Merchant Shipping (Recognised Organisations) (Amendment) (EU Exit) Regulations 2019
Baroness Sugg Excerpts(5 years, 3 months ago)
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Baroness Sugg
That the draft Regulations laid before the House on 12 November 2018 be approved. Considered in Grand Committee on 23 January.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
My Lords, the next four Motions on the Order Paper were down to be moved en bloc but I am grateful to the noble Baroness, Lady Randerson, for her courtesy in advising me in advance that she wished to speak to one of them. I will therefore move the Motions separately. I beg to move.
Lord Berkeley (Lab)
My Lords, I will not delay the House for long but I have to question the point of this SI. It seems to try to ensure that we have the same safety regulations for passenger ships and many other things as we had before Brexit, this being a post-Brexit SI. But I do not think that we have the same regulations at the moment, because I happened to go on a passenger ship in Brittany last summer which looked exactly like what I thought would be a nice idea for a ship to go to the Isles of Scilly. I had a long chat with the skipper and got hold of all his certificates and the regulations on the board. I asked him, “Can you operate across the English Channel and to Scilly, in all weathers and at all times of day?” He said, “Yes—when do you want me to start?”
I thought this idea would be interesting, so I sent that information to the Maritime and Coastguard Agency but the answer that I got back said, “We do not recognise French legislation”. I thought that there was one common European system for ferries which could go across the English Channel, or anywhere else, to help interoperability so I was a bit distressed that this did not happen. Maybe the Minister will not be able to answer my point but I would be glad to have some response from her, perhaps in writing.
Baroness Sugg
I thank noble Lords for those questions. This first piece of secondary legislation is about the recognised organisations, which play a vital role in ensuring that ships are built and maintained so that they operate in compliance with standards for safety and to prevent pollution. The MCA delegates about 85% of its work to recognised organisations. These regulations will simply make changes to adapt an EU system for approving, monitoring and assessing recognised organisations in the UK system. I am afraid I will have to take the Scilly Isles point back to the department and look into that, and will come back to the noble Lord on it.
This is a no-deal SI. During an implementation period, the SI would not be needed because the withdrawal agreement will provide that EU law should continue to have the same effect. I fundamentally believe that it is important that as a responsible Government we continue to prepare for no deal. The long programme of statutory instruments is all about ensuring that we have a functioning statute book should we leave with no deal on 29 March. As long as that remains a possibility, we will need to continue the scrutiny of these SIs.
Ship and Port Security (Amendment etc.) (EU Exit) Regulations 2018
Baroness Sugg Excerpts(5 years, 3 months ago)
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Baroness Sugg
That the draft Regulations laid before the House on 21 November 2018 be approved. Considered in Grand Committee on 23 January.
Lord Berkeley (Lab)
My Lords, I have a very quick question on this one, to do with air pollution and the Merchant Shipping (Prevention of Air Pollution from Ships) Regulations 2008. This basically moves the responsibility for ensuring minimum air pollution from ships from the European Economic Area to the United Kingdom. I do not want to go into any detail at all, except to say that I hope the Minister can confirm the statement that has been made many times before by Ministers in this House—that when we leave there will be no reduction in environmental standards. I am particularly interested in:
“In Schedule 2 (engines excluded from regulation 21) … before ‘the European Economic Area’ insert ‘the United Kingdom or’”.
I hope the Minister can confirm that there will be no reduction in environmental standards from this change.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
Again, I thank noble Lords for those questions. These regulations will make appropriate amendments to the existing ship and port security legislation, and will ensure that the current regime remains operable following the UK’s withdrawal from the EU. I confirm that there will be no reduction in environmental standards, and that this SI is needed only in the event of no deal.
Ship Recycling (Facilities and Requirements for Hazardous Materials on Ships) (Amendment) (EU Exit) Regulations 2019
Baroness Sugg Excerpts(5 years, 3 months ago)
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Baroness Sugg
That the draft Regulations laid before the House on 13 December 2018 be approved. Considered in Grand Committee on 23 January.
Baroness Randerson (LD)
My Lords, I seek an assurance from the Minister. I promised her after our discussion in the Moses Room that I would look at Hansard carefully to see what she had said in response to my questions. I regret that she did not address my concerns. Although the letter that I received this morning attempted to do so, it basically conflicts with the Explanatory Memorandum.
Again, this is a no-deal SI. I keep hoping that the House of Commons will rescue us from this dystopian nightmare, but it looks again today as if it might not do it, so I accept that we have to prepare for this and I do not seek to interrupt that process. Unlike the three SIs that we have just approved, this SI involves new policy. As your Lordships will be aware, ship recycling is a very dangerous process. If done without high levels of safeguard, it can be dangerous to both the environment and the individuals involved in it.
To tackle this, EU regulations have created a list of approved facilities for ship recycling, not all of which are in the EU—the Minister told us last week that some facilities are in Turkey and the USA. The approval process for those facilities involves inspection, which is complex and expensive, particularly for those outside the EU.
Like the other no-deal SIs, this one removes references to the EU and gives substitute powers to the Secretary of State. However, it goes further. Paragraph 7.3 of the Explanatory Memorandum makes it clear that the UK list would initially include all facilities on the EU list. However, it also,
“establishes a new procedure allowing ship recycling facilities worldwide to apply for inclusion onto the new UK approved list”.
Given that there are some very dubious practices in ship recycling in some parts of the world and that it would be very costly for us as an individual country acting alone to inspect and constantly police standards in a yard on the other side of the world, I regard this as a worrying new policy.
I can see that the policy is in the buccaneering spirit of the Brexiteers—“We can do this more cheaply. There are easier ways of doing this. Cut some costs”—but it could mean a dangerous lapse in standards and controls. The Minister assured me this morning that it would not lead to a lapse in standards, so my purpose in speaking is to invite her to reassure us on the Floor of the House that the Government are not looking to expand their list in the way in which the Explanatory Memorandum states, and will take a precautionary approach so as to maintain the highest environmental standards.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
My Lords, I am pleased that the noble Lord feels a lot better for having got that out of his system. I absolutely agree with him about the excellence of the civil servants in my department—and across Whitehall—who are working incredibly hard to ensure that these statutory instruments are correct and that they are in place so that we have a functioning statute book in the event of no deal. I share the noble Lord’s desire to reach agreement on the withdrawal arrangements. I am sure that we will be watching the other place with close interest today and on Valentine’s Day. I should probably leave it there.
This SI will ensure that the legal framework for ship recycling remains legally operable when the UK leaves the EU. It will make amendments to the EU ship recycling regulation and three Commission implementing decisions. I hope that I will be able to provide the noble Baroness and the noble Lord with assurance on our standards. All UK ship-recycling facilities with a valid permit are eligible to be included in a new UK list. That list will also include all the non-UK ship-recycling facilities on the European list when we exit the EU. We expect those two lists to remain closely aligned with each other. In effect, any changes to the European list after we leave the EU will almost certainly be mirrored on the UK list. As a consequence—
Lord Berkeley
Does the list include places such as Bangladesh, India and other places outside the EU or the UK? They are major centres for ship recycling and I am sure that many noble Lords will have seen the revolting conditions that people have to work in to cut up old ships on the beaches.
