Oral Answers to Questions Debate

Full Debate: Read Full Debate

Oral Answers to Questions

Amber Rudd Excerpts
Thursday 12th May 2016

(7 years, 11 months ago)

Commons Chamber
Read Full debate Read Hansard Text
Mark Pawsey Portrait Mark Pawsey (Rugby) (Con)
- Hansard - - - Excerpts

1. What steps she is taking to encourage innovation in new energy technologies which are both cheap and clean.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

Encouraging and supporting innovation is central to everything we do. The United Kingdom has a proud record of leadership in energy innovation, through, for instance, our success in driving down the costs of offshore wind technology. The Government took steps to build on that in last year’s spending review, more than doubling our energy innovation budget over the next five years to a total of £500 million. With that budget, we can continue to support the development of clean, cheap and reliable technologies.

Mark Pawsey Portrait Mark Pawsey
- Hansard - - - Excerpts

I recently visited two farmers in my constituency. J.C. Channing and Sons is generating electricity through anaerobic digestion, while Dale Aston of Brinklow Biogas is using the same process to generate and supply biogas via a connection to the national grid. Will the Secretary of State join me in congratulating those entrepreneurs, who are demonstrating considerable innovation in the use of new technologies, and will she tell us a little more about how the Government are supporting the sector?

Amber Rudd Portrait Amber Rudd
- Hansard - -

My hon. Friend is, of course, right. One of the biggest challenges that we face is how to decarbonise our heat and electricity supplies over the coming decade. Anaerobic digestion has played an important role in meeting the challenge to date, providing low-carbon heat and electricity for consumers in the United Kingdom. I congratulate employers such as those in my hon. Friend’s constituency who, by using food and farm waste, are helping to deliver the kind of renewable energy that we need.

Barry Sheerman Portrait Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
- Hansard - - - Excerpts

May I ask the Minister to get out a bit more? I walk around my constituency talking to environmentalists and to the big companies that invest in new technology, and they say that the stops and starts and changes in Government policy, especially in the Treasury, have deeply harmed innovation and research in this area.

Amber Rudd Portrait Amber Rudd
- Hansard - -

I am sorry to hear that from the hon. Gentleman, but the facts speak for themselves. Investment in renewable technology and energy is at a record high in the UK, and the Government are always careful to consult before making changes so that we take industry with us and deliver the stability that it needs.

David Mowat Portrait David Mowat (Warrington South) (Con)
- Hansard - - - Excerpts

Far and away the most dominant form of low-carbon electricity in Europe is nuclear power. In the context of nuclear innovation, will the Secretary of State update us on the small modular reactor competition?

Amber Rudd Portrait Amber Rudd
- Hansard - -

My hon. Friend is, of course, absolutely right. Nuclear power is an important part of the energy mix that we continue to need, and the Government support advances that will enable us to replace our ageing nuclear fleet over the coming decades. Since we launched the SMR competition we have received 38 expressions of interest, and we will be working closely with those companies to ensure that the competition proceeds in the way that is most likely to generate investment.

Margaret Ferrier Portrait Margaret Ferrier (Rutherglen and Hamilton West) (SNP)
- Hansard - - - Excerpts

Late last month the United States Senate passed an energy Bill, in a rare occurrence of bipartisan co-operation. The Bill could unleash billions of dollars for research and development in new energy technologies, including energy storage, hydrokinetic and marine R and D, and advance the electricity grid in the US. Can we expect the United Kingdom Government to act in a similar manner, investing in the future and addressing the myriad problems that affect our energy infrastructure?

Amber Rudd Portrait Amber Rudd
- Hansard - -

The hon. Lady will know that the Climate Change Act 2008, which underpins the drive towards renewable energy in this country, was passed on a cross-party basis, and our work in developing a low-carbon future remains absolutely cross-partisan. This Conservative Government are committed to ensuring that we invest and plan for the long term, so that we can develop that renewable energy, while always ensuring that we do so at the least possible cost and put energy security first.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
- Hansard - - - Excerpts

Does my right hon. Friend agree that supporting the innovative electric vehicles industry is an excellent way of protecting the environment while also backing UK businesses? If so, will the Government do all they can to support that new technology for the benefit of the environment and business?

