Nuclear Safeguards Bill

(Limited Text - Ministerial Extracts only)

Read Full debate
2nd reading: House of Commons
Monday 16th October 2017

(6 years, 6 months ago)

Commons Chamber
Nuclear Safeguards Act 2018 View all Nuclear Safeguards Act 2018 Debates Read Hansard Text
Greg Clark Portrait The Secretary of State for Business, Energy and Industrial Strategy (Greg Clark)
- Hansard - - - Excerpts

I beg to move, That the Bill be now read a Second time.

The Bill is straightforward. It ensures that when the United Kingdom is no longer a member of the European Atomic Energy Community—Euratom—we will have in place a legal framework that meets our future international obligations on nuclear safeguarding. Nuclear safeguards demonstrate to the international community that civil nuclear material is not diverted into military or weapons programmes. It is important to be clear about the definitions in and scope of the Bill, because nuclear safeguards are distinct from nuclear safety, which is about the prevention of nuclear accidents, and from nuclear security, which relates to the physical protection of nuclear material. Those topics are subject to different regulatory regimes.

Our current nuclear safeguards obligations arise from our voluntary offer agreement—an additional protocol—with the International Atomic Energy Agency. The IAEA is the UN-associated body responsible for the oversight of the global non-proliferation regime. The first requirement flowing from the UK’s commitments on safeguards is to have a domestic system that allows the state to know what civil nuclear material it has, where it is and whether any has been withdrawn from civil activities.

John Howell Portrait John Howell (Henley) (Con)
- Hansard - - - Excerpts

Following conversations with the leadership of the Culham Centre for Fusion Energy, which is in my constituency, does the Secretary of State agree that their stance on Euratom is not about Euratom itself, but about knowing when all the details will be finalised?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

My hon. Friend, who has a close connection with his constituents who work at Culham, is absolutely right. He knows that we are keen to agree the greatest possible continuity for the arrangements for research at Culham as soon as possible.

Robert Neill Portrait Robert Neill (Bromley and Chislehurst) (Con)
- Hansard - - - Excerpts

Will my right hon. Friend confirm that there is nothing in the Bill that will prevent us from seeking associate membership or arrangements with Euratom under article 206 of the existing Euratom treaty, and that it remains Government policy to seek to do so?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

I can confirm that the Bill has been prepared on a contingency basis. The discussions around our continued arrangements with Euratom and with the rest of the European Union have not been concluded, but it is right to put in place in good time any commitments that are needed in primary legislation. Euratom has served the United Kingdom and our nuclear industries well, so we want to see maximum continuity of those arrangements.

--- Later in debate ---
Lindsay Hoyle Portrait Mr Deputy Speaker
- Hansard - - - Excerpts

It might have been helpful if the right hon. and learned Gentleman had asked that question to begin with, rather than giving a speech.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

Triggering article 50 of the treaty on European Union also requires triggering article 50 on membership of Euratom. That is not just the Government’s view; it is the European Commission’s view, too. The Commission clearly stated to the European Parliament that,

“in accordance with Article 106(a) of the Treaty establishing the European Atomic Energy Community, Article 50 of the Treaty on European Union applies also to the European Atomic Energy Community.”

That is the basis on which we are considering these safeguards.

Rebecca Pow Portrait Rebecca Pow (Taunton Deane) (Con)
- Hansard - - - Excerpts

Will the Secretary of State give an assurance that, as we leave the EU, the Bill will enable us to develop our own watertight system for complying with nuclear safeguards? As he says, that means introducing reporting and transparency to make it obvious that no nuclear material is going where it should not be going. We want assurances that all these boxes will be ticked, even if we leave Euratom.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

That is precisely the point of the Bill, and I will explain, perhaps at some length, the ways in which it might be done. I hope my hon. Friend will stay for that.

