Regulations

Automated and Electric Vehicles Bill – in a Public Bill Committee at 4:15 pm on 14 November 2017.

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Photo of Karl Turner Karl Turner Shadow Minister (Transport) 4:15, 14 November 2017

I beg to move amendment 7, in clause 15, page 8, line 32, leave out from “consult” to end and insert—

“(a) the National Grid,

(b) large fuel retailers and service area operators as defined under section 10, and

(c) any other such persons as the Secretary of State considers appropriate.”

This amendment would require the Secretary of State to consult specifically with the national grid, large fuel retailers and service area operators before introducing regulations.

With this it will be convenient to discuss the following:

Amendment 13, in clause 15, page 9, line 33, at end insert—

“(3A) Before making regulations under this Part, the Secretary of State must consult the Scottish Government, the Welsh Government and the Northern Ireland Executive and have regard to their views.”

New clause 5—Review of regulations in Part 2—

“(1) Within 12 months, and once in each 12 month period thereafter, the Secretary of State must lay a report before Parliament on the regulations made using powers granted in Part 2 of this Act.

(2) The report must consider—

(a) the effectiveness of the regulations,

(b) the impact the regulations are having on public charge point operators,

(c) the impact the regulations are having on fuel retailers,

(d) the impact the regulations are having on the National Grid, and

(e) how the regulations are impacting on the uptake of electric vehicles.”

This new clause would require the Secretary of State to lay a report before Parliament each year assessing the effectiveness and impact of the regulations in Part 2.

Photo of Karl Turner Karl Turner Shadow Minister (Transport)

I rise to speak to amendment 7 and new clause 5, which appear in my name. Amendment 7 would require the Secretary of State to consult the National Grid, large fuel retailers and service area operators before introducing regulations. New clause 5 would require the Secretary of State to lay a report before Parliament each year assessing the effectiveness and impact of the regulations in part 2.

Amendment 7 would require the Government to consult widely before regulations were implemented. One significant area that our proposals will deal with is the potential impact of the expansion in the number of charging points on the national grid. To be frank, the Bill barely addresses this issue. There is a fear that huge, sudden spikes in demand could easily damage the network and even lead to power cuts in extreme situations. Serious planning and consultation between the Government, the grid and the charge point operators are required if the policy is to work. I appreciate that the Government are trying to address some of that with smart charging, but the risk is still there, particularly if rapid charging is used at charge points during peak rush hour.

Those concerns need to be carefully considered, and the impact must be monitored in the roll-out of infrastructure changes. Will the Minister commit to considering the matter further, to consulting with the necessary bodies to ensure that the impact is limited, and to ensuring that measures—including smart charging—will be in place to prevent network overload? The Government will have to consider a great many things that they do not know now. They do not yet know what regulations they want to bring in, who these will affect, nor how they will be affected. That underlines the importance of the Government consulting with stakeholders, as requested in amendment 7.

I am not opposed to the use of secondary legislation, because it is necessary to future-proof the Bill, but it is important for the Minister to come back to Parliament with more detail and specific proposals for regulation, particularly on something that, as it stands, does not include much detail. I am sure the Minister will agree that regular reviews can help not only in assessing how things are working, but in guiding future action.

The new clause would require the Government to lay a report before Parliament each year that considers how the regulations are working, specifically their impact on charge point operators, fuel retailers, the National Grid and the overall uptake of electric vehicles. The Government’s intention is for the Bill to enable and encourage the uptake of electric vehicles, and we all want to achieve that goal. I think we are right to do that. It would therefore make sense for them regularly to review whether that is actually happening, and whether things need to be changed down the line. Involving Parliament in this issue would not only be beneficial to the Government; it would enable them to regularly reassess their efforts. I would like to think that the Minister would say that to us if our seating arrangements were reversed. We must keep the matter constantly under review and we should be prepared to revisit it if the circumstances require it.

I do not intend to press the amendment to a vote, but I give the Minister notice that we definitely wish to return to this issue. I hope that, as the Bill continues its progress through the House, the Minister reflects on that. Perhaps on Report, his position will have changed and we can consider using the affirmative procedure. New clause 5 is about review, and if the Minister can give assurances that he is prepared to review, reassess and change the legislation as necessary, I do not intend to press it to a vote.

Photo of John Hayes John Hayes Minister of State (Department for Transport)

The amendments and the new clause address the issues of consultation and review, as the hon. Gentleman briefly set out. I could give a short version of my speech and simply say to him, “Yes, yes, yes, yes and yes,” but I am not sure that that would satisfy the more demanding members of this Committee, so let me explain what I mean.

The hon. Gentleman is right that consultation must be part of the continuing determination to ensure that the objectives of the Bill are met. I am determined that we should consult with the National Grid, large fuel retailers and others before making regulations. I completely agree with him that it will be important to consult a wide range of stakeholders on making regulations under these powers, and that will include the devolved Administrations detailed in amendment 13.

The hon. Gentleman will note that we have an obligation, set out in clause 15(3), to do so:

“Before making regulations under this Part, the Secretary of State must consult such persons as the Secretary of State considers appropriate.”