Amber Rudd Portrait Amber Rudd
- Hansard - -

My hon. Friend is absolutely right. The future for transport is indeed electric, and the Department for Transport has clear plans to develop and support the electric vehicles industry. I am proud to say that one in four of the electric cars that are currently being driven around Europe was made in the UK, and I hope that the UK will continue to be a leader in this developing industry.

John Pugh Portrait John Pugh (Southport) (LD)
- Hansard - - - Excerpts

Will the Secretary of State update us on the strike price for tidal energy, and on the negotiations surrounding it?

Amber Rudd Portrait Amber Rudd
- Hansard - -

The hon. Gentleman may be aware that we have recently launched a consultation on tidal energy, headed by Charles Hendry. In regard to tidal stream, which he might also be asking about, we have yet to decide how the pot 2 allocation will be taken forward.

Chi Onwurah Portrait Chi Onwurah (Newcastle upon Tyne Central) (Lab)
- Hansard - - - Excerpts

2. What steps her Department is taking to ensure that consumers’ data on smart meters are accessible to and controllable by those consumers; and how she plans to monitor the effectiveness of those steps.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

I welcome the hon. Member’s support for smart meters, and I am sure she will agree that their roll-out is a vital step towards putting consumers firmly in control of their energy use. Consumers will need to have ready access to the data from their smart meters if we are to achieve that goal. That is why all households will be offered an in-home display that will allow them to see the energy they are using in near real time, as well as its cost. We are also allowing suppliers to trial innovative technologies alongside that.

Chi Onwurah Portrait Chi Onwurah
- Hansard - - - Excerpts

Smart meters can transform domestic energy consumption and help to save the planet, but only if consumers are given secure control and ownership of their own data. The display options that the Secretary of State refers to will still allow smart meters to be a back door into our homes for hackers, so will she overcome her ridiculous complacency and announce measures to give consumers the digital rights that they deserve before it is too late?

Amber Rudd Portrait Amber Rudd
- Hansard - -

The hon. Lady should know that privacy is absolutely protected and at the heart of the smart meter programme. She should be careful not to put fear into the hearts of people where none should exist. The data are protected, and they belong not to the Government—which some people might, not unreasonably, fear—but to the energy companies. We will always reassure consumers that privacy is at the core of delivering safe meters.

Andrew Bridgen Portrait Andrew Bridgen (North West Leicestershire) (Con)
- Hansard - - - Excerpts

The Competition and Markets Authority has recommended a temporary safeguard for vulnerable users who have pre-payment meters, which could result in savings of up to £300 million a year for those consumers. Will the Secretary of State commit to implementing that measure as soon as possible to protect those vulnerable users?

Amber Rudd Portrait Amber Rudd
- Hansard - -

My hon. Friend is absolutely right. The preliminary report from the Competition and Markets Authority addresses head-on the difficulties and higher costs often faced by people on pre-payment meters, and, yes, we will be implementing its recommendations. We look forward to seeing its final recommendations over the next few months.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
- Hansard - - - Excerpts

According to the Government’s own calculations, they reckon that with smart meters installed. we as a nation could save some £17 billion on our collective energy bills over the next 15 years. Does the Secretary of State recognise that if consumers had access to their detailed data usage, it would put them in a good position to share those data with third parties, should they want to, and that that could improve competition, which the Government would obviously be glad to see?

Amber Rudd Portrait Amber Rudd
- Hansard - -

Yes, the Government are glad that the Competition and Markets Authority has said that it will make available in a controlled way the details of people who have not switched. We will have to ensure that that is done in a way that does not result in consumers feeling overwhelmed by suggestions. The Competition and Markets Authority has yet to come up with its final solution on this point, but I am confident that it will do so in a measured way and that this will help to ensure that people who have not switched will have access to switching and to the opportunities that it provides.

John Nicolson Portrait John Nicolson (East Dunbartonshire) (SNP)
- Hansard - - - Excerpts

3. What steps she is taking to support the development of offshore wind energy generation in Scotland.

--- Later in debate ---
Will Quince Portrait Will Quince (Colchester) (Con)
- Hansard - - - Excerpts

5. What steps her Department is taking to reduce energy bills for businesses and households.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

The best way to deliver on energy bills for businesses and households is to have a robust and competitive energy market. In 2010, the big six controlled 99% of the domestic retail market, but this year consumers can choose from more than 30 independent suppliers, who, between them, control more than 15% of the dual fuel market. Competition is improving, but we cannot be complacent, which is why I look forward to the final report of the Competition and Markets Authority and why I will continue to encourage consumers to switch.