Lord Walney Portrait John Woodcock (Barrow and Furness) (Lab/Co-op)
- Hansard - - - Excerpts

The Secretary of State is being generous in giving way. We heard clearly enough that this is a contingency Bill. What I did not hear clearly is the Government’s policy on staying in Euratom. He says that the treaty requires us to come out, which is debatable. If it is the Government’s policy that we want associate membership status, will he make that clear now? Maximum continuity is a rather vague concept.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

It is very clear that membership of Euratom requires membership of the European Union, which is why we have this Bill. We have been satisfied with the arrangements we have, and part of the negotiation will be to ensure the greatest possible continuity, but that is to be negotiated with Euratom and the partners involved.

I have mentioned that the first requirement flowing from our commitments on safeguards is to have a domestic system that allows the state to know what civil nuclear material there is and where it is located, but the second fundamental principle of the global non-proliferation and safeguards regime is that there is some oversight of the system independent of the country itself. That provides obvious and necessary reassurance to the international community that material from civil nuclear programmes is not used other than for civil activities.

The UK has been a member of Euratom since 1 January 1973, and Euratom has carried out elements of both the domestic and the international activities set out in our agreements with the IAEA. The UK’s agreement with the IAEA on safeguards is a trilateral agreement, reflecting the relationship between the UK and Euratom. Upon withdrawal from Euratom, however, the UK’s main agreements with the IAEA will become ineffective, as they are predicated on Euratom membership. We are in discussions with the IAEA to agree replacements that reflect the UK domestic regime, including continued international verification by the IAEA. The Bill gives us the ability to give effect to precisely that regime. We have been working closely with the Office for Nuclear Regulation to ensure it will be ready to take on responsibilities for nuclear safeguarding that are currently delegated to Euratom inspectors.

Kelvin Hopkins Portrait Kelvin Hopkins (Luton North) (Lab)
- Hansard - - - Excerpts

Many professionals in the nuclear industry and outside academics are seriously concerned about the ongoing problem of what to do with nuclear waste from the civil programmes. Will the new arrangements simply parallel exactly what Euratom is doing or will they be stronger? Is the Minister not concerned that we still have to deal with the serious problem of long-term storage of civil nuclear waste?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

Let me say two things. First, we want to see maximum continuity of the standards—we do not want any reduction in them, as they have served us well and they give confidence to the industry. Secondly, the hon. Gentleman knows, from his many years in this House, that successive Governments have taken forward our long-term disposal of nuclear waste, and work on a long-term repository is being conducted, but that is a domestic responsibility, as it always has been.

John Redwood Portrait John Redwood (Wokingham) (Con)
- Hansard - - - Excerpts

I welcome the Secretary of State’s approach. Will he confirm it will mean that all the operational work that happens in the relevant plants will continue as if nothing had changed? It is done to a high standard and we wish to preserve those standards.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

My right hon. Friend is absolutely right. As I say, I do not think anyone regards the arrangements that have prevailed as deficient, so it makes sense to replicate them as we can. We are being orderly in making sure that we have the right domestic framework in place in good time.

Bernard Jenkin Portrait Mr Bernard Jenkin (Harwich and North Essex) (Con)
- Hansard - - - Excerpts

My right hon. and learned Friend the Member for Rushcliffe (Mr Clarke) referred to the fact that we have to make all these international agreements which have previously been reflected in agreements between the EU and international bodies and other countries. Is any other country outside the EU objecting to the likelihood that we will be seeking to make these arrangements, or to be a full member of the IAEA in our own right, with a voluntary agreement that it proposes?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

My hon. Friend will doubtless be aware that across the international community there is great recognition that there is little contention in this area. It is obviously in the global interest to have robust arrangements in place, and the discussions are taking place smoothly and without any contention.

Iain Duncan Smith Portrait Mr Iain Duncan Smith (Chingford and Woodford Green) (Con)
- Hansard - - - Excerpts

I congratulate my right hon. Friend on pursuing this issue with calm and decency. Will he take the opportunity to reflect on some of the scare nonsense that we heard earlier, particularly with regards to medical radioisotopes? That was front page—it was said that people would not be able to get their treatment—but nothing at all in our decision would ever stop the export of any of those medical radioisotopes to non-EU countries.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

My right hon. Friend is right; there is nothing in that at all.

