Rolls-Royce

Lord Ravensdale Excerpts

Wednesday 14th October 2020 Lords Chamber

[Lord Callanan (Con)]

I congratulate the noble Lord on getting the Royal Navy, a matter close to his heart, into his question again. But to be serious, I agree that we need to develop the next generation of small modular reactors, and we are providing support to enable that to happen.

[Lord Ravensdale (CB) [V]]

My Lords, I declare my interest as in the register. The East Midlands, where Rolls-Royce has its headquarters, has the lowest public sector research and development spend in the UK, at £83 per head. R&D and the skilled jobs that it generates are essential to the levelling-up agenda. What plans do the Government have to increase R&D spend in the Midlands, making the most of its strengths in the rail, aerospace, nuclear and other vital sectors?

[Lord Callanan (Con)]

We are happy to support good R&D projects. Rolls-Royce is a major beneficiary of our R&D support operations through the £1.95 billion Aerospace Technology Institute programme. It is also one of our largest UK investors in R&D.

Energy White Paper

Lord Ravensdale Excerpts

Monday 28th September 2020 Lords Chamber

[Lord Callanan (Con)]

The noble Baroness makes a very good point. As I am sure she is aware, we have created a carbon capture and storage infrastructure fund of at least £800 million to establish at least two UK sites—one by the mid-2020s and the other by 2030—and £500 million to help energy-intensive industries to move to low-carbon techniques and decarbonise carbon-intensive regions such as Humberside.

[Lord Ravensdale (CB)]

My Lords, I declare my interests as in the register. Given that we are unlikely to achieve net zero without nuclear power, which is critical to the security of thousands of jobs across the regions, I am concerned that the White Paper will contain only a broad outline of the strategy for new nuclear. Will it set out in detail clear guidance on financing, for example a commitment to a RAB model, to give the sector the clarity it needs to progress?

[Lord Callanan (Con)]

The White Paper will look at the whole system of energy within the UK as part of our commitment to net-zero carbon emissions by 2050. I reaffirm the key role that nuclear will play as part of that future energy mix. I can tell the noble Lord that we will respond to the RAB consultation in due course.

Energy: Hydrogen

Lord Ravensdale Excerpts

Thursday 17th September 2020 Lords Chamber

[Lord Callanan (Con)]

The Hydrogen Advisory Council has already been established and is meeting. My noble friend is entirely correct that hydrogen will play a key role in our decarbonisation efforts. We will want to set that out fully before the COP in 2021.

[Lord Ravensdale (CB) [V]]

My Lords, I declare my interests as in the register. Currently the major basis for hydrogen production, as other noble Lords have said, is steam methane reforming, of which CO₂ is a by-product. It requires the successful deployment of CCS, which is a high risk from an engineering and commercial perspective. Does the Minister agree that a drive in research and development towards non-methane reforming sources of production needs to be a major priority?

[Lord Callanan (Con)]

I agree that we need to look at all available technologies for the production of hydrogen, whether blue or green, including electrolysis and other methods. It will be a key fuel for our decarbonisation efforts and we need to consider all available technologies.

Renewable Energy

Lord Ravensdale Excerpts

Tuesday 15th September 2020 Lords Chamber

Asked by

[Lord Ravensdale]

To ask Her Majesty’s Government what assessment they have made of the updated recommendations from the National Infrastructure Commission that the United Kingdom should aim to meet two-thirds of its electricity needs using renewable energy sources by 2030.

[The Parliamentary Under-Secretary of State, Department for Business, Energy and Industrial Strategy (Lord Callanan) (Con)]

My Lords, we welcome the recent NIC report and will consider its recommendations. The Government are committed to reaching net zero through a sustainable, diverse and resilient energy system. This will require significantly increased renewables deployment. Renewables are on track to deliver the majority of electricity by 2030, having reached nearly 50% in the first quarter of this year. The energy White Paper will set out plans to further accelerate renewables deployment.

[Lord Ravensdale (CB)]

I declare my interests, as set out in the register. I thank the Minister for that response. Given the NIC’s findings that increased earlier investment in renewables can be delivered at the same overall cost, meeting half only of total demand by 2030, and will not increase costs for consumers, can the Minister give assurances that the Government will prioritise investment in the UK’s world-leading renewables sector in the forthcoming spending review?

[Lord Callanan (Con)]

The noble Lord will understand that the spending review is of course a matter for the Treasury and that I cannot comment ahead of its decisions. However, we are prioritising investment in the renewables sector. We are accelerating new capacity through the contracts for difference scheme, which gives us certainty to drive private sector investment and has been very successful in driving down costs.

Environmental Projects

Lord Ravensdale Excerpts

Thursday 2nd July 2020 Lords Chamber

[Lord Callanan]

I welcome my noble friend back to the Chamber. I agree with her that we are committed to building back better and greener. I am sure the overseas territories will have an important role to play in that, and of course we will consider requests for funding from them.

[Lord Ravensdale (CB) [V]]

My Lords, while the establishment of a Cabinet committee on climate change is welcome, we need to do more to embed climate consideration in policy-making across government and consider the systems nature of net-zero delivery. Will the Government consider establishing a cross-departmental body to oversee the delivery of net zero and mitigate the siloed thinking inherent in individual departmental responsibilities?

[Lord Callanan]

The noble Lord is correct: the net-zero challenge is fundamentally cross-cutting. That is why in the run-up to the COP 26 summit we will bring forward ambitious plans across key sectors of the economy, including an energy White Paper, a transport decarbonisation plan and a heat and building strategy. We need to avoid siloed thinking in government across these endeavours.