Will Quince Portrait Will Quince
- Hansard - - - Excerpts

I agree with the Secretary of State on that and thank her for that answer. The best way for consumers to get a good deal on their energy bills is to consider switching. Will she confirm that the Government remain committed to driving down the time it takes for consumers to switch?

Amber Rudd Portrait Amber Rudd
- Hansard - -

My hon. Friend makes a good point. Consumers are sometimes put off from switching not only by the complications that they perceive, but by the length of time it can take. We are working with Ofgem and are confident that it will reach reliable next-day switching by 2018.

Margaret Greenwood Portrait Margaret Greenwood (Wirral West) (Lab)
- Hansard - - - Excerpts

My hon. Friend the shadow Secretary of State for Energy and Climate Change recently visited the award-winning eco-house in my constituency, where heating and lighting bills are kept below £100 a year. What action is the Minister going to take to promote carbon-neutral homes?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I thank the hon. Lady for her question. She is right to point out that some fantastic innovations are taking place through private sector business investment to make sure that innovations are delivered in this sector that will help to drive down bills. On zero-carbon homes, I can reassure her that a European Union directive, due to come in by 2020, calls for near-zero carbon emissions, which I believe will help to reduce people’s bills.

Andrew Stephenson Portrait Andrew Stephenson (Pendle) (Con)
- Hansard - - - Excerpts

Does my right hon. Friend agree that it is important to give more power to price comparison websites to help consumers find the best deal possible? That was one suggestion put forward by the CMA.

Amber Rudd Portrait Amber Rudd
- Hansard - -

I agree with my hon. Friend that we have to have as many choices as possible for people, and the CMA has made some proposals, but we also have to be careful to ensure that this is addressed fairly, that the cheapest tariff is available and that there is full disclosure. I tend to encourage people to go to the Ofgem website beanenergyshopper.com.

Lisa Nandy Portrait Lisa Nandy (Wigan) (Lab)
- Hansard - - - Excerpts

The Secretary of State is fond of telling us how keen she is to cut energy bills, but last Friday, when attention was diverted elsewhere, her Department revealed that families in this country will be asked to pay up to an extra £38 on their energy bills to fund her failure to get new power stations built. Can she confirm to this House that not only is she asking families to pay more to fund her policy of closing coal- fired power stations, but, at exactly the same time, she is going to ask them to pay more to keep them open?

Amber Rudd Portrait Amber Rudd
- Hansard - -

The hon. Lady is referring to the changes to the capacity market, and I am concerned that she has not grasped the facts of the situation, which are that wholesale prices have fallen, with the consequence being that coal prices, and indeed some gas prices, become uneconomic. Because the Government will take no risks with energy security and because we are absolutely clear that it must be the No. 1 priority, we have brought forward a new capacity market that will stop there being the sort of price hikes which are most unwelcome. My Department estimates that this will actually save consumers up to £46 on their bills.

Lisa Nandy Portrait Lisa Nandy
- Hansard - - - Excerpts

The absurdity of the situation appears to be completely lost on the Secretary of State, but as she has been on this panic spending spree recently perhaps I could ask her another question. She recently announced generous subsidies to EDF, the big energy company that operates Britain’s nuclear fleet. She has agreed to hand over £153 million in 2018 and a further £139 million the following year to subsidise nuclear power stations that would have been open in any case. Is she aware of the recent news that the cost of Hinkley Point C is set to rise to £21 billion, which is £3 billion more than was forecast? What is her estimate of the cost to bill payers and taxpayers in the UK of this new revised figure?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I am concerned that the hon. Lady did not hear my answer to her earlier question. The fact is that energy security has to be the priority of government. In bringing forward changes to the capacity market, we have made sure that, with low wholesale prices, we have sufficient energy during the next two years. She just reveals her total lack of understanding of getting the right balance on secure electricity—nuclear and, yes, in the short term, coal—which supports our renewable investment, keeps bills low and ensures that customers always have a good supply of electricity.