Baroness Sugg
It does include some non-EU countries. I am afraid I cannot find the list in my files, but I will write to the noble Lord to confirm which countries are on it. The EU has very high standards of recycling and we will continue to match them after we leave.
The Secretary of State reserves the right to change the list. The power to add new facilities to it is included so that it does not become static. If we did not include this power, it would not be possible without primary legislation to add ship-recycling facilities to the UK list and to mirror what the EU does on its list. Over time, that could reduce the choices that UK ships have, compared with their EU counterparts. Because we will be retaining the standards and criteria for approving ship-recycling facilities used under the current EU regulation, the UK and EU lists will continue to be compiled to the same high standards. The powers in this instrument cannot be used to lower the standards of ship recycling.
If the EU changes its criteria, we will of course consider revising ours along similar lines. We do not think that this will happen for a few years, until the ship recycling regulation—which is fairly new—beds down. The Commission is committed to reviewing the EU regulation 18 months before the Hong Kong convention comes into force. That could lead to amendments to the criteria for ship-recycling facilities on the European list to align it more closely with that convention. If this happens, we will liaise closely with the EU, as our two regimes are virtually identical. Again, any change to those criteria would need to be done through regulation.
The EU regime is one of the strictest in the world. We are committed to maintaining those high standards, regardless of our membership of the European Union. I am happy to confirm that there are no—
Baroness Randerson
I appreciate the Minister’s attempts to reassure us. I ask her to go back and look at paragraph 7.3 yet again to see whether the Explanatory Memorandum needs to be recast, because both I and the noble Lord, Lord Berkeley, have quoted things from it which give a different impression of government policy. I am relieved to hear what the Minister has to say. I accept it totally, but there is a gap between what she is saying to us here today and what the Explanatory Memorandum appears to suggest. That could lead to confusion in the future.
Baroness Sugg
I have read the Explanatory Memorandum a number of times. I do not think it is contradictory, but I acknowledge that perhaps further reassurance could go into it. I will certainly follow up in writing and place copies in the Libraries of both Houses to provide that reassurance.
No facilities on the UK list are in Bangladesh, India or Pakistan, but I will send the noble Lord the full list.
As I was saying, the EU regime is currently one of the strictest in the world. It has incredibly high standards, and we are committed to maintaining them regardless of our membership of the EU.
Ship Recycling (Facilities and Requirements for Hazardous Materials on Ships) (Amendment) (EU Exit) Regulations 2019
Baroness Sugg Excerpts(5 years, 3 months ago)
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Baroness Sugg
That the Grand Committee do consider the Ship Recycling (Facilities and Requirements for Hazardous Materials on Ships) (Amendment) (EU Exit) Regulations 2019.
Railways: Reliability
Baroness Sugg Excerpts(5 years, 3 months ago)
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Lord Teverson
To ask Her Majesty’s Government what steps they are taking to improve rail service reliability in 2019.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
My Lords, the Government will continue the current record level of funding in our railways, with around £48 billion to be spent on the network from now until 2024. This will support more maintenance and a huge uplift in renewals to increase reliability and punctuality for passengers. We are delivering the biggest rail modernisation programme for more than a century. The department, working alongside Network Rail and other industry partners, is committed to investing in the railways so that we can have a modern, reliable and punctual railway system, fit for the future.
Lord Teverson (LD)
Hmm. I accept absolutely that we have put billions into the rail network and rail services, and yet last year we had the worst service over the year for 13 years and the worst summer for 20 years. Will the Minister answer this very simple question: who is responsible for those improvements and who is in charge?
Baroness Sugg
My Lords, I certainly agree with the noble Lord that we had a difficult year in rail last year. Things are improving: punctuality has improved since this time last year; cancellations and significant lateness have improved as well. Previous investment focused on capacity improvements, which was much needed, given the doubling of the number of passengers. For the next control period, however, the main purpose of our investment is to improve reliability, and that involves repairing and replacing worn-out parts of the network to increase reliability. The Department for Transport is working very closely with Network Rail and train operating companies to deliver that.
Lord Cormack (Con)
My Lords, I thank my noble friend for all that she has done to try to ensure that we have the promised more reliable service between London and Lincoln. In particular, I thank her for attending the meeting with the chief executive of LNER and the Member of Parliament for Lincoln shortly before Christmas. Can she give the House any further comfort than she gave last week? LNER has said that it wishes to introduce this service in September, but I believe that we are now dependent on Network Rail. Can she put—I will not say a bomb—a boot behind Network Rail to ensure that it enables LNER to deliver on its promise?
Baroness Sugg
As my noble friend said, LNER is hoping to introduce new services to Lincoln from September. As he also said, this is dependent on Network Rail approving its timetable bid. The lesson we learned from the introduction of the May timetables last year, which caused such significant disruption, was that the industry needs to ensure that it is positively able to deliver the services to which it is committed. I know that Network Rail is working hard on that, and I thank my noble friend and the people of Lincoln for their patience in this matter.
Lord Clark of Windermere (Lab)
My Lords, what is the Government’s response to Network Rail’s proposal to close the trans-Pennine line from Manchester for 39 weeks each year for the next four years? How will that help reliability?
Baroness Sugg
My Lords, we are working on proposals for the upgrade to the trans-Pennine route. It is a significant project worth nearly £3 billion and it will bring alternative routes. We are working through that and will publish details shortly.
The Lord Bishop of Newcastle
My Lords, the latest quarterly statistics released from the Office of Rail and Road show that the London North Eastern Railway has suffered its worst punctuality levels in over a decade and came second—not an honour—on the list of the 10 worst train services for punctuality. As my noble friend Lord Cormack said, we had hopes for the new Azuma trains, but there is a lack of investment in infrastructure in the north—the signalling systems north of York are over 30 years old. Will the Minister tell us when the necessary infrastructure works will take place in order for these trains to run as they should to serve the people of the north-east and Scotland?
Baroness Sugg
My Lords, we hope that the introduction of the trains will happen soon. There remain challenges relating to electromagnetic compatibility, ORR approvals and train design. Obviously, the delay is disappointing for everybody involved, but we should not lose sight of the benefits of this £2.7 billion investment. Each train will have around 15% greater capacity and, once the full fleet is in service, the upgraded timetable will deliver a 28% increase in capacity, so we look forward to their introduction.
Lord Tunnicliffe (Lab)
My Lords, the Minister seemed to have some trouble with the question of whose responsibility this is. Can I help her on that matter? The railway is run by Network Rail and the train operating companies. The Secretary of State owns Network Rail—I know he probably does not want to but he does—and is personally responsible for its performance. The train operating companies work to a structure that is devised by the Government and supervised by the Government, and that does not work because the two halves have incompatible objectives. Does she agree that the sooner the train operating companies are brought into public ownership and a properly focused railway is created the better?
