Carbon Budget 6

Baroness Boycott Excerpts

Tuesday 3rd March 2026 Lords Chamber

[Lord Whitehead (Lab)]

The continued presence of nuclear power as a low-carbon power source is, and will be, an integral part of carbon budget 6 being met. It would be very difficult to catch up with those carbon budget 6 figures without nuclear power. It will come and go a little bit, in terms of retirements of nuclear power stations by the mid-2030s and new nuclear power stations coming online, but it will come back to at least that 15% figure. It is very difficult to see how carbon budget 6 might easily be met without that power in place.

[Baroness Boycott (CB)]

My Lords—

[Lord Lilley (Con)]

My Lords—

[Captain of the Honourable Corps of Gentlemen-at-Arms and Chief Whip (Lord Kennedy of Southwark) (Lab Co-op)]

We will hear from the Cross Benches and then from the Conservative Benches.

[Baroness Boycott (CB)]

My Lords, I am very pleased to hear that the Government continually reassess carbon budget 6, but I would like to hear the Minister’s response to the concerns of Ofgem, which has said that the volume of grid connection applications

“exceeds even the most ambitious demand forecasts”.

Further, last week, the Energy Secretary said that energy demand “remains inherently uncertain”. What is the Minister’s department doing to try to work out how much energy will be needed by data centres? Can the Government commit to using only low-carbon sources of power for these operations?

[Lord Whitehead (Lab)]

In terms of the Government’s clean power 2030 plans, pretty much only low-carbon power will be used for operations in the future. As far as data centres are concerned, this is one of the real-world trends that I mentioned has been analysed out in the carbon budget considerations. While AI will certainly considerably reduce the amount of electricity that is being used, the overall trend towards a large number of data centres will increase its use, so you have trends going in either direction. However, that is within the modelling that has been done so that we can consider how the budget can be met.

On grid connections, among other things, Ofgem is very much under way in reducing the number of people in the queue and making sure that the grid is far better able to accommodate the early connections and consequences of the rollout of new grid bootstraps, for example.