Andrew Bingham Portrait Andrew Bingham (High Peak) (Con)
- Hansard - - - Excerpts

6. What steps the Government are taking to ensure that energy consumers are on the best value energy tariff.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

The most effective way for consumers to ensure that they are on the best value tariff is by engaging with the energy market and switching supplier. I encourage all Members to urge their constituents to engage with the market and make use of the readily available Ofgem-approved price comparison websites. Meanwhile, we will continue to make it easier for consumers to switch, and we are working with Ofgem and the industry to move to reliable next-day switching by 2018.

Andrew Bingham Portrait Andrew Bingham
- Hansard - - - Excerpts

High Peak is probably one of the coldest constituencies in England in the winter, so our household energy costs are probably disproportionately high compared with those in many other areas of the country. Has the Secretary of State made any assessment already of the trends of people changing suppliers and whether they are actually changing suppliers to keep those costs down?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I can reassure my hon. Friend that switching was at a four-year high in 2015, with 6.1 million electricity and gas switches across Great Britain—roughly a 15% increase on 2014. I am aware that some people are unable or unwilling to switch, which is why we have the big energy saving network programme. This year, that programme gave £10,000 of funding to two champions in High Peak who reached more than 350 customers directly, and trained 111 front-line staff. Over the year, more than 1,900 vulnerable customers were supported. It is important to reach all consumers.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

Only last week, the hon. Member for Lichfield (Michael Fabricant) owned up to having brought a hedgehog into the Chamber some years ago—I am pleased to say that it was not during my tenure of the Chair. With all the reference to price comparison websites, I am glad that no one has thought it necessary to bring a meerkat into the Chamber.

Jessica Morden Portrait Jessica Morden (Newport East) (Lab)
- Hansard - - - Excerpts

7. What her Department’s policy is on the implementation of the Competition and Markets Authority proposals for consumers on pre-pay meters.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

The Government agree with the Competition and Markets Authority that consumers on pre-pay meters are getting a poor deal. Supporting such consumers was at the heart of our decision to support the CMA investigation in the first place. The hon. Lady may have seen the estimate by Citizens Advice that 23% of households in her constituency have pre-payment meters, which is above the national average of 16%. That is why it is so important that we take on board the recommendations of the CMA following the publication of its final report.

Jessica Morden Portrait Jessica Morden
- Hansard - - - Excerpts

In Wales, a staggering one fifth of households are on pre-payment meters, paying up to £330 a year more for gas and electricity than those on the cheapest tariff. It is particularly important for Wales, and for those 7,200 households in my constituency, that we know which recommendations the Government will be working on with the CMA and Ofgem and when constituents will start to see the benefit. Can the Minister be specific?

Amber Rudd Portrait Amber Rudd
- Hansard - -

We do not yet have the specific recommendations, but the hon. Lady will, like me, be aware that what we have had proposed so far in the draft recommendations is a safeguard tariff for those people on pre-payment meters. It is not clear yet whether that will be temporary or long term, but we will look carefully at the recommendations of the CMA to get the best outcome for the most vulnerable customers, which, I know, she desires as well.

Clive Lewis Portrait Clive Lewis (Norwich South) (Lab)
- Hansard - - - Excerpts

May I just push the Secretary of State once more on that, as the 4 million households who are still languishing on rip-off pre-payment meters would really like more detail from her? Given that the Government’s energy efficiency policies and fuel poverty strategy are in tatters, people would like more details on the timetable and when this will happen.

Amber Rudd Portrait Amber Rudd
- Hansard - -

It is typical of the Opposition party that it is unable to understand the concept of the CMA, which is preparing this report. It is up to the CMA to come forward with the final recommendations, and it is its recommendations that we will be following. I must take issue too with the hon. Gentleman’s reference to “tatters”. This Government are absolutely committed to helping the most vulnerable. We are proud of the work that we are doing to reform our various schemes so that we can support the most vulnerable, and that is something that we will continue to do to ensure that we always support the people most in need.

Liz McInnes Portrait Liz McInnes (Heywood and Middleton) (Lab)
- Hansard - - - Excerpts

May I press the Secretary of State a little further? My constituency of Heywood and Middleton is, sadly, in the top 50 for numbers of households with pre-payment meters, and my constituents are being ripped off. What can the Secretary of State tell me that I can tell my constituents about how long they will continue to be ripped off by pre-payment meters?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I am sure that the hon. Lady has looked at the CMA’s report. It has a proposal for a safeguard tariff, and we welcome that. It is one of the key reasons why we were keen to propose this review by the CMA. We are expecting it to come forward with the final report soon. When it does so, we will act on the recommendations and hope that it will deliver what we and she hope it will, which is support for people on pre-payment meters, who are often the most vulnerable.

