we want every household to benefit from, and we will ensure that we have the right solution for the right homes. I will work with my hon. Friend and with Members from across the House on solutions that every household can benefit from, to ensure that we have warmer homes that are cheaper to run.

Photo of Ben Spencer Ben Spencer Shadow Minister (Science, Innovation and Technology)

The spill of fuel oil in the Black sea from Russian tankers is yet another tragic reminder of the work that Russia is doing to subvert our sanctions. What is the Secretary of State’s assessment of the amount of petrochemical products and their derivatives entering our economy from Russia today?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

I will not answer the hon. Gentleman directly, but I will say that I am working with my colleagues across Government on this crucial issue. We will do everything we can to drive down Russia’s benefits from its oil and gas industry, because that is a crucial part of the war effort to help Ukraine.

Photo of Matt Turmaine Matt Turmaine Labour, Watford

Sky-rocketing energy bills under the previous Conservative Government contributed to the cost of living crisis, and were one of the reasons that voters in my constituency chose change with Labour at the general election. Will the Secretary of State further outline what changes this Labour Government will make to deliver better value to my constituents?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

My hon. Friend is right about this. We must not have short memories here, because the truth is that the cost of living crisis that we saw after Russia’s invasion of Ukraine not only hit families and businesses across Britain, but continues to hit them today. That is why the drive for clean power is so important. Every solar panel we put up, every wind turbine we erect, and every piece of grid we build makes us more secure as a country.

Photo of Seamus Logan Seamus Logan Scottish National Party, Aberdeenshire North and Moray East

The Secretary of State will be well aware of the critical role that the carbon capture schemeat St Fergus will play in the economic growth and potential of north-east Scotland, so can he simply give us a timetable for when he will approve that scheme?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

We will look at the scheme in the spending review. I believe that it is important not just to Scotland but to the whole UK, but I want to level with the hon. Gentleman and, indeed, the House: it requires significant financial resources. We found the resources for track 1 of carbon capture, usage and storage and we want to find the resources for track 2, but that, as I have said, will be part of the spending review.

Photo of Perran Moon Perran Moon Labour, Camborne and Redruth

In the Government’s policy paper “Clean Power 2030 Action Plan”, floating offshore wind was labelled a key emerging technology, and developments were promised for future rounds of contracts for difference. Will the Minister please consider going further, and geographically ringfencing contracts for difference funding, to ensure that the massive potential of projects such as floating offshore wind in the Celtic sea is unlocked?

Photo of Michael Shanks Michael Shanks Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

My hon. Friend is right to suggest that offshore wind, especially floating offshore wind, will play a critical role in our pathway to clean power. We will consider any option to ensure that we get many “test and demonstrate” projects through to delivery, and we will say more in coming weeks about what the next round of contracts for difference will look like.

Photo of Monica Harding Monica Harding Liberal Democrat Spokesperson (International Development)

More than 24,000 homes in my constituency have an energy performance certificate banding of D or worse, which means 50,000 tonnes of avoidable carbon dioxide emissions and higher energy bills for my constituents. However, the rate of insulation upgrades is too slow for us to meet the Government’s goal of universal band C ratings by 2035. Will the Minister commit herself with more urgency to an emergency home insulation programme with targeted support for those on low incomes?

Photo of Miatta Fahnbulleh Miatta Fahnbulleh Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

We recognise that not enough was done to upgrade homes over the last 15 years, which is why we are absolutely running at this. We will upgrade up to 300,000 homes this year, and we are putting in place our plan to drive up standards in the private rented sector, and to ensure that as many households as possible benefit from homes that are warmer and much, much cheaper to run.

Photo of Amanda Hack Amanda Hack Labour, North West Leicestershire

In my constituency, there has been strong growth in the purchase of electric vehicles, but we have only half as many public charging points per person as the national average. How can we secure more charging points in public spaces in rural communities?

Photo of Michael Shanks Michael Shanks Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

My hon. Friend makes an important point about rolling out charging infrastructure to all parts of the country, and we are working on that with colleagues in the Department for Transport. Local distribution networks in rural areas are incredibly important, and introducing greater access to the grid—including through Ofgem’s approval of £22 billion to improve distribution networks—will enable us to roll out EV infrastructure in rural areas throughout the country.

Photo of Richard Fuller Richard Fuller Shadow Chief Secretary to the Treasury

This weekend, 50 households in Cleat Hill were able to return home, nine weeks after the gas explosion there. That was thanks to the efforts of the local council and the local emergency services but not, I am afraid, to the actions of the Government. There has been a deafening silence on whether they will help the council with funding, and whether they will fund a scaling and scoping of the gas reservoir. I am extremely grateful to the Minister for meeting me, but will she chivvy her other Ministers along, so that we can get a reply?

Photo of Miatta Fahnbulleh Miatta Fahnbulleh Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

I thank the hon. Member for that meeting. We are working across Government to ensure that we can provide the support that the community requires after that tragic incident.

Photo of Tom Hayes Tom Hayes Labour, Bournemouth East

I recently visited the zero-emission boiler manufacturer Tepeo in Wokingham. Its owners were thrilled by the Government’s decision that heat batteries can qualify for the warm homes social housing fund wave 3, but expressed concern about whether they could scale up without the same subsidy support and VAT relief as heat pumps. Will the Minister meet me, and representatives of Thermal Storage UK, to discuss how we can support heat batteries, so that households can become more resilient?

Photo of Miatta Fahnbulleh Miatta Fahnbulleh Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)

My hon. Friend is a great champion of our clean power mission, and I would be very happy to meet him and representatives of the sector.