Let me state it another way: the Bill enables the United Kingdom to set up a domestic safeguards regime to enable us to meet international safeguards and nuclear non- proliferation standards after we withdraw from Euratom, no matter what the outcome of the negotiations. So we are being prudent and prepared, taking these steps now, in very good time. The ONR does not currently have this role because, under the Euratom treaty, all members, including the UK, subject their civil nuclear material and facilities to nuclear safeguards inspections and assurance carried out by Euratom. Euratom then provides reporting on member states’ safeguards to the IAEA, which conducts nuclear safeguards globally. The United Kingdom's new regime, established under this Bill, will ensure that the UK has the right regime in place to enable the ONR to regulate nuclear safeguards following withdrawal from Euratom—it could not be more simple. That will ensure that the UK continues to maintain its position as a responsible nuclear state following withdrawal from Euratom.

David Drew Portrait Dr David Drew (Stroud) (Lab/Co-op)
- Hansard - - - Excerpts

Will the Secretary of State assure me that interested parties in the industry, principally the Nuclear Industry Association and Prospect, the trade union, which represents most workers in the industry, will continue to be consulted, as at the moment neither is convinced that the Bill is better than Euratom?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

I will certainly make that commitment. One feature of the nuclear industry is that it is, appropriately, highly consultative. People from across the sector talk to each other. It is a community of experts and they take advice. We will certainly continue to do that.

The hon. Gentleman mentioned the Nuclear Industry Association, with which I have meetings and with which the Under-Secretary of State for Business, Energy and Industrial Strategy, my hon. Friend the Member for Watford (Richard Harrington) meets regularly. The NIA has said clearly that the publication of the Bill

“is a necessary legislative step in giving responsibility for safeguards inspections to the UK regulator”.

I have been clear with the House that the Bill is a prudent and timely set of measures that does not prejudge the discussions we will have with Euratom. I regard it as a model of good order.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

I give way to the Chair of the Business, Energy and Industrial Strategy Committee.

Rachel Reeves Portrait Rachel Reeves
- Hansard - - - Excerpts

The Secretary of State says that he speaks regularly to the experts in the sector and industry; can he give an example of anybody in the industry who would prefer the powers to be transferred to the ONR rather than for us to stay in Euratom? Is there anyone?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

The hon. Lady justifies what I said at the outset. The arrangements we have had with Euratom have been perfectly satisfactory, and we want to see maximum continuity. I hope she would agree, though, that it is necessary and prudent to take legislative steps so that if we are not able to conclude a satisfactory agreement—I do not expect that—we nevertheless have a world-class nuclear safeguarding regime. I would have thought she would welcome our doing that in good time and sensibly.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
- Hansard - - - Excerpts

The decommissioning of the UK’s ageing nuclear estate is a critical aspect of Euratom’s work, yet there is not a single mention in the Bill of decommissioning. Will the Secretary of State explain how the 17 nuclear sites that are currently in the process of decommissioning, including Trawsfynydd in my constituency, will be regulated and properly staffed and have the necessary expertise if the UK leaves Euratom?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

There is no difference in the arrangements. As I say, the Bill makes provisions for a safeguarding regime. It is not about safety or security; it is about making sure it can be verified that nuclear material that is used in the civil sector does not cross to other uses. The robust arrangements supervised by the ONR that we have in place for decommissioning continue.

Albert Owen Portrait Albert Owen (Ynys Môn) (Lab)
- Hansard - - - Excerpts

In response to my hon. Friend the Member for Stroud (Dr Drew), the Secretary of State said that Ministers regularly meet various industry experts and bodies. Will he go further and say that by the time the Bill is enacted it will contain a clause that says it is necessary to consult the industry as widely as possible? The trade unions and the trade bodies currently feel left out.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

Such consultation is the universal practice in the nuclear sector. The hon. Gentleman might serve on the Bill Committee, so perhaps he will be able to interrogate the issues he raises, but at every point the nuclear sector proceeds not through the unilateral fiat of Governments but appropriately, on the basis of expert advice. That is the culture of the nuclear industry and it will continue.

