Oral Answers to Questions

Chris Skidmore Excerpts

Tuesday 16th July 2019 Commons Chamber

[Rachael Maskell (York Central) (Lab/Co-op)]

10. What steps he is taking to implement the Government’s net zero carbon target.

[The Minister for Energy and Clean Growth (Chris Skidmore)]

We have made world-leading progress, cutting our emissions by 42% while growing the economy at the fastest rate of any G20 country since 2000—a point recognised by the International Energy Agency in its recent report. The Committee on Climate Change is clear: our clean growth strategy and industrial strategy provide the right frameworks for delivering net zero. I hope Members will welcome the recent launch of the green finance strategy as a clear demonstration of how seriously the Government take net zero.

[Anna McMorrin]

The Government are failing to act quickly and robustly enough to tackle the climate emergency, particularly in solar and onshore wind. Will the Secretary of State welcome the actions of the peaceful Extinction Rebellion protesters across five cities in this country, including my own of Cardiff, to disrupt business as usual and send that important message?

[Chris Skidmore]

What I welcome is that our legislating on net zero—we are the first country in the G7 to legislate for net zero by 2050—marks a catalytic moment for everyone to recognise that we need a whole-of-society approach to this. I welcome all action, whether from the Climate Coalition, whom I met recently, or businesses and industries: organisations such as Tesco and Marks & Spencer, for example, have committed to net zero. We all have a part to play.

[Rachael Maskell]

In light of the Government’s abysmal progress on carbon reduction, last year the Committee on Climate Change issued 25 policy recommendations; the Government delivered just one. What clear steps will the Government take in the next six months to ensure that we get back on track for the fourth and fifth carbon budgets?

[Chris Skidmore]

On the work the Committee has taken forward in its recent report, we welcome that the Committee acts as a critical friend. Now that we have net zero in place, we must go much further much faster. We have over-achieved on carbon budgets 1 and 2, we are on course to meet budget 3, and we are 90% there on carbon budgets 4 and 5, but I admit that we must do much more. I look forward to going to the Business, Energy and Industrial Strategy Committee later to discuss this in greater detail, but the net-zero commitment now gives the opportunity to move on this.

[Colin Clark (Gordon) (Con)]

Three times as much energy is delivered by the gas grid and electricity grid, so what is the Department doing to support moves to hydrogen from natural gas?

[Chris Skidmore]

Hydrogen is a really interesting source of energy and we need to explore it further. There are lots of opportunities that other countries, in particular France, are taking forward, such as by looking at hydrogen supply and how we can combine that with the gas grid. That makes the point that innovation here is crucial. We make up 1% of the world’s emissions; if we are going to be able to make a real difference worldwide, it will be by innovating in this country—innovating in areas such as hydrogen, where we can make a far greater impact across the world.

[Tom Pursglove (Corby) (Con)]

Given our abundance of tides as an island nation, it seems to me that we could be doing more to utilise them for sustainable energy generation. What does the Minister think?

[Chris Skidmore]

I think we have the opportunity to look at alternative sources of all energy and power. The latest round for contracts for difference opened in May and will close on 18 June. We have looked at alternative sources of power and we want to be able to explore that. But this is also about creating a market mechanism by which we can look at establishing new technologies, moving away from subsidies and ensuring that we have a proud record for the future on renewable energy supplies.

[Rachel Reeves (Leeds West) (Lab)]

The most recent report from the Committee on Climate Change shows that we are moving in the wrong direction in terms of meeting our fourth and fifth carbon budgets. We have now rightly strengthened those objectives to achieve net zero, but without a single policy to help us get there. The long-awaited energy White Paper has still not been published, so can the Minister confirm today that that White Paper will be published before the summer recess and that it will include policies to get us there with onshore wind, solar technology, battery storage and electric vehicles?

[Chris Skidmore]

The hon. Lady mentions electric vehicles and battery storage. The Prime Minister made a significant announcement yesterday at her business council, attended by the Secretary of State: £500 million-worth of export finance will be provided for electric vehicles. There are also the guarantees on looking at charging points. The White Paper is due this summer; I cannot give any more guarantees beyond that, but it is absolutely critical as the next milestone going forward that we have the legislation in place for net zero, and we now need to set out a plan. The clean growth strategy was set out earlier—late last year. We are on track to meet 90% of carbon budgets 4 and 5, and we will do more to ensure that we meet them.