Alistair Carmichael Portrait Mr Alistair Carmichael (Orkney and Shetland) (LD)
- Hansard - - - Excerpts

9. When the application for state aid clearance for the remote Scottish islands will be submitted to the European Commission.

--- Later in debate ---
Mary Robinson Portrait Mary Robinson (Cheadle) (Con)
- Hansard - - - Excerpts

11. What steps she has taken to ensure that the renewable heat incentive is cost effective.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

The renewable heat incentive is the world’s first long-term financial support programme for renewable heat, and is central to our efforts to deliver renewable energy to consumers and businesses across the UK. In March this year, my Department launched a consultation on measures for the RHI. As is the case for everything my Department is doing, a central aim of this reform is to ensure that the scheme offers value for money and allows us to make the transition to cleaner heating technologies in a manner that is affordable for the UK.

Mary Robinson Portrait Mary Robinson
- Hansard - - - Excerpts

I fully recognise the importance of supporting the biomass industry, but what assurances can the Minister give me and small businesses, medium-sized biomass firms and their local suppliers in my constituency?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I can assure my hon. Friend that the Government are providing support for small and medium-sized biomass companies through a range of incentives, including the renewables obligation, the feed-in tariff and the renewable heat incentive. We expect biomass to play an important role in industrial processes and district heating, where there are fewer alternatives for low-carbon technologies, and we want to ensure that we bring forward deployment in these areas.

Jonathan Reynolds Portrait Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op)
- Hansard - - - Excerpts

The consultation that the Secretary of State mentioned reveals an intention by the Government to provide 55TW hours of renewable heat by 2020. That is 9% of UK heating, but it is 3% less than the original 2020 renewable heat target. How does she intend to hit that target, given that there is now a shortfall in heat and in transport?

Amber Rudd Portrait Amber Rudd
- Hansard - -

It is more about the number of houses or businesses that we support for the renewable heat incentive and not always about the pure cost. It is not necessarily about the league table of costs, but rather about the outcomes that we get. We are consulting on the renewable heat incentive to ensure that we deliver the best value for the taxpayer. I am committed to making sure that we use the money in the most cost-effective way.

Alan Whitehead Portrait Dr Alan Whitehead (Southampton, Test) (Lab)
- Hansard - - - Excerpts

The Secretary of State did not address the question of the relationship of the renewable heat incentive proposals and finances to the UK’s contribution to the EU renewables target of 12% by 2020. As my hon. Friend the Member for Stalybridge and Hyde (Jonathan Reynolds) mentioned a moment ago, we are still short of that target. Is the Secretary of State confident that the measures and finances that she has suggested in the new RHI proposals will enable us to reach that target, or is she actively considering other measures to make sure that we do?

Amber Rudd Portrait Amber Rudd
- Hansard - -

The hon. Gentleman will be aware that the renewables target for 2020 covers building, heat, transport and electricity. The renewable heat incentive is a key part of that. That is why we have had the consultation. We will now examine those responses in order to ensure that we direct the funds that we have in the most effective way. We recognise that although we have made good progress towards the renewables target for 2020, there is more work to do. We believe that we have sufficient policies to address the need, but we are going to look at what else can be done, particularly in respect of buildings and transport, to make more progress from the halfway mark that we have reached so far.

Helen Hayes Portrait Helen Hayes (Dulwich and West Norwood) (Lab)
- Hansard - - - Excerpts

13. What assessment she has made of trends in the level of take-up of domestic solar photovoltaic systems since the relaunch of the feed-in tariff in February 2016.

--- Later in debate ---
Maria Caulfield Portrait Maria Caulfield (Lewes) (Con)
- Hansard - - - Excerpts

15. What steps her Department is taking to encourage growth in the green research and development sector.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

With permission, Mr Speaker, I will take Questions 15 and 19 together.