Baroness Sugg
It will not surprise the noble Lord to hear that I do not agree with him on that point, but I acknowledge that the rail system as it stands is not perfect. We have an ageing railway, which is at capacity. We need to look at how we run things and that is what we are doing through the rail review. It has been well over a decade since the last big change in the rail network. While we have seen record private investment and many more services, the system has of course had its challenges. We think that the time is right for a comprehensive review to ensure that our railways are run in the best way that they can be.
Baroness Randerson (LD)
My Lords, this is a specific example, but one of many that have been brought to my notice. In the three months leading up to Christmas, Southern Rail cancelled the Wallington to Victoria service 205 times and it was delayed 896 times. That is 1,101 times that passengers on that route faced disruption and misery. How can the Government justify a 3.2% fare hike on that route in the light of such appalling service—or are the Government not responsible for the fare hike either?
Baroness Sugg
My Lords, we have frozen fares in line with inflation, but I understand the frustration that people must feel when they have seen such significant disruption. We do of course have a compensation scheme that actually amounts to more than the rail fare freeze would be. On the particular line that the noble Baroness mentioned, London Victoria has 240,000 passengers a day. Over the Christmas and new year period, we did some work to improve reliability and make space for new services, and 99% of those engineering projects were completed on time. We installed new tracks, points, signalling and overhead structures to help improve the reliability of services at London Victoria.
Merchant Shipping (Recognised Organisations) (Amendment) (EU Exit) Regulations 2019
Baroness Sugg Excerpts(5 years, 3 months ago)
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Baroness Sugg
That the Grand Committee do consider the Merchant Shipping (Recognised Organisations) (Amendment) (EU Exit) Regulations 2019.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
My Lords, the draft regulations that we are considering will be made under powers in the European Union (Withdrawal) Act and are needed if we leave the EU in March without a deal.
Recognised organisations, or ROs, play an important role in ensuring that ships are built and maintained to operate in compliance with standards on safety and the prevention of marine pollution. They carry out these functions on behalf of maritime nations. In the UK, the Maritime and Coastguard Agency delegates about 85% of its survey work to ROs.
Globally, the International Maritime Organization develops rules on ROs. The IMO’s Recognized Organizations Code entered into force in 2015. The code contains criteria against which ROs are approved, authorised and assessed, and gives guidance on how flag states should monitor ROs.
The EU has adopted legislation to harmonise the way in which member states implement those IMO requirements. Under EU legislation, member states may delegate the inspection and survey of ships to EU-recognised ship inspection and survey organisations, or EU ROs, by authorising them to act on their behalf. At present there are 12 EU ROs. Six of them have been authorised to act on behalf of the UK. The Maritime and Coastguard Agency intends that these six ROs would remain authorised by the UK and be recognised as UK ROs following our exit from the EU.
The MCA regularly meets UK-authorised ROs and has kept them informed of these proposals. They have raised no objection and understand why the changes are needed to ensure that the UK continues to have a functioning statue book for the approval of ROs.
EU Regulation 391/2009 and related legislation established a system for approving ROs; criteria for assessing RO performance, which is based on IMO criteria; monitoring measures and remedial measures if ROs are underperforming, including fees and penalties and, finally, the removal of RO status.
The European Union (Withdrawal) Act retains in UK law EU directly applicable legislation, such as that on ROs. It makes provision in Section 8 to correct deficiencies in such EU legislation as arises from the UK leaving the European Union. We need to amend that retained EU legislation on ROs for the legislation to function correctly in the future. The regulations will therefore amend EU Regulation 391/2009 and subsidiary EU legislation, and they will make the changes needed to adapt an EU system for ROs to one that can function as a UK system after exit. The regulations will change references to “Member State” and “the Commission” to “Secretary of State” or “the United Kingdom” where appropriate, and they will change definitions and other wording to reflect the UK’s position outside the EU. Redundant reporting requirements have been removed.
Powers have been transferred from the European Commission to the Secretary of State in relation to standards for RO performance and to keep up with changes in the minimum performance criteria for ROs, especially in the light of IMO changes. In addition, the powers of the Commission to regulate in Article 14 of Regulation 391/2009 have been transferred to the Secretary of State. This will enable the Secretary of State to legislate in order to establish criteria to measure the effectiveness of the rules, performance and procedures of ROs and criteria to determine whether an RO’s performance is an unacceptable threat to safety and the environment. The Secretary of State will also be able to legislate to make and amend rules for imposing fines and penalties and ultimately for withdrawing recognition, and rules for interpreting the minimum criteria for ROs.
The regulations include provision to ensure that ROs that are, immediately before exit day, both recognised by the EU and authorised by the UK continue to be recognised after we leave. These ROs will become recognised directly by the UK and will continue to be authorised by the UK through new agreements to be put in place with the ROs before exit day. That will help provide ROs with certainty and clarity. Another transitional provision will ensure that ROs continue to maintain an independent quality assessment certification entity.
Commission Decision 2009/491 relates to using data from port state control inspections of ships to assess the work that ROs do. The regulations make changes to the decision to replace an EU procedure with powers to amend criteria for using port state control data. Article 8(1) of Regulation 391/2009 provides for assessment of ROs every two years by the Commission and the member state that put forward an RO for approval. The regulations retain the two-yearly assessment but transfer responsibility for it to the Secretary of State.
The regulations also transfer powers to review fines and penalties from the European Court to the UK courts by way of a statutory appeals procedure. Finally, they remove provisions relating to derogation from certain provisions of international law in Article 13(2) of Regulation 391/2009 and Commission Implementing Regulation 1355/2014. In the case of the latter, this has been revoked. The EU introduced these derogations on the basis that they appeared to be incompatible with EU law. We do not regard the provisions as incompatible with UK law and, as the UK did not lodge objections to them in the IMO, any attempt to derogate from them would be in breach of the UK’s international law obligations.
These regulations will be accompanied by Merchant Shipping Notice 1672. This provides information to the industry on the standards that ROs apply and on requirements for recognising, authorising and monitoring ROs. This shipping notice has been drafted and will be issued once the SI has been passed.
I should also mention Directive 2009/15, which governs the relationship between flag states and ROs. The UK implemented the directive administratively through formal agreements between the MCA and each RO. The directive will not be saved in UK law after exit. However, the MCA will put in place new arrangements with each RO when the regulations come into force. These will be very similar to the current arrangements between the MCA and the ROs but will reflect the changes made in these regulations.
The changes made in these regulations are needed to ensure that the law on recognising, authorising and monitoring ROs continues to function after the UK’s withdrawal from the European Union. This will enable the UK to continue to comply with its international obligations to ensure the safety of ships and the prevention of pollution. I beg to move.