[Derek Thomas (St Ives) (Con)]

Publicly owned buildings such as schools and hospitals can access interest-free loans in order to retrofit their buildings and put on solar panels and so forth. What consideration will be given to allow that kind of scheme to be available to small businesses?

[Chris Skidmore]

I entirely agree that taking a local, bottom-up approach is the way in which the Government want to go. For instance, the rural communities energy fund has recently been established—an extra £10 million has been made available there—and we have the smart export guarantee when it comes to looking at renewable sources of power for small businesses or other small community buildings—

[Anna McMorrin]

But you have raised VAT on solar.

[Chris Skidmore]

The hon. Lady just carries on chuntering. She has asked her question and I have given her an answer. She should allow me to respond to other Members of Parliament. She needs to accept that this Government—[Interruption.]

[Mr Speaker]

Order. The Minister is right. The hon. Lady has asked her question and it was answered. It might not have been answered to her satisfaction, but it was answered and that is the end of it. Please be quiet.

[Chris Skidmore]

I entirely agree with my hon. Friend the Member for St Ives (Derek Thomas) that when it comes to looking at how we should be creating new schemes, this is the direction in which we need to go. We will do more and I am happy to discuss with him the opportunity to involve small businesses. This will be part of the energy White Paper, and we recognise that we need to make significant strides to ensure that small businesses are able to retrofit their properties.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

The Business, Energy and Industrial Strategy Committee has shown that, as if being hostile to onshore wind and destructive to solar were not enough, the Department will not achieve its climate ambitions due to its ambivalence over carbon capture and its failure to emulate Scotland on energy efficiency measures. The net zero 2050 target was imposed by the Prime Minister above Ministers’ heads. As they prepare to leave their posts, will the Minister admit that his Department lacks the policies to achieve that target, and that his legacy will be one of abject failure?

[Chris Skidmore]

No. If anything, I think that my legacy will be as the Minister who signed the legislation ensuring that we were the first country to achieve net zero by 2050.

I also hope that our legacy will be a successful partnership bid with the Italians for COP26. The Italian ambassador came to meet Members of Parliament here yesterday. I did not see the hon. Gentleman there, but never mind about that—[Interruption.] He might not recognise that we had the Italian ambassador here to cover our COP26 bid, but he would have been welcome. An email was sent to him, inviting him to attend, but unfortunately he did not turn up. Our commitment must be UK-wide and we are making UK-wide schemes available, including recently ensuring that we can subsidise energy supplies for the north of Scotland, which demonstrates the benefits of the Union in delivering net zero.

[Mr Speaker]

The key is not to speak more quickly but to use fewer words.

[Drew Hendry]

With bizarre and rubbish answers like that, it is no wonder that the polls in Scotland are showing greater support for the Scottish National party and for independence than ever before. Will the Minister do just one thing? Will he rule out serving under the right hon. Member for Uxbridge and South Ruislip (Boris Johnson) and vote against a no-deal Brexit to prevent further harm?

[Chris Skidmore]

This is what it always comes down to. Here we are in BEIS questions talking about clean growth and, yes, about how the Government need to make more progress on net zero, but what is the hon. Gentleman’s No. 1 priority? Independence for Scotland. He wants to divide and rule as usual—[Interruption.]

[Mr Speaker]

Order.

[Chris Skidmore]

In fact, it is being within the United Kingdom that has allowed Scotland to benefit from 16 contracts for difference projects recently, allowing for 2.6 GW of green energy. Also, £4 million was recently announced for Project Acorn in Scotland for carbon capture, utilisation and storage projects. The hon. Gentleman never mentions the policy benefits of the Union or the investment that it delivers in Scotland. No—all he wants to talk about is independence. But let us look at what the Scottish people had to say about—

[Mr Speaker]

Order. We are grateful to the Minister. He has spoken with considerable force and alacrity, and I am sure that he is very pleased with his own words, although we have had enough of them.

[Rebecca Long Bailey (Salford and Eccles) (Lab)]

Does the Minister agree with the TUC that, while decarbonisation presents exciting economic opportunities, the lack of a comprehensive and just transition policy and a coherent industrial strategy means that many well-paid, highly skilled unionised jobs are under threat?

[Chris Skidmore]

I will half-agree with the TUC on this point. It is concerned about reaching net zero through a just transition. We are living through a revolution, and we are going to need to take the population with us when it comes to jobs and job security. We have 400,000 green jobs now, and there is a potential for 2 million by 2030. We need to work with the unions and to ensure that when we look at the future of the world of work, we take the entire population with us.