The Government are taking steps to build on our proud history of energy innovation and are more than doubling our energy innovation budget over the next five years to a total of £500 million. With this budget we can continue to support the development of clean, cheap and reliable technologies and the growth of the green research and development sector across the UK.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

We would take this question with Question 19 if the hon. Member for Montgomeryshire (Glyn Davies) were here, but he is not, so we will not. I do not know what has happened to the chappie, but I hope he is all right.

Maria Caulfield Portrait Maria Caulfield
- Hansard - - - Excerpts

I thank the Secretary of State for her reply. With the new Rampion offshore wind farm being based in the Newhaven enterprise zone in my constituency, and with the recent opening of the university technical college in Newhaven, does the Secretary of State agree that Newhaven town has the potential to be a hub for green research and development, and could she outline how the Government can support that?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I welcome the activity already under way in my hon. Friend’s constituency and will of course be considering opportunities to support research, development and demonstration across the UK as we develop our energy innovation programme. I encourage her to speak directly with low-carbon energy funding bodies, which stand ready to support innovation in the technologies that we will need in the future. I really welcome the development of the UTC, which is partnered with, among other companies, E.ON UK and EDF Energy. It has a specific focus on green engineering, so I think that there is a great opportunity there for Newhaven.

Barry Gardiner Portrait Barry Gardiner (Brent North) (Lab)
- Hansard - - - Excerpts

The Government’s emissions reduction plan has been promised by the end of this year, and the Secretary of State has said that it will address the current 10% shortfall for the fourth carbon budget, which was set back in June 2011. Section 14 of the Climate Change Act 2008 stipulates that the Government must lay before Parliament a report setting out how they will meet each carbon budget

“as soon as is reasonably practicable”

after setting it. Five years later, does the Secretary of State consider that she is now in breach of the Act, or does she have an unusually elastic definition of the phrase “as soon as is reasonably practicable”?

Amber Rudd Portrait Amber Rudd
- Hansard - -

It is always a pleasure to receive such detailed questions from the hon. Gentleman. I can reassure him that I am fully aware of section 14 and the sections either side of it. I am clear that we will have an emissions reduction plan by the end of the year, as we have said, and that we have an obligation to come forward with our response to the fifth carbon budget. It is because we take these matters so seriously, and because this is a big, realistic and important challenge for the UK, that we are not rushing it.

Ronnie Cowan Portrait Ronnie Cowan (Inverclyde) (SNP)
- Hansard - - - Excerpts

16. What assessment she has made of the potential effect of changes proposed in the renewable heat incentive consultation on the biomass heating industry.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

My Department is currently considering responses to our recent consultation on reform of the renewable heat incentive. As part of this consultation, we have engaged extensively with the relevant trade bodies and industry stakeholders to understand the impact of the proposed reforms, including, specifically, the impact on the biomass industry.

Ronnie Cowan Portrait Ronnie Cowan
- Hansard - - - Excerpts

Currently, the biomass industry directly supports the jobs of 11,500 people, as well as 590 companies, across the UK. With that in mind, will the Minister explain the UK Government’s apparent lack of ambition with respect to the installation of biomass boilers, which will lead to job losses in this sector?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I am aware of the importance of the biomass industry to the hon. Gentleman, his constituency and, indeed, Scotland overall. That is why we are consulting on the issue to make sure that we are fair with the money we have and that we deliver best value for taxpayers. Small biomass has an important role to play. The RHI budget is in fact trebling by 2020-21. We remain committed to developing the RHI and biomass, and we will come back with responses in due course.

--- Later in debate ---
Debbie Abrahams Portrait Debbie Abrahams (Oldham East and Saddleworth) (Lab)
- Hansard - - - Excerpts

T1. If she will make a statement on her departmental responsibilities.

Amber Rudd Portrait The Secretary of State for Energy and Climate Change (Amber Rudd)
- Hansard - -

Our Energy Bill receives Royal Assent today. It is a vital part of our plan to ensure that our families and businesses have access to secure, clean and affordable energy. We are delivering on our manifesto commitment to end subsidies for onshore wind. We are also using the opportunity to support the Oil and Gas Authority with powers to drive greater collaboration and productivity in the industry. I thank the Bill Committee and my hon. Friend the Minister for making this possible and going through the Bill in such painstaking detail to deliver it.

