Oral Answers to Questions
Debate between Amber Rudd and Jeff Smith
Jeff Smith (Manchester, Withington) (Lab)
6. What steps her Department is taking to increase investor confidence in the low-carbon economy.
The Secretary of State for Energy and Climate Change (Amber Rudd)
My Department is committed to providing investors with certainty, and I set out a clear vision for this Government’s energy policy last November in order to achieve just that. In the past month, we have provided certainty on the capacity market, on contracts for difference auctions over the next four years and on taxation for the UK’s oil and gas industry.
Jeff Smith
As a result of changes in Government policy, Greater Manchester Community Renewables has had to scale back its solar PV project from 20 sites to four, meaning that 16 schools have missed out on solar panels and the local economy has missed out on more than £1 million of investment. It is estimated that there are 8 MW of stalled schemes in Greater Manchester, equating to about £10 million of investment. Is this not an indication that Government policy is in fact leading to a fall in investor confidence?
Amber Rudd
I do not share the hon. Gentleman’s interpretation. In fact, we have seen increased investment this year in solar and other renewables. We have changed the subsidies on solar, so solar will go forward only where it is well sited and makes a good return for the investors. That is what we have to do as a Government, because we want to strike a balance between supporting renewables and managing consumers’ bills.
Jeff Smith (Manchester, Withington) (Lab)
T1. If she will make a statement on her departmental responsibilities.
The Secretary of State for Energy and Climate Change (Amber Rudd)
Since we entered government in 2010, we have more than trebled our renewable electricity capacity. A total of £52 billion has been invested in renewables, and more than 99% of solar capacity has been installed. In 2010, renewables provided just over 7% of our electricity needs. That went up to nearly one fifth of the UK’s electricity needs in 2015, and we are on track to deliver 35% by 2020-21, exceeding our ambition of 30%.
Jeff Smith
At the last Energy and Climate Change Question Time, my hon. Friend the Member for Ashton-under-Lyne (Angela Rayner) asked the Minister about the planned rise in VAT on solar, and she told us that the Government had “no choice” but to implement the European Court’s decision. On Monday, when the Financial Secretary was filling in for the Chancellor, he told us that they had decided not to go ahead weeks ago. Did she inadvertently mislead the House, or was she not kept informed by her colleagues in No. 10—I mean No. 11?
Amber Rudd
I think we should just welcome the outcome. It is always unwise to underestimate my right hon. Friend the Prime Minister, who achieved a great victory for VAT and for solar at the Brussels meeting just 10 days ago.
Oral Answers to Questions
Debate between Amber Rudd and Jeff Smith(8 years, 3 months ago)
Commons ChamberRead Full debate Read Hansard Text
Amber Rudd
I start by expressing my sympathies for all those workers in my hon. Friend’s constituency who have been impacted by the recent announcement of the closure of Fiddlers Ferry, as well as of Ferrybridge. On different countries in the EU making different choices about how to deliver their renewables targets, it is up to them to address how they reduce their emissions. Germany, for instance, is also having an enormous amount of solar. It has 52 GW of solar at an eye-watering cost of €10.5 billion.
Jeff Smith (Manchester, Withington) (Lab)
The question is how we phase out coal use. Will the Secretary of State be taking new legislative measures to deliver on the Government’s commitment?
Amber Rudd
On coal—I think that was the subject of the hon. Gentleman’s question—we will be consulting and looking at the different methods we might or might not need. Those may be regulatory, or they may be legislative, but we have an open mind about how we achieve these things. That consultation will begin shortly.
Oral Answers to Questions
Debate between Amber Rudd and Jeff Smith(8 years, 8 months ago)
Commons ChamberRead Full debate Read Hansard Text
Amber Rudd
I have looked into this matter, about which my hon. Friend has written to me. I know how beautiful that part of England is, so I will certainly look carefully and work with National Grid to arrive at an outcome.
Jeff Smith (Manchester, Withington) (Lab)
6. What assessment her Department has made of the effect of the proposed changes to the feed-in tariff on the numbers of jobs in the solar power industry.
The Secretary of State for Energy and Climate Change (Amber Rudd)
The report “The Size and Performance of the UK Low Carbon Economy” from the Department for Business, Innovation and Skills estimated that there were over 34,000 jobs in the UK solar sector in 2013. Our consultation on the feed-in tariff review reflects the need to balance sector support, while keeping bills down for consumers. We strongly welcome evidence from the sector during this review consultation, which ends on 23 October, and only then can we begin to analyse the impact on jobs.
Jeff Smith
Estimates suggest, as we heard earlier, that over 20,000 jobs are at risk. Some companies are already giving notices to workers, and projects such as the Greater Manchester community renewals project, which is planning to install solar roof panels in schools in my constituency, will become unviable. How can the Secretary of State fulfil her promise to “unleash a solar revolution” when she undermines jobs and investment in this way?
Amber Rudd
Jobs are always an important priority for this Government. Under the last Government, of course, we created 2 million jobs and we are expecting, hoping and planning to create another 2 million under this one. Solar is a great opportunity for consumers and for businesses, and I believe it will continue to flourish. As the Minister of State, Department of Energy and Climate Change, my hon. Friend the Member for South Northamptonshire (Andrea Leadsom) said earlier, we had to do this as part of the European Commission’s requirement for a proper review to make sure that we get the right balance between bill payers and producing more solar. I hope it will reach subsidy-free status soon.