[Rebecca Long Bailey]

I do not believe that the Minister provided any specifics in that answer. What is his plan for the workers in the closing coal plants? Why are yards in Fife losing out to international rivals for wind farms that are only a few miles away? Why has Dyson, a British company, chosen Singapore over the UK for the production of its electric vehicles? Germany is investing €1.5 billion in battery production; this Government’s measly £246 million comes nowhere near that.

The truth is that the party that devastated the UK’s industrial heartlands in the 1980s does not have a just transition plan. Will the Minister put ideology and laissez-faire economics aside and work with us on this side to make a real green industrial revolution a reality?

[Chris Skidmore]

The hon. Lady seems obsessed with talking about the 20th century. I want to talk about the 21st century—about what will be going on when we get to 2030. Why did she not talk about Jaguar Land Rover’s announcement yesterday that it will be investing in building electric vehicles here, in the midlands? Why did she not speak about the fact that electric Minis will now be rolling from plants in Oxford? These are positive investments for the United Kingdom, which demonstrate that we can make the change towards net zero and clean technology by having clean growth—by investing in the economy and in jobs and ensuring that we have record levels of new green jobs going forwards.

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[David Warburton (Somerton and Frome) (Con)]

5. What steps his Department has taken to develop sustainable energy in rural communities in Somerset.

[The Minister for Energy and Clean Growth (Chris Skidmore)]

I thank my hon. Friend for his local interest in taking action on climate change. I am pleased to say, as I mentioned earlier, that we have recently reopened the £10 million rural community energy fund. It has already supported over 150 rural communities, including through the installation of a solar capacity project in my hon. Friend’s constituency of Frome. We have also established five local energy hubs across the country, including in the south-west, providing support to local authorities that are planning green energy projects.

[David Warburton]

I met a large group of people from Somerset the other day at the Time Is Now rally in Westminster. It is clear that people from every walk of life are keen for the Government to lead the way in environmental sustainability, yet reductions in feed-in tariffs, a lack of incentives to use brownfield resources and a lack of obligations on new build houses make the going tough. How will the Department change this?

[Chris Skidmore]

The feed-in tariff scheme achieved its objectives in support of over 3,000 installations in my hon. Friend’s constituency. Its successor, the smart export guarantee, will be a smarter, more market-driven mechanism that will help to deploy without subsidy as costs continue to fall. I can reassure my hon. Friend that the Government have set a clear ambition for new homes to be energy efficient and to embrace low-carbon technologies through the buildings mission and the 2025 future homes standard commitment announced by the Chancellor in the spring Budget.

[Kerry McCarthy (Bristol East) (Lab)]

The Minister is a constituency neighbour of mine. If he has time during the summer break, may I urge him to visit Wyke farm in Somerset for an example of a business that prides itself on being 100% green? It has used pulp from the cider mills to supply its anaerobic digesters and is doing really interesting things on waste water. It really shows how a farm can be at the heart of the local community, using its waste and farming in a sustainable way.

[Chris Skidmore]

I thank the hon. Lady for that suggestion. I would be happy to come and visit during the recess. I pay tribute to her leadership on this issue locally and nationally. She has made significant commitments to this agenda for a long time and I have learned a lot from her.

[Stuart C. McDonald (Cumbernauld, Kilsyth and Kirkintilloch East) (SNP)]

6. What recent discussions he has had with the Secretary of State for Scotland on support for onshore wind.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

11. What recent discussions he has had with the Secretary of State for Scotland on support for onshore wind.

[The Minister for Energy and Clean Growth (Chris Skidmore)]

BEIS Ministers regularly discuss a range of issues with their counterparts in the Scotland Office, and just last week I met with the Scottish Minister for Energy, Connectivity and the Islands at the British-Irish Council in Manchester to discuss energy and the environment. It was an incredibly productive meeting, in contrast to what I often find with Opposition Members in this place. The Government will continue to work with Scotland on a range of issues, including strengthening the city region deals in six areas, including Glasgow, Stirling and Aberdeen.

[Stuart C. McDonald]

Research published today by Vivid Economics estimates that proposals by the Committee on Climate Change for increasing onshore wind capacity to 35 GW by 2035 would reduce the cost of electricity by 7%. Ahead of the energy White Paper, can the Minister confirm whether the Secretary of State for Scotland has made the case for onshore wind to receive contracts for difference support, just as that new report suggests it should?