Debbie Abrahams Portrait Debbie Abrahams
- Hansard - - - Excerpts

Evidence from the Universities of Leicester and York has shown that sick and disabled people are particularly at risk of fuel poverty, especially after the recent social security cuts by this Government and the previous coalition. Will the Secretary of State approach the Chancellor again to look at better targeting of warm home discount funding, especially after her rebuff from him just before the Budget?

Amber Rudd Portrait Amber Rudd
- Hansard - -

The hon. Lady will be aware that this Government, and this Department specifically, are refocusing our support, as far as possible, on to those who are most vulnerable. We have just closed the consultation on the warm home discount and we are looking at the results. She can rest assured that we will, as far as possible, target it at those who are most in need, which is the right thing to do.

Michael Tomlinson Portrait Michael Tomlinson (Mid Dorset and North Poole) (Con)
- Hansard - - - Excerpts

T3. I have been contacted by a number of constituents who are concerned about fracking in Dorset. What reassurance can the Minister give to me and to my constituents about environmental considerations, about issues of public consultation and letting local residents have their say, and, importantly, about fracking being considered only in appropriate locations?

--- Later in debate ---
Henry Smith Portrait Henry Smith (Crawley) (Con)
- Hansard - - - Excerpts

T5. What progress has my right hon. Friend’s Department made in working with the big energy suppliers such as EDF Energy, partly located in my constituency, with regard to the roll-out of smart meters for the benefit of consumers?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I can assure my hon. Friend that we are working closely with all energy suppliers on those aspects of the roll-out to ensure that the consumer benefits are fully realised. Good progress has been made so far, with over 3 million meters installed, and there is evidence that those consumers are already saving energy. Recent research by British Gas shows that consumers with smart meters have reduced their energy consumption by around 3%, on average, for both gas and electricity.

Tom Brake Portrait Tom Brake (Carshalton and Wallington) (LD)
- Hansard - - - Excerpts

T2. I hope that this will be a case of third time lucky. I have asked the Housing Minister this question twice, and I have also notified the Secretary of State’s office of the question, so I hope I am going to get a reply. What is the difference in the annual energy bill that a family in a zero-carbon home would have to pay as opposed to a family in a home that has the insulation and energy efficiency standards that the Government propose?

Amber Rudd Portrait Amber Rudd
- Hansard - -

The right hon. Gentleman’s question starts from an incorrect premise. [Interruption.] I am trying to answer his question; bear with me. I think that he is referring to the zero-carbon proposal that was rejected by the other place last night, although it was agreed that a review would be ongoing. The problem with zero-carbon homes, as conceived in the Bill, was that they would add costs to the house. If we add costs to the house, we add costs, ultimately, to the house owner, the consumer and the bill payer. The problem with the allowable solutions portion was that it would act as a tax on home builders and, ultimately, it would be of no benefit to the homeowner.

Tania Mathias Portrait Dr Tania Mathias (Twickenham) (Con)
- Hansard - - - Excerpts

T8. The Committee on Climate Change recommended in its 2015 report to Parliament that the Government produce an effective policy framework on aviation carbon dioxide emissions. Part of that plan was that UK emissions in 2050 should not be higher than those in 2005. Will the Department work with the Department for Transport to publish such an important policy before a decision on a new runway is made?

Amber Rudd Portrait Amber Rudd
- Hansard - -

My hon. Friend has incorporated quite a few questions into that one question. What I can say to her is that the most important element of addressing airport emissions is to have an international agreement. We do not want to have a situation where the UK is trying to do something independently; it is important to have such an agreement EU-wide and internationally. We tried to get the proposal that she mentioned incorporated into the Paris climate change agreement, but it was not, so we are working with international partners through the International Civil Aviation Organisation to try to achieve an international agreement this autumn. I will certainly keep my hon. Friend updated.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
- Hansard - - - Excerpts

T4. I am going to push the Minister of State further on fracking, because a week tomorrow an important decision will be made. In Ryedale, one energy company wants to frack the beautiful landscape just south of the North York Moors national park. More than 4,000 well- informed local people want to protect their local community and environment. Who should have the greatest influence?

Bob Blackman Portrait Bob Blackman (Harrow East) (Con)
- Hansard - - - Excerpts

What progress has my right hon. Friend made in securing new nuclear power stations and, in particular, modular power stations of a smaller scale?