As I set out for the House in my written statement in September, our intention is for the new domestic regime to exceed the standard that the international community would expect from the UK as a member of the IAEA. The objective is for it to be as robust and comprehensive as that currently provided by Euratom. We are perfectly satisfied with the high standards that have prevailed under Euratom, so we do not want to take the opportunity to weaken them. As I have mentioned, we will also be agreeing new safeguards agreements with the IAEA. My officials have had meetings with officials from the IAEA at their headquarters in Vienna to take the discussions forward, and I am pleased to report that they are progressing extremely well.

On other aspects of the Euratom relationship, we have made it clear that we want to continue the successful co-operation. In June, I announced the Government’s commitment to underwrite the UK’s fair share of the costs for the Joint European Torus—the leading nuclear fusion facility in Oxfordshire—which supports 1,300 jobs, and we will continue to do that.

Let me briefly take the House through the clauses of the Bill. It is not a long Bill, as the House knows. Clause 1 amends the Energy Act 2013 to replace the Office for Nuclear Regulation’s existing nuclear safeguards purposes with a new definition. The ONR will regulate the new nuclear safeguards regime using its existing relevant functions and powers, so the measure is about clarifying its purposes. Clause 1 will also amend the Act by creating new powers so that we can set out in regulations the detail of the domestic safeguards regime, such as on accounting, reporting, and control and inspection arrangements.

Richard Graham Portrait Richard Graham (Gloucester) (Con)
- Hansard - - - Excerpts

The Nuclear Industry Association has made it absolutely clear that this legislation is necessary, but it has also spelled out that the best outcome would be for the UK to continue with some form of membership of Euratom. Will my right hon. Friend give the House an idea of whether he feels that the discussions so far with Euratom make it likely that we will be able to achieve some form of continuation of the existing arrangement?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

As I have made it repeatedly clear, we regard the arrangements with Euratom as having served this country well and we want to see maximum continuity. As far as I can see, all members of the nuclear industry regard that as being the case. This is a good example of where I hope it will be possible to agree quickly and with a maximum of consensus a regime that continues the high standards that we have observed.

Lord Walney Portrait John Woodcock
- Hansard - - - Excerpts

As the Secretary of State is of course aware, there is an extended search to find a new investor in the NuGen site. Potential buyers are looking on that with great interest. In his closest possible working with Euratom—or whatever his phrase was—is there a scenario in which there will not need to be new nuclear co-operation agreements, which could make the sale much more complicated and problematic?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

The fact of this legislation should send a signal to the world that we are absolutely determined to be forward facing and to make sure that we have a regime in place that can continue the high standards that we enjoy while pursuing, in negotiation with Euratom and with other countries, the same continuity of arrangements that we have enjoyed. I see absolutely no obstacle to that.

Clause 2 will create a limited power, enabling regulations to amend the Nuclear Safeguards and Electricity (Finance) Act 1978; the Nuclear Safeguards Act 2000; and the Nuclear Safeguards (Notification) Regulations 2004. This narrow power will mean that cross references in that legislation to existing agreements with the IAEA can be updated once new international agreements have been reached.

Let me summarise the four key points. We are totally committed to the current and future prosperity of the nuclear industry. It is an important part of our energy future, our security as a nation and our commitment to clean energy. We are committed to meeting all our international obligations and to retaining our world-leading status on nuclear research and development. We need the powers in the Bill to give the existing independent nuclear regulator—the ONR—a new role to regulate nuclear safeguards, alongside its existing role regulating the UK’s nuclear safety and security.