Baroness Randerson (LD)
My Lords, these regulations involve ship inspections. The four sets of regulations this afternoon will lead me to repeat myself on a couple of occasions because the same themes come through in each one. All of them have safety issues at their core. The current EU-based system will be replaced with a UK-only system. As I understand it, it will continue to work within a system of international standards and the new legislation will retain existing criteria for the recognition, authorisation and monitoring of ROs: so far, so good. But ships move about and currently we have obligations to report to the EU to share information. How will this sharing happen effectively in future? Most of our ships will be sailing through EU waters at some point in their journey and many of the ships that visit our shores are EU ships. We need to know how that information is going to be shared in the future because of the safety implications.
The inspection of ships, both UK and foreign ones, is a key issue for the safety of ports. Therefore, I was quite surprised to read that there has been no formal consultation. Reasons were given on each of these SIs why there was no formal consultation. If you take the SIs together they are a pretty significant bundle of legislation and would be worth consultation in the round, if not as individual pieces of legislation.
It states in the Explanatory Memorandum that the Secretary of State will be given power to make subordinate legislation. Can the Minister clarify whether this will be an affirmative or a negative procedure?
Finally, the list of ROs we have been provided with makes for interesting reading. I do not in any way pretend to be an expert in these issues. Can the Minister enlighten me as to how this list is drawn up? How is this rather disparate list of organisations there and how do we change it? What are the criteria for changing it if we want to? I would be grateful for some information on that.
Baroness Sugg
I thank noble Lords for their consideration of these regulations. As I said, they will ensure continuity for ROs and the shipping companies which rely on their services and make no changes to the way in which ROs operate or to their relationship with the MCA.
The noble Baroness, Lady Randerson, raised safety, which is of course a priority. We are currently a member of the European Maritime Safety Agency. We want to continue our close working with the EMSA after we leave the EU. The political declaration recognised that the EMSA and the MCA should continue to share data in a future relationship. In the event of no deal, we still hope to continue that relationship, but it will be subject to negotiations. Where the MCA may need to cover a role currently played by the EMSA, it has contingency plans for doing so.
No formal consultation on this statutory instrument was done, as the noble Baroness pointed out. The MCA has a close working relationship with the ROs. It authorises them, meets them regularly and has discussed with them the content of the instrument. As I said, they recognise that the aim of the regulations is to maintain the status quo as far as possible. The regulations will have no impact on the working of ports. We have had no specific discussion with ports on the regulations, but obviously we do that as part of our wider work on EU exit.
On the Secretary of State’s powers, secondary legislation that amends the criteria that ROs must meet to continue to enjoy recognition, the system of fines and periodic penalty payments or any withdrawal of recognition is subject to the affirmative procedure. Secondary legislation on interpreting the criteria for assessing RO performance and the effectiveness of their rules or amending the criteria for use of port state control inspection data for assessing unacceptable levels of performance by ROs is subject to the negative resolution procedure.
On how we approve ROs, the list is slightly disparate, as the noble Baroness pointed out—I had not seen it myself before getting to know these regulations. There is an EU list and, from it, the UK recognises six ROs. The MCA enters a formal agreement with each RO acting on behalf of the UK and assesses those ROs periodically. It is a long-standing list, but it is possible to change it and if people wish to apply, we will certainly consider that.
In response to the points made by the noble Lord, Lord Tunnicliffe, this applies to all the regulations we will be discussing today and perhaps tomorrow. It is a no-deal SI. During an implementation period, the SI will not be needed because the withdrawal agreement provides that EU law should continue to have the same effect in the UK as in the EU during that period. The EU withdrawal agreement Bill will be introduced as soon as possible and, as we set out in the White Paper, we will make provision to defer, revoke or amend any SIs that are made but then not needed during an implementation period if a deal is secured. The same applies to the rest of the SIs that we will be discussing.
On the relationship between recognised organisations, the EU and the IMO, we have authorised six ROs which are recognised by the EU. The relationship between the UK and the ROs will not change and there will be no change in the relationship between the UK and the IMO. The ROs will carry out the same inspections and surveys on UK ships as they do now. The only changes are to reflect the UK’s status outside the EU; for example, the EU will take over responsibility for monitoring and assessing its authorised ROs.
The IMO sets the global framework for maritime safety and security and the prevention of marine and atmospheric pollution by ships. Its recognised organisation code contains those criteria and the UK is a signatory to the IMO convention that implemented the RO code. The difference, I suppose, is that, while the relationship between the UK and IMO will stay the same, there will not be that relationship with the EU; at the moment, ROs are approved or recognised at EU level. Since the IMO conventions came in, the EU has harmonised them; we will be removing ourselves from that harmonisation and recognising ROs ourselves. After exit, decisions on recognition of new ROs and evaluations of the performance of existing ROs, which were previously made by the EU, will now be made by the Secretary of State. There will be no change in our relationship with the IMO.
I hope that I have answered all the questions; if not, I will follow up in writing.
Ship and Port Security (Amendment etc.) (EU Exit) Regulations 2018
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Baroness Sugg
That the Grand Committee do consider the Ship and Port Security (Amendment etc.) (EU Exit) Regulations 2018.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
My Lords, these draft regulations will be made under the powers conferred by the European Union (Withdrawal) Act 2018. The regulations make appropriate amendments to ship and port security legislation following the conversion of EU Regulation 725/2004 into domestic law on exit day.
The UK maritime sector is thriving. We are one of the largest flag states, have one of the largest ports industries and attract significant investment. We lead the world in many areas of maritime business services, education and research. These regulations will make necessary and appropriate amendments to existing ship and port security legislation so that the current regime of protective security on board ships and at UK ports continues to operate effectively following the United Kingdom’s withdrawal from the European Union.
International agreements and European legislation form the bedrock of the well-established regime of ship and port security which currently exists in the UK. The UK is a contracting party to the IMO’s Safety of Life at Sea (SOLAS) Convention. In response to the perceived threats to ships and port facilities following 9/11, the International Ship and Port Facility Security (ISPS) code was adopted under SOLAS. This code established a range of protective security measures which are required to be put into practice on ships and at ports, to protect vital infrastructure and people from acts of terrorism or violence.
The code is set out in two parts. Part A includes a number of mandatory provisions for signature states. Part B contains measures which were intended as guidance for states to consider implementing, aimed at enhancing the security of ships and port facilities. In 2004 the convention and code were given a basis in EU law by Regulation (EC) 725/2004. This regulation provided for the harmonised implementation of the convention and ISPS code both within and across EU member states. It made the provisions of Part A and certain specific elements of Part B of the ISPS code mandatory for implementation within all EU member states. That EU regulation is directly applicable in UK law but was further implemented, in so far as it was necessary to do so, in domestic legislation by the Ship and Port Facility (Security) Regulations 2004.
The 2005 ports security directive further complements the security measures introduced by the EU regulation by expanding the area of a port which is subject to a protective security regime. The directive was transposed into UK law by the Port Security Regulations 2009 and 33 separate designation orders which define the boundaries of ports across the UK. The existing legislative regime ensures that proportionate security measures are in place on board ships and at the UK’s maritime ports.