[Chris Skidmore]

It is a little known fact that we have 13.8 GW of onshore wind capacity installed in the UK already—enough to power over 7.6 million UK homes—which includes 8.1 GW in Scotland. I understand that there are new projects close to the hon. Gentleman’s constituency in north Lanarkshire, with 46 MW of onshore wind projects planned. I am not necessarily interested in what the Secretary of State for Scotland has to say on this issue; I am interested in what the Scottish people have to say and in securing local community support for ensuring, whatever our range of energy supply, that we commit to renewables of all forms in meeting our net zero commitments by 2050.

[Alan Brown]

It is interesting that the Minister seems not to care what the Secretary of State for Scotland says, but wants to listen to the people of Scotland. That is good going forward. The Vivid Economics report shows that supporting onshore wind will create 2,300 jobs in Scotland. Will the Minister confirm that the blocker to those jobs and investment in Scotland is the Scottish Secretary of State and that he put his ideological objections in writing to the BEIS Secretary?

[Chris Skidmore]

I understand that the hon. Gentleman has a particular issue with the Scottish Secretary of State; and I am sure that he will be happy to take up some of those issues with him at Scottish questions. All I can say is that the hon. Gentleman has made a freedom of information request to the Department. The Government have replied and that is the Government’s official response.

When it comes to renewables, let us take the positives. Let us get away from the SNP’s negativity and endless griping. There are Scottish MPs on the Government side of the House who are committed to delivering positive action to the benefit of the Scottish people—putting politics and discussions of independence aside, getting down and doing the job, delivering for the people of Scotland, and ensuring that we have offshore wind, onshore wind or whatever supply is most appropriate for Scotland.

[Mr Paul Sweeney (Glasgow North East) (Lab/Co-op)]

18. Does the Minister not share my concern that, as we try to build an effective industrial base for renewables in Scotland, we are seeing—because of a change in the rules for the delivery of 60% of through- life content, instead of 60% of manufactured content—that contracts for manufacturing components have been sent to Indonesia, whereas BiFab’s yard is a mere 10 miles from a potential wind farm? What conversations has he had with the Scottish Government on these issues?

[Chris Skidmore]

Boosting local and national content is a key issue, and, taking up the point raised by the hon. Member for Salford and Eccles (Rebecca Long Bailey), the Government are determined to ensure the delivery of local green jobs. The offshore wind sector deal has obviously committed to 60% content by 2025 or 2030. I cannot remember the exact date, but I am happy to come back to the hon. Member for Glasgow North East (Mr Sweeney) on that.

It is important that, as we go forward with the contract for difference proposals, we make sure that we bring local suppliers with us. That is a key part of the Government’s industrial strategy.

[Dr Alan Whitehead (Southampton, Test) (Lab)]

If the Minister had an opportunity to look at today’s report from RenewableUK on onshore wind, he would see that there has been a complete collapse in planning applications for onshore wind, in Scotland and in the UK as a whole, yet the report indicates that customers could have substantially saved on their future energy bills if that collapse had not happened.

Does the Minister agree that the policy of banning onshore wind in England, through planning restrictions, and in the UK as a whole, through discrimination in support, is now completely indefensible? If he does agree, what is he doing to reverse this policy?

[Chris Skidmore]

When it comes to renewables, we now have a record high of 52% of our electricity being generated from low-carbon sources, with 33% from renewables. We have seen with offshore wind that, actually, the reduction in our prices demonstrates that we can move towards effective renewables for the future. As I mentioned, we have 13.8 GW of onshore wind delivering for 7.6 million households. We have the local planning processes in place for the future, which was a commitment in the 2015 Conservative manifesto, but we want to make sure that we take local communities with us. That is also the case with net zero. It has to be a transition on which we have the confidence of the entire population. There is no point trying to impose green technology on local communities if they do not support that technology for the future.

[Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)]

7. What steps he is taking to improve product safety.

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[David Hanson (Delyn) (Lab)]

T2. Do Ministers support the Treasury’s proposed VAT rise to 20% for solar-based products, and what assessment have they made of its impact on installations?

[The Minister for Energy and Clean Growth (Chris Skidmore)]

It is not the Treasury’s rise; it is the European Union’s rise. In considering the reasons why he supports staying in the European Union, the right hon. Gentleman has to address the fact that these are EU regulations that we are putting in force while we remain a member. We will have the freedom in future—and, I hope, his support—to deal with such VAT issues once we are out of the European Union.