Alan Brown Portrait Alan Brown (Kilmarnock and Loudoun) (SNP)
- Hansard - - - Excerpts

I thank the Secretary of State for giving way one more time. I am not sure whether he is coming to an end, but he has not yet responded to the intervention on radioisotopes of the right hon. Member for Chingford and Woodford Green (Mr Duncan Smith). Does that mean that the Nuclear Industry Association, Dame Sue Ion, the honorary president of the National Skills Academy for Nuclear, and the Royal College of Radiologists are right to express concerns about the future possible supply of radioisotopes, especially given that, in the past, there have been global shortages? The Euratom supply chain was prominent in managing those shortages of supplies.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

Radioisotopes are not in scope of the measures before us today; this is about safeguards; and I replied perfectly adequately to my right hon. Friend.

The Bill sits alongside other work streams around our future relationship with Euratom, with the International Atomic Energy Agency and with third countries, and as such has been drafted to cater for a variety of possible outcomes to these talks. I want to reiterate our commitment to maximum continuity of these arrangements. The reason we are leaving Euratom is the decision to leave the European Union. The two treaties are uniquely legally joined. We continue to support Euratom and want to see a continuity of co-operation and standards and a close future partnership with it.

We do not know what the final arrangements will be, so we are doing what any responsible Government would do by putting in place now a civil nuclear safeguards regime for the United Kingdom through this Bill so that we will be fully prepared whatever the outcome of negotiations. I commend this Bill to the House.

Rebecca Long Bailey Portrait Rebecca Long Bailey (Salford and Eccles) (Lab)
- Hansard - - - Excerpts

As the Secretary of State has outlined, this Bill will provide the legal framework for establishing a domestic nuclear safeguards regime. Nuclear safeguards are essential obligations to ensure that work and materials for civil nuclear do not get transposed into work or preparations for military nuclear, and that is done under the umbrella of the nuclear non-proliferation treaty. Arguably, the UK already has a perfectly good set of nuclear safeguards through its membership of Euratom, so why is the Bill needed?

The Bill is a contingency measure, as the Secretary of State has helpfully illustrated. If we are to leave Euratom, and if there is no associate membership that gives us continued nuclear safeguarding provisions, we will need to put in place a new system of safeguarding, and that needs to be to the satisfaction of the International Atomic Energy Authority. Now that takes us into rather strange territory: we have not yet left Euratom; it is not clear whether we have to leave Euratom; the House has not agreed that we should leave Euratom; and we have not put in place any parliamentary procedure for agreeing that we should leave Euratom. In effect, the Bill is based wholly on the declaration that the Prime Minister made in her letter to the EU informing it that we were going to invoke article 50—

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

Is the hon. Lady saying that it is wrong for this House and this Government to prepare, in a prudent and orderly way, to maintain the excellent safeguards that we have? Is she somehow criticising that preparedness?

Rebecca Long Bailey Portrait Rebecca Long Bailey
- Hansard - - - Excerpts

Clearly, the Secretary of State was not listening to what I was saying. If he displays some patience, he will hear a bit more about my thoughts on the Bill’s contents.

Euratom was agreed to as a body and a treaty before the EU treaty came about, and to that extent it is, arguably, separate from the actual formation and operation of the EU. That of course is the subject of fierce legal debate. It is true that its disputes mechanism does involve the European Court of Justice, and its terms include the free movement of scientists but those are specifically applied to civil nuclear activities and do not stray on to a wider canvas. Subject to legal debate, it certainly may have been possible—

--- Later in debate ---
Rebecca Long Bailey Portrait Rebecca Long Bailey
- Hansard - - - Excerpts

I will make some progress, if I may.

The Government stated in their notes on the Queen’s Speech that the Bill to be introduced on the future of safeguarding would also

“protect UK electricity supplied by nuclear power”.

This Bill clearly does not do that, which is perhaps why that claim has been dropped from the description of the Bill. But the challenge centrally remains, and it is likely that another Bill will be necessary to protect that electricity in its entirety. Will the Minister confirm when that legislation will be introduced?

Let us assume for the time being that maintaining membership of Euratom is not possible—by far the worst case scenario. How have the Government chosen to implement their limited stab at replacing the nuclear safeguarding regime? Well, they have chosen to do so by giving the Secretary of State all the power to make the changes. The Bill contains powers for the Secretary of State, by order, to provide all the detail and fill in the dots of the legislative changes without further meaningful recourse to the Floor of the House.