On withdrawal day, the regulation will be converted into UK legislation. To ensure that the retained EU law functions effectively, a number of changes are required to the text of Regulation (EC) 725/2004, the Ship and Port Facility (Security) Regulations 2004 and the Port Security Regulations 2009. The changes are being made to ensure that the existing regulatory framework of ship and port security continues to operate. The policy behind these changes is that in the UK there should be no practical change to, or noticeable impact on, how the industry operates an effective protective security regime on a day-to-day basis.
Most of the changes which are being made are relatively minor. Some involve the restatement of retained EU law in a clearer or more accessible way to make it fit for purpose within domestic legislation. These draft regulations remove from the legislation inappropriate language or phrases, such as “Member State” or “the Commission”, which will no longer be appropriate, and they also remove obligations placed on the UK by virtue of it being a member of the EU—for example, to provide particular information to the Commission.
The draft regulations also revoke Regulation (EC) 324/2008 which established procedures across the EU for the Commission to conduct inspections of UK ships and ports. Inspections of UK ships and ports by Commission inspectors will be neither required nor appropriate following EU withdrawal, when the Department for Transport and the Maritime and Coastguard Agency will continue to deliver the well-established programme of ship and port inspections to ensure that the required security standards are being met.
The draft regulations also include provision for three more detailed but equally necessary corrections to the existing legislation. First, they amend Article 3 of Regulation (EC) 725/2004 in relation to domestic vessels. The amendment remedies a deficiency and makes the law more accessible by including a specific reference to the categories of domestic vessel that fall within the scope of the EU regulation. This does not alter or impact on current administrative practice or the categories of domestic vessel to which the legislation currently applies or on how the vessels are required to comply with this legislation.
Secondly, the draft SI includes a provision to enable the direct application of future amendments made to the ISPS code. That will allow the legislation to keep in step with future changes and ensure that the UK meets its international obligations. The current text of Regulation (EC) 725/2004 already allows for the legislation to remain in step with any changes that are made at the international level to SOLAS and the ISPS code. The purpose of the amendments made by this draft SI is to allow the retained EU legislation to continue to remain in step with the UK legal framework.
However, as part of this provision, the Secretary of State will have the power to exclude any such change relating to international shipping by the making of regulations—something that is currently done by the Commission—if it is determined that there is a manifest risk that implementation would lower the standards of the UK’s maritime security regime. Any future regulations made in this regard by the Secretary of State would be subject to the negative parliamentary procedure.
Finally, the Port Security Regulations 2009 contain references to Section 2(2) of the European Communities Act 1972, which will no longer be in force on exit day. To fix this deficiency in the legislation and to ensure that the Secretary of State can continue under that legislation to define or amend the boundaries of particular ports, these draft regulations rely on powers within the European Union (Withdrawal) Act to confer on the Secretary of State powers to continue to update or amend that existing suite of legislation. This power would be used, for example, when a port boundary changed or new ports came into existence.
The amendments made to the Port Security Regulations 2009 will ensure that the Secretary of State can continue to discharge all his statutory duties. Not conferring this power on the Secretary of State would effectively create a situation where the existing legislative regime would be frozen in time and any required updates could not be made because the current legislation only provides for this to be done through an order made under Section 2(2) of the 1972 Act.
The power to make regulations conferred on the Secretary of State in the draft regulation will maintain the effectiveness and operability of the current ship and port security legislation following EU withdrawal. The power will ensure the continued discharge of the Secretary of State’s existing obligations as set out in the Port Security Regulations 2009, and will be exercisable in the same manner and subject to the same conditions as prior to EU withdrawal.
Changes which are made to this legislation will be subject to the negative parliamentary procedure as they were before when the changes were made under Section 2(2) of the European Communities Act 1972. The consequence of not having this power is that the existing port security regime will cease to operate effectively following EU withdrawal, which could present risks to security.
In conclusion, the draft regulations are intended to make changes which will ensure that the current legislative regime for ships and ports is able to operate effectively and continues to meet the UK’s maritime security requirements following EU withdrawal. I beg to move.
Lord Tunnicliffe (Lab)
My Lords, once again I thank the noble Baroness for introducing this instrument. I have subjected it to my standard test: is it the minimum policy change required? I also have to admit that I did not understand the overall framework, but that is my fault. I know about aeroplanes and trains, but the sea is a mystery to me. What I have picked up from the instrument is that SOLAS with its ISPS code is an international convention. Is it the case that the international body hands down specifications and requirements that it has previously put through the EU and in the future will make directly to the UK? Are such directions and recommendations mandatory for the UK except as excepted by this instrument?
Baroness Sugg
My Lords, I thank noble Lords once again for their consideration. As with all of these SIs, our EU exit is not going to mean that co-operation with EU member states on matters of national security will cease. We will continue to work with the EU and our international partners where appropriate on all matters relating to maritime security.
As regards the devolved Administrations, port and ship security is not a devolved matter, but as the noble Baroness has pointed out, there are ports across the United Kingdom so we have engaged with the devolved authorities in Scotland, Wales and Northern Ireland on the proposals in this draft SI and they have been supportive of them.
I turn now to SOLAS and the ISPS code. The UK is a contracting party to the Safety of Life at Sea convention, which is an international convention. The International Ship and Port Facility Security code was adopted under SOLAS. That code has established a range of protective security measures which should be put into practice at ports. Following that, the EU regulation made the provisions in Part A and specific elements in Part B mandatory for all member states, which I went through in my opening speech. Following the conversion of EU law into UK law, they will be directly applicable.
Lord Tunnicliffe
Perhaps I may ask a question as a point of clarity. I have some trouble in seeing what the role of the EU is now if SOLAS hands down a set of rules and we are a contracting state. Are we not required to do that by virtue of being a contracting state whether the EU is there or not? The only role that emerges from this is the ability to reject a rule if it comes under the conditions set out. That was previously exercised by the EU but in future it will be exercised by the Secretary of State. I do not see, other than in a role of co-operation, what the EU’s role is now. I do not see what “taking it away” actually means.
Baroness Sugg
I suppose the role of the EU is that we currently implement the requirements under EU law. Following the withdrawal Act we will implement them under UK law rather than EU regulation. The standards will stay the same: the international standards will automatically go through legislation. We will accept the standards apart from the exception that the noble Lord pointed out.
The noble Baroness asked about negative and affirmative procedures. The negative one is appropriate because the regulations can be made only to prevent standards of security being lowered by the international amendment.
The existing legislative regime for the security of ships in ports, as I said, was based on UK regulation and the EU regulation-implemented parts of ISPS and the SOLAS convention. After withdrawal, all existing European legislation that is currently applicable will become part of the UK statute book.
I hope that I have managed to address the points made by noble Lords but if have failed to do so I will follow up in writing. Perhaps I will follow up in writing just to set out more clearly the exact relationship between the SOLAS convention and the UK and further to clarify the negative procedure point.
