Proceeding contribution from Charles Hendry (Conservative) in the House of Commons on Monday, 30 June 2008. It occurred during Opposition day on Energy Security.
Energy Security
The Secretary of State says, ““Hardly””, but we did it well ahead of the Government. We pushed for feed-in tariffs and for changes to the national grid to allow for priority access, and we want to look at the way in which Ofgem operates to see what more can be done to encourage renewables. We have called for more carbon capture and storage projects and for more general gas storage because we are concerned about the national lack of storage. We have pushed the Government to reform the renewables obligation certificate system to allow for banding. We have not called in any Conservative policy document for ROCs to be scrapped. We called for a heat strategy, and we called for energy efficiency and fuel poverty to be dealt with in the Energy Bill, but the Government refused to allow it. We have pushed for more energy to be derived from waste, and we wanted more information for consumers on their CO2 emissions and their environmental charges. We wanted the public to know what contribution was made from their bills towards those charges. In spite of all that, the Secretary of State says, ““Yes, but can you tell us what the Conservatives want in energy policy?”” We could not have been clearer in showing the way, and it is unfortunate that the Government have been lagging. The greatest risk to our energy policy is the Government's failure to make long-term decisions. My hon. Friend the Member for Rutland and Melton (Alan Duncan) and I are fans of much of what the Secretary of State has done. The nuclear industry and its potential investors will be profoundly concerned by the reports in yesterday's papers that the unions want him sacked in return for continuing to bail out the Labour party. He has been listening and he has been acting, but there remains a worry that there is no plan B if people choose not to invest in this country on the terms set out by the Government. Concerns arise relating to our energy security in other respects. On gas storage, there is no sense of urgency and no steps have been taken to put an increased number of gas storage facilities in place, even though we have some of the worst storage facilities in Europe. We have 10 or 12 days' worth of supplies, compared with 80 days in other countries. On carbon capture and storage, the Government ducked one of the great technological opportunities of this decade in opting purely for one technology. They said that they wanted to export the technology to China, but anyone who knows anything about the matter knows that the Chinese will be developing it, too, that they will be there by Wednesday of next week, rather than in 12 years' time, and that they will be considering how they can export it to us, rather than expecting to take it from us. The Government have turned away from one of the most exciting technologies, which will be a matter of shame for them for ever. Everyone believes that energy efficiency can make a fundamental contribution to our energy security. At the moment, only 40 per cent. of the properties of this country are effectively insulated. There was nothing in the Energy Bill to improve insulation. We charge 5 per cent. VAT on fuel, but 17.5 per cent. on energy efficient measures to make our homes warmer. People tell us constantly that they are not getting the independent guidance that they need to determine which technology is right for their homes. The Government have held back and have not been sufficiently dedicated to the roll-out of smart meters. We could have sent a very clear message in the Energy Bill that we wanted every home in this country to have a smart meter within 10 years. They would help to tackle energy inefficiency and fuel poverty, and they are exactly the right way to go. The Government moved some way in that direction but were still not prepared to take the necessary key steps. They continue to run the low-carbon buildings programme, and when the money is used up within a few hours of being unveiled they say that that is a success, showing how popular the programme is, rather than a fiasco because people cannot get access to the support that they are looking for. We recognise the contribution that microgeneration can play, but the Government are still stalling its development by refusing to accept feed-in tariffs now because they want to consult more on them. That means that it will be years before we can take them forward as is necessary. We find perhaps the greatest complacency of all on renewables. We have heard about how the marine renewables deployment fund has not worked. The Minister has said on other occasions, ““But look, we have almost as much tidal power and wave power as they have in Portugal.”” We have 11,000 miles of coastline, compared with 1,000 miles in Portugal. We should be leading, but we find that the new renewables strategy that the Government announced last week is not so much a strategy for success as a shocking admission of the Government's failure. We are third from bottom in the whole EU in the development of renewables. In spite of all the Government's fine words, we have simply not made progress. All that we get from this Government is consultations. There was a consultation programme on smart meters, and at the end of it their conclusion was that there should be three more consultation exercises. That is this Government's approach; rather than make decisions, they have a further consultation programme. That is simply not good enough. We are concerned about reliance on imported energy, which will include 80 per cent. of gas by 2020. That will lead to higher prices and less security. That is the challenge for the Government, and it is unprecedented, as we have heard in the debate. We are not getting the leadership that we need from this Government. Their legacy will be terrible in many areas, but the worst legacy of all will be that they have failed to make the key decisions. That will result in a loss of vital supplies, which in turn will lead to higher prices and potentially power cuts.
Secondary information
- Type
- Proceeding contribution
- Reference
- 478 c646-8
- Session
- 2007-08
- Chamber / Committee
- House of Commons chamber
- Subjects
- Conservation Coal Climate change Carbon capture and storage Finance Environment protection Energy Energy supply Electricity Fuel poverty Fuels Imports Oil Natural gas Nuclear power Prices Microgeneration Storage Renewable energy Wave power Tidal power Winter fuel payment Carbon emissions
- Link
- View this Proceeding contribution on www.publications.parliament.uk
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