Clause 1 will give the Secretary of State powers to introduce substantial amendments to the UK’s safeguarding procedures and give effect to international agreements that are yet even to begin being negotiated without any further primary legislation. Furthermore, the Secretary of State will be given the power—also by order—to amend retrospectively, and without further meaningful recourse to the Floor of the House, no fewer than three pieces of existing legislation. Not only that, but he will have the power to amend those pieces of legislation, as the Government acknowledge in their explanatory notes accompanying the Bill, based on the outcome of negotiations with the International Atomic Energy Agency that the Government accept are not complete.

We have to take on trust that the negotiation with the IAEA to which Parliament will not be a party will proceed satisfactorily, and that the Secretary of State, in his infinite wisdom, will table the necessary amendments to primary and secondary legislation that will give effect to those agreements, whatever they are. While I am on this point, will the Secretary of State confirm the progress of such agreements and negotiations, and provide details?

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

I hope the hon. Lady will be reassured if she actually reads the Bill. It is clear that the power to amend the legislation that she pointed out—I hope that she can see what I am pointing out—is limited to

“consequential, supplementary or incidental provision…transitional, transitory or saving provision.”

It is not a general power. It is intended to ensure that the transposition of one set of regulations to another can be made efficiently.

Rebecca Long Bailey Portrait Rebecca Long Bailey
- Hansard - - - Excerpts

Let me take the Secretary of State on a little journey. If he listens carefully, he might see how dangerous the scope of certain parts of the Bill might be. The explanatory notes indicate that regulations under clause 1 will be subject to the affirmative procedure only “on first use”. It would be helpful if he confirmed that that wording is actually a terrible mistake, that he does not actually mean it and that, at the very least, all legislation on the domestic safeguarding regime will be subject to the affirmative procedure.

I would never cast aspersions on the Secretary of State, but, unfortunately, his ministerial colleagues have shown that they are prepared to use their delegated powers not just to avoid parliamentary scrutiny, but arguably to legislate in open defiance of the House. In particular, I refer to the recent rise in university tuition fees. The original Act allowed any statutory instrument raising the limit to be annulled by either House. Unfortunately, the Government first prevented any vote whatever, and then refused to accept the vote of the House against the regulations. In effect, they used secondary legislation to rule by ministerial decree. They tabled the regulations the day before Christmas recess and the Opposition tabled a prayer against them on the first sitting day after that. But, despite the conventions of the House, the Government dragged their feet for months until eventually conceding the point and scheduling a debate on 18 April. Of course, the Prime Minister dissolved Parliament before that vote could be held. After the election, the new Leader of the House said that there were “no plans” to allow time for the vote that her predecessor had solemnly promised from the Dispatch Box. It was left to my hon. Friend the Member for Ashton-under-Lyne (Angela Rayner) to secure parliamentary time under the rules of Standing Order No. 24. In that debate, the Minister for Universities, Science, Research and Innovation tried to deny that any vote had been secured, leading Mr Speaker to intervene and tell the House:

“I had thought there was an expectation of a debate and a vote, and that the Opposition had done what was necessary”.—[Official Report, 19 July 2017; Vol. 627, c. 895-6.]

--- Later in debate ---
Drew Hendry Portrait Drew Hendry
- Hansard - - - Excerpts

No, I am going to make some progress.

As I have said, the UK does not currently have any reactors capable of producing such isotopes.

Greg Clark Portrait Greg Clark
- Hansard - - - Excerpts

Perhaps I can help the hon. Gentleman. Euratom places no restrictions whatsoever on the export of medical isotopes, and so there are no further protections needed. It is irrelevant.

Drew Hendry Portrait Drew Hendry
- Hansard - - - Excerpts

I do not think that the Minister is reflecting the view of the experts in the industry who are affected, and I will come on to underline that with some quotes.

