Net Zero Strategy and Heat and Buildings Strategy

Lord Whitty Excerpts

Wednesday 20th October 2021 Lords Chamber

[Lord Callanan (Con)]

The decision was made by what was then the Ministry of Housing, Communities and Local Government that the future homes standard would kick in in 2025. There is a long process of consultation to go through with industry to ensure that the standard is applicable, that the supply chain is there, and so on. The right reverend Prelate will be pleased to know that we are changing what is called Part L of the building regulations next year. This will also produce substantial carbon savings in advance of the future homes standard coming in in 2025.

[Lord Whitty (Lab)]

My Lords, I thank the Minister for answering a question I asked a few weeks ago, to which he did not then really reply. I asked when the owners and landlords of buildings and housing will know whether hydrogen is to be the basis for what is currently the gas network. In one place, the document says that it will be “in” 2026, and in another it says “by” 2026. Either way, building owners have five years during which they will not know whether or not their heating systems can be transferred to hydrogen. The Minister is tonight deeply sceptical about whether we would have enough hydrogen, given its other uses, as earmarked in this document, and the need for an increased production in hydrogen for transport and industry. Can the Minister go further and indicate whether any buildings or housing will be convertible from natural gas to hydrogen, or whether some buildings in areas of industrial hydrogen use could be transferred to it? There are three scenarios, varying from nil hydrogen for home heating to it being used for something like a third of home heating by 2050. Will this mix now take place? Do we have to wait till 2026 for any sort of answer to this question?

[Lord Callanan (Con)]

I would like to give the noble Lord a direct answer: it is genuinely impossible to say, at the moment. Let me explain why. It is clear that hydrogen will play a major role in our economy. It will probably contribute to some heating, but I have given my view based on current technology. It is perfectly possible to use hydrogen for heating and gas boilers; the technology exists now—I have seen it. Two houses have been built our area—for the benefit of the right reverend Prelate—of Gateshead—which are entirely hydrogen-fuelled. They have hydrogen boilers, hydrogen hobs and hydrogen gas fires. They work perfectly well — I have cooked an egg on a hydrogen hob.

The question is where we get the hydrogen from. There are two ways of producing it: either from natural gas through carbon capture storage for blue hydrogen, or through electrolysis to produce green hydrogen. You then have to ask yourself the question: does it make sense to use green electricity to generate hydrogen to heat homes, or is it more sensible just to use electricity in the first place to heat the home through a heat pump? That is a question about thermodynamics and conversion and there will be different solutions in different places.

We can say with certainty that the future of home heating will almost certainly be taken over by three technologies: electrification through heat pumps; a greater use of heat networks, for which we have allocated funding; and a certain percentage from hydrogen. The reason we have announced our hydrogen strategy, are funding lots of research programmes and are consulting on a market mechanism to generate large amounts of hydrogen is to try to kick-start the market—to get it going and to bring in private sector investment and ingenuity. This will help to generate large amounts of hydrogen—cheaply, we hope. But we do not yet know to what extent the technology will develop, how much we will be able to produce at reasonable cost, and whether it will be suitable for use in home heating or whether it will be more sensible to use it in industrial processes. We have a multi-pronged strategy. As soon as we have more information, I will be sure to update the noble Lord.