Photo of Max Wilkinson Max Wilkinson Liberal Democrat Spokesperson (Culture, Media and Sport)

Seventy-five per cent of voters think that all new homes should come with solar panels on the roof as standard. Do the Government agree?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

I am very sympathetic towards this issue, and we are in discussions with our colleagues across Government. Watch this space.

Photo of Andrew Cooper Andrew Cooper Labour, Mid Cheshire

Cheshire is leading the way in CCUS, whether it is in hydrogen production, where it is providing the means of transition as a new industry is established, or in hard-to-abate sectors such as glass or cement production, where CCUS is a vital decarbonisation component. Our strategy is creating jobs, growing our skills base and unlocking a low-carbon future. Does the Minister agree that it will not be possible to get to net zero without CCUS?

Photo of Steve Barclay Steve Barclay Chair, Finance Committee (Commons), Chair, Finance Committee (Commons)

The Grimsby to Walpole National Grid scheme will see pylons almost twice the height of the existing ones being placed across the flat landscape of the fens. Why does the Secretary of State think that the cost of chasing his unrealistic 2030 target should be disproportionately borne by rural communities?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

I have great respect for the right hon. Gentleman. The truth is that we need to build the grid, regardless of whether the target is 2030 or 2035. This Government are being honest and open with people in saying that the grid needs to be built. If we do not build the grid, we will remain massively vulnerable as a country.

Photo of Bill Esterson Bill Esterson Chair, Energy Security and Net Zero Committee, Chair, Energy Security and Net Zero Committee

Last year, the UK imported 43% of our energy. Does the Secretary of State agree that, as well as protecting bill payers from the volatility of international fossil fuel markets and giving us energy independence, we have the potential for economic benefits from exporting electricity and hydrogen through the clean power plan?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

My hon. Friend is absolutely right about that. It is about energy independence for Britain, and about becoming a clean energy superpower that can export energy and benefit as a country. The opportunities are huge, which is why we are getting on with it.

Photo of Stephen Flynn Stephen Flynn SNP Westminster Leader

I think the Secretary of State is now arguing that energy bills will fall by £300 by 2030. A simple question: how much will they rise by before then?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

I am disappointed in the right hon. Gentleman, but perhaps I should not be surprised. The truth is that there is only one future for Britain that reduces bills for good: a clean power mission. We can carry on being vulnerable, and we can carry on with fossil fuels, but we will be in the grip of petrostates and dictators. This Government are not willing to leave us exposed.

Photo of Ian Lavery Ian Lavery Labour, Blyth and Ashington

The Lynemouth biomass power station in my constituency has some very ambitious and exciting projects involving carbon capture and storage, but it is waiting for some major decisions by the Department. Will the Minister agree to meet me so that we can tackle these pressing outstanding issues?

Photo of Sarah Jones Sarah Jones Minister of State (Department for Energy Security and Net Zero), Minister of State (Department for Business and Trade)

I would be absolutely delighted to meet my hon. Friend; we can talk about data centres at the same time. Carbon capture is an incredibly important part of our future. We know that we have to have it in order to decarbonise some of our very hard-to-decarbonise industries, and I would be delighted to talk about the possible jobs that it could bring as well.

Photo of Claire Young Claire Young Liberal Democrat, Thornbury and Yate

Local further education colleges are actively pursuing the formation of a skills partnership to meet the opportunity and challenge of potential small modular reactor development in Oldbury in my constituency. Does the Minister welcome their proactive approach, and will she join me in meeting them to better understand the support that the further education sector needs to deliver this vital work?

Photo of Gareth Snell Gareth Snell Labour/Co-operative, Stoke-on-Trent Central

What assurances can the Minister give me that energy-intensive industries in Stoke-on-Trent, such as ceramics, will benefit from the investment coming from this Government and will not get left behind in our transition to net zero?

Photo of Sarah Jones Sarah Jones Minister of State (Department for Energy Security and Net Zero), Minister of State (Department for Business and Trade)

My hon. Friend makes a very good point. We were talking about this issue in the Tea Room only this morning, and I will meet the ceramics sector and him first thing in the new year to talk about some of the challenges it faces. We are absolutely committed to supporting the sector.

Photo of Carla Denyer Carla Denyer Green, Bristol Central

Thirteen oil and gas fields have been licensed for new drilling of dangerous fossil fuels but are still awaiting final approval. The Government paused those decisions while doing a consultation, but the consultation will not change the science: if we are to meet our climate targets, those fossil fuels must stay in the ground. Will the Secretary of State do the right thing by the poorest in our country, who are always at the sharpest end of climate action, and ensure that those licences will not be granted?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

This is a Government with a world-leading position when it comes to oil and gas, and we will do the right thing for the environment and climate change and the right thing to ensure that there is a just transition in the North sea.

Photo of Grahame Morris Grahame Morris Labour, Easington

On behalf of my constituents, I want to thank the Secretary of State, the Minister of State, the Parliamentary Private Secretaries and the whole team for the excellent work that has been carried out to deliver justice on the mineworkers’ pensions. Can I urge them to act with alacrity in relation to the British Coal staff superannuation scheme, and may I invite the Minister to look at some of the energy pilots that are making use of mine water from abandoned mine workings?

Photo of Ed Miliband Ed Miliband The Secretary of State for Energy Security and Net Zero

I pay tribute to my hon. Friend, who has been a brilliant campaigner on this issue for a very long time. My hon. Friend the Minister of State will have heard what he said. This is the difference: this is a Labour Government delivering justice for mineworkers across our country and their families, which is all part of delivering our mission for the country.