Euratom supports the secure and safe supply and use of medical radioisotopes. If and when the UK withdraws, it will no longer—this is the critical point—have access to Euratom’s support, ending the certainty of a seamless and continuing supply. The Royal College of Radiologists points out that the supply of radioisotopes would be disrupted by leaving the single market, because transport delays will reduce the amount of useful radioisotopes that can be successfully transported to their destination.

--- Later in debate ---
Lord Harrington of Watford Portrait The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Richard Harrington)
- Hansard - - - Excerpts

I apologise, Mr Speaker, because I nearly called you Madam Deputy Speaker. I turned around and you were there, and I feel a lot better knowing that you are at the helm.

I have listened carefully to the arguments in this debate about our country’s future nuclear safeguards regime. I thank Members from all parties for their contributions, but particularly my right hon. and hon. Friends, so many of whom spoke. I am encouraged by the general consensus in the House on one fundamental point: the UK nuclear industry and nuclear research community—both of which have an excellent global reputation—are key assets and must be supported. I promise that we will do nothing to endanger that.

Regardless of where Members stand on membership, associate membership, transition or departure from Euratom—people have used various pronunciations today—I hope we can all agree that it is sensible and prudent to take the powers contained in the Bill, as they are necessary to set up our domestic nuclear safeguards regime. However, there has been a lot of scaremongering—that word has been used. I hope that Opposition Members did not intend to frighten people unnecessarily with certain comments, because I would have to call that “Project Fear”.

I can state categorically that, first, the Bill is nothing to do with medical isotopes and fissile materials are excluded; secondly, we are not going to crash out with no arrangements; and thirdly, important though nuclear safety is, it is nothing to do with nuclear safeguards. The Bill is the Nuclear Safeguards Bill. We have consistently repeated that, but unfortunately—[Interruption.] I was going to say that unfortunately the shadow Minister is nodding, but I know he is nodding because he knows. Other Members, particularly those on the SNP Benches, have confused the two.

On the triggering of article 50—this has been mentioned several times—the European Commission stated very clearly to the European Parliament:

“It is recalled that in accordance with Article 106(a) of the Treaty establishing the European Atomic Energy Community, Article 50 of the Treaty on European Union applies also to the European Atomic Energy Community.”

Given that article 50 has been triggered and that the European Commission has said that that was the right decision, we believe that it is absolutely essential that we have a constructive and co-operative relationship with our European partners.

Lord Harrington of Watford Portrait Richard Harrington
- Hansard - - - Excerpts

I would love to give way to the Chair of the BEIS Select Committee, but I have very little time. I do hope that she will understand—[Interruption.] Oh, all right.

Rachel Reeves Portrait Rachel Reeves
- Hansard - - - Excerpts

What a gentleman! Thank you very much.

The Minister is setting out two alternatives: the ONR taking responsibility or our staying in Euratom. However, there is a third way forward—a third way—which is to seek a transition period in which we remain in Euratom and then go for some sort of associate membership of Euratom. Are the Government exploring that opportunity, which would best serve our industry and those jobs?

Lord Harrington of Watford Portrait Richard Harrington
- Hansard - - - Excerpts

Well, I do know that the Chair of the Select Committee is a well-known Blairite, but actually to quote Mr Blair is very impressive. We leave Euratom at the same time as we leave the European Union.

Lord Harrington of Watford Portrait Richard Harrington
- Hansard - - - Excerpts

I really must make some progress.

As we have heard, there are other issues of great importance, such as access to skilled workers and continued R and D collaboration, on which we are focused as we seek to establish our new relationship with Europe’s nuclear community. The shadow Minister, the hon. Member for Sheffield Central (Paul Blomfield), asked me why those points are not included in the Bill. It was a fair question, but let me tell him that they are part of Euratom’s activities that are subject to negotiation but do not require legislation.

