Lord Ravensdale debates involving the Department for Business, Energy and Industrial Strategy during the 2017-2019 Parliament

Space Science and Technology

Lord Ravensdale Excerpts
Monday 15th July 2019

(4 years, 10 months ago)

Lords Chamber
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Lord Ravensdale Portrait Lord Ravensdale (CB)
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My Lords, I thank the noble Lord, Lord Mawson, for tabling this debate. Project Apollo was and remains a great technical achievement of humankind. It has inspired millions around the world and it is an honour to have the opportunity to help commemorate the 50th anniversary of the moon landings today.

Everything about Apollo astounds. When President Kennedy set the goal of a manned moon landing in 1961, only a single American had flown in space on a suborbital flight, yet the President had the ambition—almost the audacity—to commit the nation to a moon landing before the end of the decade. The resulting machine, the Saturn V moon rocket, was the most powerful machine ever built.

I am a nuclear engineer. Designing nuclear reactors is not quite rocket science, although it gets close at times and makes me appreciate the engineering genius behind Apollo all the more. I remember how inspirational Apollo was to me as a child. Sadly, I cannot claim to recall where I was at the time of the moon landings, but I pored over the details of the mission. It played a key part in my decision to pursue a career in engineering. It is that ability to be inspired and excited by the future that gets children interested in science and engineering, as the noble Lord, Lord Mawson, pointed out. That is one of the great legacy benefits of the programme.

The dreams that many had in the 1960s about the future of space flight never quite transpired, yet we are at a critical juncture in the history of space flight, driven in the main by the development of reusable rockets by private industry in America. I believe they will transform the economics of space flight and will lead to many opportunities and growth in the sector. On the 50th anniversary of Apollo, it seems wholly appropriate that space is becoming really exciting again.

The UK has an excellent, thriving industry in the production of satellites, which the noble Baroness, Lady Walmsley, referred to. It would be really inspirational to get the capability to launch those satellites back in the UK. I note the really positive developments with spaceports in Cornwall and Scotland. Several private companies in the UK are looking at developing launch technology—for example, small launch vehicles and engines for reusable launch vehicles—and the Government should look closely at the funding of those efforts. Contracts to kick-start private investment in those areas could pay dividends, mirroring the approach used so successfully in America. There is an opportunity to capture that before it is lost to others.

I finish with something about the spirit of Apollo. It was a great endeavour, with the whole nation united to achieve a single goal. Maybe that same spirit is what we need to resolve the climate challenges of today.

Climate Change Act 2008 (2050 Target Amendment) Order 2019

Lord Ravensdale Excerpts
Wednesday 26th June 2019

(4 years, 10 months ago)

Lords Chamber
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Lord Lilley Portrait Lord Lilley
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Absolutely. That is what we ought to do in this House: look closely at these things. That does not mean to say we reject them. Unless we know the cost of this measure, which is potentially enormously costly, we are really buying a pig in a poke. I hope the House will focus on that point: should we go ahead and pass this without an impact assessment, or should we at least demand that the Treasury comes forward with such an impact assessment and a distributional assessment as soon as possible?

That distributional assessment is important, because these measures tend to fall disproportionately on low-income households. We have seen that in any country where the cost of climate change measures has come into political contention, those on modest incomes have tended to vote against them. We saw it in Australia and Canada; we have seen the gilets jaunes in France. We should beware and be aware that we are imposing large costs on ordinary households, and we should not go ahead and do that lightly and without knowledge of the figures.

Lord Ravensdale Portrait Lord Ravensdale (CB)
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My Lords, I declare my interests as an engineer working in the energy industry.

I welcome the Government’s commitment to net zero carbon emissions by 2050. However, as noble Lords have already said, this target will involve significant technical challenges. I want to introduce a different slant to the debate today by talking about some of the technical challenges that will be need to be met, the key areas of uncertainty and the options for mitigating them. A comprehensive review of how this target will be met is critical and I hope to see more detail of this in the forthcoming energy White Paper.

The key risk areas we need to consider within the scope of the amendment are on-demand power generation and hydrogen. It is widely accepted that a 100% renewables power generation system is impracticable barring any unforeseen technical advances. This is partly due to the technological limitations of energy storage and the implications of grid stability with a variable power supply. A large amount of on-demand power will be required to counter the variability of renewables and there are two options for that at a high level—gas turbines with carbon capture and storage, or nuclear.

Gas turbines with carbon capture and storage are an attractive option to meet our commitments, but there are several uncertainties with large-scale carbon capture and storage. One uncertainty is the capture rates that are feasible with the technology—whether it can capture the amount of carbon that we need it to—and another is that the economic viability of the technology is still unknown. If capture rates are lower or the technology is more expensive than anticipated, alternatives will have to be sought to large-scale use of carbon capture and storage. It is critical that there is a pilot project from the Government to consider scaling up this technology and the viability of it in more detail.

The concerns are well known about the economic viability of nuclear compared with renewables. It is worth noting that the costs of large nuclear are currently less than the existing offshore wind capacity that has been built. However, the future offshore wind capacity will be cheaper than current large nuclear. It is difficult to make the comparison between nuclear and renewables because of the different characteristics of these technologies in terms of costs.

It is critical that the industry responds to the cost challenge set out in the nuclear sector deal and brings down the costs of nuclear from the £90 per megawatt hour we have seen with Hinkley to around £60 per megawatt hour. Given the doubts over whether large nuclear can deliver, we need to focus on several things to meet that cost challenge: first, small modular reactors, as a fallback and to complement large nuclear, are critical; and, secondly, advanced nuclear technology.

How will these technologies solve the cost issue with nuclear? The first way is through modularisation, which is inherent in small modular reactor design and is already used in other high safety integrity industries such as shipping and air transport. We need to look at moving the production of reactor modules to factories off-site to reduce the cost of reactor technology and to bring down the capital costs of nuclear plants. Secondly, with advanced nuclear, there are several designs out there which are passively safe, simpler and of a much higher thermal efficiency than existing plants and will help in that regard.

Government investment is required to see these promising designs through to fruition and to get them off the ground. On the point made by the noble Lord, Lord Deben, on what happened with offshore wind, we can replicate that with nuclear and use it to bring down the cost of the technology and help us meet our 2050 targets.

Hydrogen also has a key role to play in a net zero economy, whether through heating buildings, energy storage or fuel for heavy vehicles. However, there are many uncertainties about the best means of producing, distributing and storing hydrogen. For example, as has been pointed out by other noble Lords, the preferred means of production—steam methane reforming—will involve large-scale carbon capture and storage and the issues with that that I have pointed out.

Can the Minister say how the Government intend to de-risk these key areas of uncertainty—hydrogen, carbon capture and storage and nuclear—to ensure that the UK can meet the 2050 target as planned? The timing for large investments could not be more fortuitous in many ways, with the Government able to borrow for 50 years at less than 1.5%.