[Ben Bradley (Mansfield) (Con)]

T7. Hundreds of small businesses—particularly retailers, perhaps—stand to benefit from Mansfield’s progress in the future high streets fund. I know that the Minister has to be impartial, although I am sure that behind closed doors Mansfield is his favourite bid. Would he be willing to meet me to discuss the bid and make sure that we get the right advice and the best possible bang for our buck to support those businesses?

[Patrick Grady (Glasgow North) (SNP)]

T3. Matthew’s Foods, which has served the Asian community in Glasgow North for nearly 20 years, is being threatened with electrical disconnection because it is disputing a £400,000 bill on an emergency tariff from British Gas. Jobs are at risk, even though the company tells me that it simply wants to pay a fair price for the utilities it has used. What powers does the Department or the regulator have to encourage both sides to come to an amicable solution?

[Chris Skidmore]

I am happy to take away that specific issue. I want to make sure that the curry industry in Glasgow continues and that local businesses continue to thrive. I am happy to take away the issue and look at it in further detail. We work closely with the regulator, Ofgem, to make sure that suppliers and individuals continue to benefit from a flexible energy economy.

[Kirstene Hair (Angus) (Con)]

T9. The oil and gas industry has a vital role to play in achieving net zero carbon emissions by 2050. One way of doing so is by providing a commercial incentive for carbon capture and storage. Will the Minister outline what steps the Department is taking to see whether that could become commercially viable?

[Chris Skidmore]

We recently announced £26 million for, I think, 11 carbon capture, utilisation and storage projects across the UK, including Project Acorn in Scotland. I visited Tata Chemicals in Cheshire, which is the largest project in the UK; it is 100 times larger than other projects. The Committee on Climate Change report is absolutely clear that 50% of our carbon emission reductions will come from CCUS. We must continue to invest in that more and then take those innovations across the globe.

[Rosie Cooper (West Lancashire) (Lab)]

T6. Could the Secretary of State respond to the findings of Citizens Advice that utility companies have overcharged customers by £24 billion over 15 years?

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[Gareth Thomas (Harrow West) (Lab/Co-op)]

The chief executives of Coca-Cola, Unilever, Nestlé and PepsiCo are indirectly responsible for much of the 8 million tonnes of plastic waste that ends up in our seas. Will the Secretary of State meet those chief executives to encourage them to adopt more sustainable packaging?

[Chris Skidmore]

I am certainly happy to meet those chief executives. We are working on projects to deliver sustainable packaging when it comes to looking at future research and innovation on alternatives to plastics, which I think will be critical. I would like to thank this UK sector for looking at making adaptations for the future. Everyone agrees that we have to rid the UK of plastic packaging, and do so in a way that will not harm the economy. Going forward, we need to have the support of companies such as those the hon. Gentleman mentioned, and I will happily meet them.

[David Duguid (Banff and Buchan) (Con)]

In approximately 1 hour and 56 minutes, it will be exactly 50 years since the launch of the Apollo 11 mission to land a man on the moon. Will my hon. Friend the Minister for Universities, Science, Research and Innovation —if I may be specific—tell the House how the Government are planning to commemorate the landing of the first man on the moon this weekend?

[The Minister for Universities, Science, Research and Innovation (Chris Skidmore)]

It is nice to be top of the menu for once. Yes, at 2.32 pm, we will have the 50th anniversary of the launch of the Apollo 11 moon mission. On the Government’s commitment to space, I will be giving a speech at the Policy Exchange, setting out what we think is a clear priority for the UK economy—not just in space exploration, but in earth observation. To come back again to the net zero target—it is not like we have talked about it enough already—space technology is a key enabling technology that will enable us to better detect changes in the earth. The future of space is actually critical for our survival on earth.

[Jack Dromey (Birmingham, Erdington) (Lab)]

It was a privilege to stand with 1,000 Jaguar workers and hear that the factory that built the Spitfire during the war and two generations of Jaguar after the war—it nearly closed 10 years ago—will now build the electric cars of the future. Will the Secretary of State, in welcoming yesterday’s announcement, join me in saying that we must now build the batteries in Britain so that we have a vibrant British industry?

Will the Secretary of State also join me in paying tribute to the remarkable man that was Lord Kumar Bhattacharyya for his championing of manufacturing in Britain and his drive, intellect and ambition for Britain and British workers? It is thanks to Kumar that the Jaguar plant remains open.