The current legislative and protective security regimes operate effectively and the draft regulations will simply make appropriate changes that will become the retained suite of protective ship and port security legislation when the UK exits the European Union. I hope that noble Lords will join me in supporting these regulations. I beg to move.
Merchant Shipping and Other Transport (Environmental Protection) (Amendment) (EU Exit) Regulations 2018
Baroness Sugg Excerpts(5 years, 3 months ago)
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Baroness Sugg
That the Grand Committee do consider the Merchant Shipping and Other Transport (Environmental Protection) (Amendment) (EU Exit) Regulations 2018.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
My Lords, as well as speaking to these regulations, if it is convenient I will speak also to the draft Ship Recycling (Facilities and Requirements for Hazardous Materials on Ships) (Amendment) (EU Exit) Regulations 2019. The regulations are made, for the most part, under the EU withdrawal Act. The Act retains EU-derived legislation in UK law. It also makes provision in Section 8 to correct deficiencies in such EU-derived legislation that arise from the UK leaving the EU.
There are some changes made under Section 2(2) of the European Communities Act. These update references to an EU directive on sulphur emissions from ships and correct an out-of-date reference to the EEA agreement in the Transport and Works Act 1992.
Turning to the regulations themselves, both make changes to ensure that legislation on environmental pollution continues to work after we leave the European Union. The environmental protection regulation makes changes in three areas of legislation on transport and the environment—specifically to legislation on air pollution controlling sulphur dioxide emissions from ships; legislation on substances used to prevent the fouling of ships’ hulls, and transport and works legislation in relation to environmental impact assessment.
The amendments in these regulations are technical. There are no policy changes, and there is no reduction in the environmental standards or, indeed, the obligations to which the UK is currently subject. The regulations will change references to “Member State” and “the Commission” to “Secretary of State” or “the United Kingdom” where appropriate. The regulations change definitions and other wording to reflect the UK’s position outside the EU.
I turn to the control of sulphur emissions from ships. Noble Lords will be aware of the importance of action on air pollution. The UK supports the IMO’s new global limit for sulphur emissions from ships, which comes into force on 1 January 2020. The UK has recently published a clean air strategy, which aims to cut pollutant emissions in half by 2030 and my department has also established the Clean Maritime Council, where key stakeholders are encouraging the development of green technology. We are planning to publish a clean maritime plan this spring, which aims to reduce both pollutant and greenhouse gases from shipping.
These regulations make changes to The Merchant Shipping (Prevention of Air Pollution from Ships) Regulations 2008 and Commission Implementing Decision 2015/253. The changes are made only to ensure that the legislation remains operable, and the regulations will ensure that the UK continues to recognise methods of abating emissions of airborne pollutants that are approved by EU member states. They also ensure that recreational and pleasure craft will continue to benefit from certain exemptions in respect of diesel engines.
Lord Tunnicliffe (Lab)
My Lords, I thank the Minister for presenting these two SIs. I also thank the noble Baroness, Lady Randerson, for her points. She has stolen most of my best lines and, in light of the hour, I will try not to be too repetitive. I hasten to add that I am very happy to hear all her questions answered but please disassociate me from anything to do with Northern Ireland.
We seem to be in a rather different position here. On virtually everything we have discussed today there has been a pretty sound EU position that we are just trying to transfer across. My sense is that we do not have a pretty sound EU position when it comes to these instruments. Therefore, how we manage the future and how these instruments impact on the future are extremely important.
I will be brief. The first instrument covers sulphur standards, anti-fouling and environmental impact standards. The overwhelming, important one is the issue of sulphur dioxide pollution. I hope the noble Baroness can give some response. It seems to me that it has to be international. When the gas is released, it will go where it goes. Therefore, we need to understand how decisions about the concentration of sulphur in fuels are managed, the areas of the world that are covered and the testing techniques—particularly the position about the Irish Sea, which seems to be an anomaly. There is also the matter of agreeing standardisations for abatement technologies for sulphur dioxide. Once again, those sorts of issues really need international agreement. Can the Minister give me some feel of the situation we will be left in if we leave the EU without an agreement and this instrument becomes applicable?
In passing, I would also like to mention SafeSeaNet. It seemed a wacky sort of title so I googled it. It is clearly a very important facility and without it it is difficult to see how we can discharge the responsibilities we take over, particularly in sulphur standards.
The anti-fouling part of this seems relatively straightforward and I do not have any questions on it. I am not entirely convinced that the environmental impact assessment is a consequence of leaving the EU. It seems to me that the Government are tidying up pieces of domestic legislation and perhaps smuggling it through. I am sure I have misunderstood that but I feel a duty to ask the question.
Finally, the points raised by the noble Baroness, Lady Randerson, on ship recycling are very important. In the past this has been a dreadful area of activity in the world. The EU initiative is a commendable step forward in tidying it up. It is very important to understand how we will be involved in the future. I hope the Minister will be able to assure us that we will go into this new era—if we are forced into it—on the front foot to get these standards improved and, what is more, to continue to participate with other countries to make sure they are international standards so the whole world can share the benefits of proper controls.
Baroness Sugg
I thank noble Lords for considering these draft regulations. I will attempt to answer as many questions as I am able to and will follow up in writing if I do not get to any. I absolutely agree with the noble Lord’s point that these environmental measures are needed across international boundaries. That is why we are seeing international action through the IMO, such as the higher global sulphur standard, which comes into force next year. We will continue to play a leading role in the IMO in the development of those environmental measures and also continue to co-operate with other countries on the enforcement of such measures through our membership of the Paris MoU on port state control.
We support the new global limit on the sulphur content of fuel of 0.5% on 1 January 2020. The UK, along with other states, is assisting the IMO to develop best-practice guidelines for ship owners and operators and all suppliers. Since 2015, ships inside the emissions control area—the North Sea and including the English Channel but not the Irish Sea—have been limited to 0.1% sulphur unless they use an exhaust gas cleaning system or alternative fuel. Under our recent clean air strategy, we are considering options for extending that current emission control area in the North Sea to other UK waters such as the Irish Sea. The UK’s position on sulphur standards, and the inspection regime, will not be changed by EU exit. We have committed to taking further action on that in the clean air strategy.
The standards and testing regimes for the future are agreed at the IMO—again, that will not change after we leave the EU. Other organisations such as fuel suppliers and the International Organization for Standardization will be involved in those discussions—as will the UK. There are separate EU targets for the number of ship inspections and fuel samples which member states need to take annually, and which we have retained.
The instrument provides for the continued recognition of the emission abatement methods approved by EU member states, and most equipment is approved at the IMO level. Member states are allowed to trial new and innovative technology which does not have the formal approval of the IMO; in practice, we expect most systems of emission abatement technology to be built to meet the IMO type requirements, which we would follow.