It is right that the hon. Gentleman asks, “Well, who does the Secretary of State consider appropriate?”, because these are broad powers. It would certainly include all the organisations he has mentioned and, by the way, others across the industry. The providers of charge points and others must be consulted, as I have emphasised throughout our consideration of the Bill. He can have the binding assurance from me that we will consult in precisely the way his amendment suggests.

Furthermore, I agree with the hon. Gentleman about the business of review. Given that I have emphasised, as I think have other members of the Committee, that this is a rapidly changing area of work, with evolving technology—the modest nature of the Bill means that we know more will need to be done, both in secondary legislation and, I suspect, beyond—it is important that we keep a close eye on how things are developing.

I have already agreed, as a result of the brief exchanges between myself and the hon. Member for Kilmarnock and Loudoun, both today and in earlier consideration of these matters, that we should map the provision of charge points across the country. It is very important that we monitor closely how charge points are rolled out. We have spoken about workplaces, local authorities, service stations and so on and so forth, but we need to get a clear view about where the concentrations of charge points are and what needs to be done to fill in any gaps that emerge.

More than that, it is appropriate to review more generally. I draw the attention of the hon. Member for Kingston upon Hull East to the Small Business, Enterprise and Employment Act 2015, in particular to section 28. He will remember, probably having debated it at other times and in other places, that section 28 creates a

“Duty to review regulatory provisions in secondary legislation”— in my judgment, absolutely properly. Section 28(2) makes it clear that:

“The Minister must—

(a) make provision for review in the secondary legislation in which the regulatory provision is made…or

(b) publish a statement that it is not appropriate in the circumstances to make provision for review in that legislation”.

Either the Minister must justify why he is not reviewing, or review.

My strong indication to the Committee is that in those circumstances, we would want to review and consider the ramifications that result from the legislation, for the very reasons I have just given. It is a rapidly evolving and changing field and we want as much debate and scrutiny of it as possible. It is not a matter of contention, but a case of the whole Committee—indeed, the whole House—wanting to get it right. There is provision for us to do so; we have committed to that in clause 15. For those reasons, and with the strong assurances I have offered, I hope that the hon. Gentleman will withdraw the amendment.

Photo of Alan Brown Alan Brown Shadow SNP Spokesperson (Transport), Shadow SNP Spokesperson (Infrastructure and Energy)

I agree with the principle of amendment 7, and it is good that the Minister says he will take that on board and do the necessary consultation. New clause 5 is about annual review, reporting and updating Parliament, so I would like to hear a wee bit more about how the Minister will do that kind of review of the uptake of electric vehicles and feed back to Parliament, working out, if necessary, what targeted interventions might be required on the back of that.

The Minister said that he would consult the devolved Administrations listed in amendment 13, which appears in my name. I welcome that, but the whole purpose of the amendment was to get the involvement of the devolved Administrations into the Bill, to absolutely ensure that it happens. Based on his earlier intervention, I am sure that the hon. Member for Stirling would agree with that concept.

Certainly, there are advantages to a UK-wide approach, and that requires the involvement of the devolved Administrations. For example, Scotland has its own electric and automated vehicles strategy, which was announced in this year’s programme for government. Scotland is trying to take a lead in the roll-out of such vehicles, and we have set a target of 2032 as opposed to 2040. If the Bill had not been so tight, I would have tabled an amendment to bring forward the 2040 deadline, but unfortunately I have not been able to do so. There is a different strategy in Scotland, and the UK Government need to take that on board, with the Scottish Government.

Scotland has an excess of commercial and academic expertise in smart grids and data management, and we need to ensure that that expertise is tapped into in the consultation and brought forward for the benefit of everyone. I have mentioned the Scottish Government; clearly, other devolved Administrations might have their own priorities that need to be fed in as well. The Minister said that he would give that assurance, but I will look to see how it is taken forward and whether we need to revisit amendment 13 on Report.

I am happy not to push the amendment to a vote; I am just looking for that certainty on an ongoing basis. The Minister is probably aware, regarding the Brexit negotiations just now, that the Scottish and Welsh Governments have raised concerns that they are not fully involved and are getting overlooked. We cannot be in a position where decisions are imposed on the devolved Administrations without consultation and without those decisions being agreed.

Photo of John Hayes John Hayes Minister of State (Department for Transport)

The hon. Gentleman is not the first, and will not be the last, to clamour to hear more from me, but I do not want to tire the Committee unduly. I have given the commitment that he will have heard about the consultation, but just in case he is uncertain about the good will that lies behind it, let me say, merely on the grounds of unvarnished self-interest, that the Government would certainly want to consult, because we want to get this right. Frankly, there is little for the Government to lose from that kind of dialogue with the devolved Administrations and the whole of the industry. Any responsible Government would want to engage in such dialogue and consultation. I do not suggest for a moment that the hon. Gentleman does not trust my good will, but just in case he does not want to depend on it, I assure him that it is in the Government’s interests to ensure that we get this absolutely right.

Photo of Karl Turner Karl Turner Shadow Minister (Transport)

I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Clause 15 ordered to stand part of the Bill.

Ordered, That further consideration be now adjourned. —(Andrew Stephenson.)

Adjourned till Thursday 16 November at half-past Eleven o’clock.