I was not surprised to hear all of the concerns expressed today—I would be astonished if the House did not have concerns and questions given the novel circumstances that we now find ourselves in. No country has ever left the EU or Euratom before. Let me explain for the avoidance of doubt that this is not an alternative. This is not because we do not want to maintain our successful civil nuclear co-operation with Euratom. We must set our own nuclear safeguards regime. It would be irresponsible for us not to do so. We are using the body that already regulates nuclear security and safety—the ONR. The shadow Minister said that it has only eight suitable employees at the moment. That is why we are here today—we need to ensure that the Bill has all the provisions both in terms of IT and infrastructure, and we need to recruit all the necessary people. That is why we are taking the powers, why they are so important and why the Bill is so vital and deserves support from across the House. We want to have—and we will have—a domestic nuclear safeguards regime that will enable the UK to meet international safeguards and nuclear non-proliferation standards after we withdraw from Euratom.

The intention is for the new domestic regime to exceed the standard that the international community would expect from the UK as a member of the IAEA. As my right hon. Friend the Secretary of State pointed out, we are aiming to establish a robust regime as comprehensive as that currently provided by Euratom.

Some hon. Members have asked why the Bill has been introduced and brought to its Second Reading so quickly—in fact, within a few days. That is because we know how important it is to have a nuclear safeguards regime for the UK. The ONR is key to that, and it needs the time to carry out both the recruitment and the planning. The international community, which we deal with all the time, wants to know that the safeguards regime will be established well before March 2019. I wish to thank EDF Energy, which is constructing our new Hinkley Point nuclear power station, and all of the other people in the nuclear industry, whom I briefed just before introducing this Bill last week, for their support in what we are doing here. The Bill is absolutely critical.

The Opposition have raised some issues about the powers in the Bill and the way in which we have approached the measures. The shadow Secretary of State said that there were too many delegated powers, Henry VIII provisions and all those sorts of thing. In fact, there is one Henry VIII power, which is limited and necessary because it enables us to alter references to the United Kingdom’s agreements with the IAEA. We would not be able to license the inspectors, for example, without concluding these negotiations, which are currently trilateral between the UK, Euratom and the agency.

The bulk of discussions with the European Union are ongoing. We are exploring a number of options for smooth transition from the currently regime to a domestic one. The negotiations are going well. We have found a spirit of co-operation because the officials in Europe and ourselves have a big mutuality of interests, but we have to plan just in case suitable arrangements are not worked out. Shared interests are important and we know that we will provide the best possible basis for continued close co-operation with Euratom, although we cannot say exactly how that will be. It will be similar when we negotiate our bilateral nuclear co-operation agreements, about which my right hon. Friend the Member for Wantage (Mr Vaizey) made a rather excellent speech. He actually thanked me for harassing him in the Tea Room, which I will now always try to do. He mentioned the importance of and concerns about the bilateral nuclear co-operation agreements, which are already in place with several countries and will continue. My officials have been to the other countries concerned and I am certain that talks will progress well.

I am happy to meet the representative from the Royal College of Radiologists to discuss the concerns of the hon. Member for Oxford West and Abingdon (Layla Moran). I had hoped that I had reassured her, but I perfectly understand her point and am happy to meet the relevant people. My hon. Friend the Member for Copeland (Trudy Harrison) made an excellent speech. The ONR has already started building processes and systems and recruiting inspectors, and the essential funding will be in place to do that.

I have heard many considered views from both sides of the House, but I hope that the House will unite in recognition of the special contribution of the nuclear industry. The Opposition have said that they will not vote against Second Reading, which is responsible, but I look forward to a lengthy and constructive discussion in Committee and on Report. I can tell from the polite smiles from the Opposition Front Benchers that they will be raring to go and I welcome that. Quite apart from in Committee, I am happy to sit down and discuss the Bill with anybody on an individual basis. I am passionate about it because we really need this domestic nuclear safeguards regime, regulated by the regulator here. It should be as robust and comprehensive as that provided by Euratom or by any international operation. I am sorry that I have not been able to take every intervention, but my door is always open. I very much look forward to the remaining stages of the Bill.

Question put and agreed to.

Bill accordingly read a Second time.