I note the question from the noble Baroness, Lady Randerson, about whether the consultation would be with member states or the Commission. The consultation mentioned in paragraph 7.3 relates to the consultation on the environmental impact of projects being consented under the Transport and Works Act, and I confirm that the requirement, where a project could impact another member state, is to consult with the appropriate authorities and bodies of the individual countries concerned, not the Commission.
On SafeSeaNet, which both the noble Lord and the noble Baroness referred to, we will continue to share data. Through the Paris MoU THETIS system, countries share data from port inspections. Currently, we send data to THETIS through the EMSA SafeSeaNet system. In a no-deal scenario, the MCA will simply send the data directly to the THETIS system. That is why we have removed references to SafeSeaNet from the regulations. We will absolutely continue to share IMO compliance information through THETIS.
The noble Lord referred to environmental impact assessments, which are outside the EU withdrawal Act. I will say a few more words about that in an effort to explain our actions. The two minor amendments being made under powers other than the EU withdrawal Act are under Section 2(2) of the European Communities Act, and the amendment to Section 6(A) of the Transport and Works Act 1992. That updates an out-of-date reference to the EEA agreement, and we need to make that correction now using the power under the ECA Act before it is repealed under the EU withdrawal Act, so these are consequential amendments.
Consultation is slightly different with the Welsh and other devolved Governments. That is because some of the regulations in the environmental protection regulations amend the transport and works legislation. That was originally made in 1992 and is applicable to England and Wales only and operates in areas which are now devolved. As such, we have been required to consult with the Welsh Government. The rest of the instrument is UK-wide but, as I said before, we are in regular contact with the Scottish Government on all SIs, including this one.
On the new UK list for recycling facilities, both the European and the UK list have the same standards on accepting new facilities and have the same criteria for approval. We expect the two lists to remain closely aligned on that. It is possible that new ship recycling standards, if the EU brought them about and the UK wanted to mirror them, could be replicated through the pollution powers in the Merchant Shipping Act.
On the question of Northern Ireland, the legislation does not make any changes in relation to cross-border requirements after we leave the EU and therefore, in a backstop scenario, there would be a UK list rather than the EU list. I believe that the backstop would apply only to the land border in this situation and there would be no impact on operations there.
We think that UK shipyards will continue to be on the European list of ship recycling facilities after we leave the EU. The noble Baroness pointed out that there were other non-EU member states facilities on the list. Turkish and US yards are listed as non-EU recycling facilities.
I think that I have covered most of the points but I will go through my response and the questions raised carefully to make sure that I have covered them all. This SI is intended essentially to ensure that the legislation on environmental protection and ship recycling continues to work effectively from day one of exit, and I hope that it will receive noble Lords’ support.
Baroness Randerson
I thank the noble Baroness for her comments. I will read what she has said very carefully but I remain concerned and I think I should warn her that I might raise these issues again when the regulations go before the House for approval.
Baroness Sugg
I thank the noble Baroness for her comments. As I said, I will go through the points raised in more detail and will write to her in an attempt to provide reassurance.
Drones
Baroness Sugg Excerpts(5 years, 3 months ago)
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Baroness Randerson
To ask Her Majesty’s Government what progress they have made towards introducing new regulations on the use of drones.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
My Lords, the Department for Transport introduced legislation last year which made flying a drone above 400 feet or within 1 kilometre of an airport boundary an offence. We also introduced regulations for compulsory registration and testing for drone users, which come into effect in November. Earlier this month, we announced measures to extend the airport flying ban to include aerodrome traffic zones and additional 5 kilometre extensions from the ends of runways. We also announced new police powers to tackle drone misuse, including the ability to issue on-the-spot fines.
Baroness Randerson (LD)
Can the Minister explain why compulsory registration of drones has to wait until November? Why can it not happen now? The Gatwick incident demonstrated that no one really knows who is in charge. Is it the Department for Transport, the Home Office or the MoD; is it the police, the Army, the CAA or the airport itself? That is one reason why it took so long to deal with. Whose responsibility will it be the next time it happens?
Baroness Sugg
On the timing of the registration system, since we put the requirement into law last May, the CAA has been working to develop and build an online registration and testing system. It is of course important that we get the IT system right: we expect thousands of people to use it and we want it to be easy to use and future proof, as we expect rapid growth in the sector.
It is fair to say that many lessons were learned from the Gatwick incident. The police at the airport initially led the response, but I can certainly assure the noble Baroness that across the Ministry of Defence, the Home Office and the Department for Transport, we will continue to ensure that we react rapidly to future incidents.
Lord Harris of Haringey (Lab)
My Lords, the lessons are always learned after incidents of this nature. In previous answers, the Minister told us that the Department for Transport was not happy that any of the technological solutions were necessarily perfect. Is the perfect not the enemy of the good? Today, we were told by easyJet that the disruption at Gatwick cost it £15 million. Other airlines and the airport operators will have had similar costs, and of course, the public and business faced costs too. What estimate has the department made of the costs associated with these slightly less-than-perfect technological solutions? What would it cost to equip a single airport with that technology, compared with the losses incurred?
Baroness Sugg
My Lords, advancing counter-drone technology is a complex challenge, and I think it fair to say that there is currently no silver bullet in that regard. A number of products are available; when taken together, they can mitigate against a drone. We are working closely with airports to ensure that they have the appropriate measures in place. We also continue to test and evaluate the safe use of a range of counter-drone technologies, and we are looking at future options. This crucial technology will detect drones flying around sensitive areas, airports and other parts of critical national infrastructure. The noble Lord rightly highlighted the economic cost involved; he can rest assured that we are doing everything we can to protect against future drone incursions.
Baroness Hooper (Con)
My Lords, I draw attention once again to the Lords EU Committee’s report, which was published in 2017 and subsequently debated in your Lordships’ House. How many of the recommendations made in that report have been followed through by the department?
Baroness Sugg
I thank my noble friend for highlighting that excellent report. We have taken forward a number of measures and continue to do so. We are working closely with the European Aviation Safety Agency, and have been for some time, on a comprehensive set of regulations for unmanned aircraft. That will put in place a new framework for regulations and mandate the product standards for drones, such as geo-fencing and electronic conspicuity.
Lord Tunnicliffe (Lab)
My Lords, does the Minister believe that the measures debated in the recent consultation are sufficient to address incidents such as the one that occurred at Gatwick this winter? Specifically, does she intend to include measures in the draft Bill to clarify who should have the authority to disrupt or destroy a drone?
Baroness Sugg
My Lords, as I said, the challenge is complex and we need to bring many different things into force. We have already brought in measures to make illegal the flying of drones such as we saw at Gatwick. New police powers on that will be included in the draft Bill. As I said, the Home Office continues to test and evaluate the use of counter-drone technology. That has safety implications, of course, so we need to be sure that we get it right.
Lord Dobbs
Listen. Does my noble friend agree that Brexit is likely to cause less disruption than one non-existent drone, and that the only things falling out of the skies are the predictions of those who prefer to embrace anxiety rather than rational analysis?