Amber Rudd Portrait Amber Rudd
- Hansard - -

My hon. Friend is absolutely right: new nuclear is an essential part of a secure, reliable energy system. We are supporting new nuclear, but we are also particularly enthusiastic about small modular reactors, which is why my right hon. Friend the Chancellor doubled the funds for our innovation budget and we have launched our competition. We hope that it will bring forward a great array of different proposals so that we can take forward a number of them.

Mary Creagh Portrait Mary Creagh (Wakefield) (Lab)
- Hansard - - - Excerpts

T6. Citizens Advice estimates that 7,300 households in Wakefield are paying over £400 a year more for their gas and electricity than they should be paying because they are stuck on prepayment meters. Last month, the Competition and Markets Authority recommended a price cap to protect my constituents from this indefensible overcharging. This week, we hear that the chief executive of the CMA is to be the Department’s new permanent secretary. Does that mean we can look forward to him implementing his own recommendations in the very near future?

Amber Rudd Portrait Amber Rudd
- Hansard - -

Forgive me for making no comment about the appointment. I certainly share the hon. Lady’s view that prepayment meters need reform, that we need the safeguard tariff that the CMA has proposed and that it is unacceptable for the most vulnerable customers—usually those on the lowest incomes—to be stuck on higher tariffs. We will support the CMA to ensure that it delivers on that.

Steve Double Portrait Steve Double (St Austell and Newquay) (Con)
- Hansard - - - Excerpts

Cornwall produces the world’s finest china clay, but the industry faces a significant increase in its costs due to the proposed implementation of the EU emissions trading scheme. Does my right hon. Friend agree that the Government should do all they can to make sure British industry is not put at a competitive disadvantage as a result of energy costs, and will she meet me specifically to discuss what we can do to support the china clay industry?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I would be delighted to meet my hon. Friend, who I know is a strong champion for the china clay industry in his constituency. The EU ETS provides an important role in levelling out competitiveness within the EU to make sure that our intensive industries are protected. I will meet him to ensure that his industry receives a fair settlement.

John Nicolson Portrait John Nicolson (East Dunbartonshire) (SNP)
- Hansard - - - Excerpts

T7. The Minister will be aware of the devastating Super Puma helicopter crash in Norway less than a fortnight ago, which killed 14 people, including Iain Stuart from Laurencekirk. Super Pumas have ditched in the North sea three times since 2009, citing problems such as gear box and oil pump failure. We do not yet know the cause of the crash on 29 April, but 14 families, including Mr Stuart’s, will be desperate know what it was. Will she engage with her counterparts in Norway to ensure that any lessons learned from their investigations can be applied to offshore commercial helicopter flights in the UK?

--- Later in debate ---
Barry Sheerman Portrait Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
- Hansard - - - Excerpts

The Secretary of State will know that we now have scientific evidence that noxious fumes from diesel engines are poisoning our children and poisoning our air. Are those fumes also related to the deterioration in our climate?

Amber Rudd Portrait Amber Rudd
- Hansard - -

I share the hon. Gentleman’s concerns about pollution and air quality. It is because of those concerns that this Government are so committed to delivering on the Climate Change Act 2008. It is absolutely clear that the problem also derives from the support for diesel. Basically, we have all been misled on diesel, and I hope we can look carefully at how to make sure—for example, by ensuring no defeat devices are installed—that that does not happen again. I will work closely with the Department for Transport to make sure we deliver on that.

Kevin Foster Portrait Kevin Foster (Torbay) (Con)
- Hansard - - - Excerpts

The Secretary of State will be aware of the continuing speculation about the Hinkley Point C project. Will she reassure me that, in any assessment of it, the Government will bear it in mind that it could create 25,000 jobs in the south-west during the construction period? Those are the skilled jobs that this economy desperately needs.

Amber Rudd Portrait Amber Rudd
- Hansard - -

I thank my hon. Friend for that question and for giving me the opportunity to say how much this Government support the Hinkley Point project. We are delighted to be able to say that we expect it to go ahead and to deliver much-needed clean, secure, affordable energy. This Government are focused on a new nuclear programme, not only with Hinkley Point but with other new nuclear, because we are doing what the Labour party so dismally failed to do for 13 years, namely deliver on investment in infrastructure to the benefit of all consumers.