Baroness Sugg
My Lords, I should take this opportunity to thank the staff of easyJet, at Gatwick and everybody else who was involved in the significant disruption, which affected more than 100,000 passengers. As my noble friend would expect, we are working closely with easyJet and everybody in the aviation sector on Brexit. As easyJet said, it is confident that flights will continue, and we share that confidence.
Lord Bradshaw (LD)
I sat through the debate on the drones Bill, although I did not take part, and it was evident throughout it that the Government were thoroughly complacent. They brushed away many of the pleas from people in the armed services and people experienced in civil aviation. Will the Minister confirm that the Government are taking this matter really seriously and, instead of taking the libertarian view that drones can go anywhere, realise how dangerous they are?
Baroness Sugg
My Lords, I can certainly reassure the noble Lord that we are taking this incredibly seriously and have been for some time. As noble Lords can imagine, following the Gatwick incursion—the first time globally that we saw such activity—we continue to take it very seriously. Drones are not allowed to fly just anywhere; we had already brought in laws on that last year, and we plan to extend them. We are also bringing in registration and competency tests, introducing powers to help police investigate and issue fixed-penalty notices, working on a counter-drone point, introducing geo-fencing and electronic conspicuity, and working closely on the communications campaign to ensure that all people who fly drones—the vast majority do so safely and responsibly—are fully aware of the law.
Brexit: Cross-Channel Transport
Baroness Sugg Excerpts(5 years, 3 months ago)
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Baroness Smith of Basildon
To ask Her Majesty’s Government what assessment they have made of post-Brexit cross-channel transport planning exercises.
The Parliamentary Under-Secretary of State, Department for Transport (Baroness Sugg) (Con)
My Lords, the Department for Transport is undertaking a comprehensive and wide-ranging programme of work to ensure that we are prepared for the UK leaving the European Union. We will continue to work closely with other departments across government and with stakeholders to ensure appropriate contingency plans are in place for post-Brexit cross-channel transport. Until an agreement is reached, the Government will continue to plan for all eventualities.
Baroness Smith of Basildon (Lab)
My Lords, 90% of UK trade is handled by our ports, so the Minister is right that Brexit planning is essential. But we had the farcical Manston exercise in which 89 lorry drivers pretended to be a Brexit convoy to Dover, where they take about 10,000 lorries a day; the Government have given a multimillion-pound ferry contract to a company with no ships, no staff, no premises and no port agreements; and the Road Haulage Association estimates that new documentation could take eight hours per truck. Do the Government have any further exercises like Manston planned, and how confident can the Minister be that those exercises help prepare for Brexit day? How confident is she that all these issues will be resolved by 29 March? Finally, is it not now essential that the Government rule out a no-deal Brexit?
Baroness Sugg
My Lords, the noble Baroness is quite right to point out the focus we need to put on the short straits, and that is what we are doing. As she pointed out, we carried out a live test at Manston on 7 January. Despite what noble Lords may have read in the papers, we can confirm that there were enough vehicles there to ensure the trial was successful, and it achieved its objectives. It was a useful exercise in helping us to understand the effect of potential traffic on that route and to ensure that both local traffic and freight can continue to flow. Of course, we will continue in our preparedness. Just last week, with 180 local attendees we carried out a tabletop exercise designed to explore some worst-case scenarios. If they are needed, all our arrangements for traffic management in Kent are fully functional.
Earl Attlee (Con)
My Lords, does the Minister agree that it would be foolish indeed not to test and exercise a novel logistics system? Were sufficient vehicles available to test the flow rate through choke points in the new system?
Baroness Sugg
I agree with my noble friend. It is essential that we continue this contingency planning. The key local stakeholders in that case, in particular Kent Police and Kent County Council—we are also working closely with the Kent Resilience Forum on this—obtained the test results they wanted and were satisfied with the outcome, with Kent County Council describing it as a really helpful exercise.
Baroness Randerson (LD)
My Lords, Eurotunnel alleges that the Department for Transport’s agreements with the ferry companies compromise its contract with the Government. In reply to my Written Question, the Minister denied that but did not give any reason for that denial. What assessment have the Government undertaken of the impact on the Channel Tunnel of additional ferry services which, unlike existing ferry services, will be subsidised by the Government?
Baroness Sugg
My Lords, as you would understand, we have received numerous representations about the contract—not surprisingly, given the urgency of the procurement. We consider the contracts to be entirely consistent with the Government’s agreement with Eurotunnel. The contract was awarded under the procedure provided for in Regulation 32 of the Public Contracts Regulations 2015, which implement the EU requirements. As the noble Baroness would expect, we are also working closely with Eurotunnel on plans for when we leave the European Union.
Lord Campbell-Savours (Lab)
My Lords, will the Government subsidise the dredging of Ramsgate harbour? Also, to what extent are they relying on pre-lodged customs declarations to avoid delays at ro-ro ports?
Baroness Sugg
My Lords, the department is in discussions with Thanet District Council and Seaborne Freight to agree funding on the arrangements for the infrastructure works at the port of Ramsgate. On the customs modelling, as the noble Lord would expect, we have modelled the customs arrangements extensively. Of course, in the event of no deal it is up to the European Union what will be imposed by EU member states on the EU side of the border, and we are working closely with the French authorities to ensure that any disruption is kept to a minimum.
Lord Cormack (Con)
My Lords, where will the tabletop exercise take place? Will the table be square or round? Are we accompanying it with a bathtub exercise to double up on Ramsgate?
Baroness Sugg
My Lords, the tabletop exercise has already taken place; it took place on 10 January and had 180 local attendees, so I am not sure how large the table was. The important thing is that we are ensuring that we work with all stakeholders who will be affected by this. We have been clear that in the event of no deal there will be some disruption and that is why we are working closely with all stakeholders and, indeed, France to ensure that we minimise that disruption.
Lord Berkeley (Lab)
My Lords, has the Minister consulted the port of Ostend over this new ferry-less service from Ramsgate? Is she aware that the mayor of Ostend said last week that he would not accept a ferry under any circumstances due to the cost of security?
Baroness Sugg
My Lords, the port of Ostend is an operational ro-ro port, but nevertheless improvements are naturally required in order to bring all the necessary facilities up to date for the reinstatement of the Ramsgate route. The Government have no plans to provide any funding to the port of Ostend: that is a commercial matter for the port and for Seaborne.
Lord Naseby (Con)
Is it not a fact that for our major hauliers in the west and east Midlands, who can either go south or north with their goods, not a single lorry leaves the depot until it is cleared by computer software? Once it is cleared they set off, so the scale of the problem is not as others would believe it might be.
Baroness Sugg
My Lords, we have focused on the areas where we expect there could be the most disruption and our priority is to minimise disruption at Dover and on Eurotunnel. That is because those are unique: they have the largest volume of traffic on the short straits and have juxtaposed border controls. The turn-up-and-go system that my noble friend refers to at all other ports means that all vehicles must have pre-bought tickets, so we expect much less disruption there.