North Sea Oil and Gas Industry

Debate between Matt Rodda and Michael Shanks

Monday 27th October 2025 Commons Chamber

[Michael Shanks]

I thank the hon. Gentleman for the engagement we have had on this issue. Obviously, the failure of the company that was previously running the Prax Lindsey oil refinery has had a really significant impact. We have been working to make sure that the process that the official receiver is going through is concluded as soon as possible. It is for the receiver to decide who the potential buyers are; it is looking at a shortlist of credible candidates, but given the nature of the insolvency, it is not for the Government to decide what is built next on that site.

Turning to the hon. Gentleman’s second point, I genuinely do not think that the licensing question will decide the future of jobs for that site. We want to build up an industry for the future on that site, with long-term, sustainable jobs, and all the evidence we have seen about managing the future of the North sea basin suggests that that while oil and gas will be important for many years to come, that is not the long-term future for the North sea.

[Matt Rodda (Reading Central) (Lab)]

It is very important to increase the number of skilled jobs in renewables and in hydrogen. I welcome the Minister’s mention of the Government’s clean jobs plan; can he say more about that plan, and in particular about training and development for younger staff, as well as retraining for existing staff?

[Michael Shanks]

I thank my hon. Friend for his question, and particularly for mentioning retraining. We see huge opportunities for people who are in the middle of careers to transfer into the energy system. Just in the past few weeks, we have been looking at a scheme to support veterans who are leaving the armed forces in getting jobs building infrastructure. There are huge opportunities in that sector if we can capitalise on the clean energy transition.

We also need to invest in the future of the next generation of workers. In England, we are looking at technical training colleges to make that happen. Funding goes to the Scottish Government to do that in Scotland and, of course, to the Welsh Government as well. The future of our energy system is clean energy; we want to make sure that we have the jobs and training opportunities that go with it, so that the people of our country get an economic advantage, as well as the country getting the energy security.

Gas Storage Levels

Debate between Matt Rodda and Michael Shanks

Monday 13th January 2025 Commons Chamber

[Michael Shanks]

I thank the hon. Gentleman for his characteristic question. On the first point, let me just say that it was not I who said anything about what the margins were. I quoted the National Energy System Operator, which actually delivers in this country—and will quote it again for the benefit of the hon. Gentleman:

“At no point were electricity supplies less than anticipated demand and our engineers were able to rebalance the system”.

He can take or leave my words—I am not particularly bothered—but those are the words of the people who actually operate the energy system.

On the hon. Gentleman’s final point, I absolutely agree with him on the importance of long-duration energy storage. That is why, for the first time in 40 years, this Government announced a new cap-and-floor regime to deliver new long-duration energy storage schemes. That is a huge step forward from the position under many previous Governments, and it will allow the building of the pumped hydro schemes and new innovative technologies that will deliver that energy storage. We are moving as fast as possible. I hope that he and his hon. Friends will support those decisions.

[Matt Rodda (Reading Central) (Lab)]

I thank the Minister for updating and reassuring the House and residents on the robustness of the system, and for his work taking forward a wider diversification of energy supply. Will he update the House on support for the take-up of heat pumps, to ensure that, in the long run, we are far less dependent on gas from overseas? Will he also say something about the importance of insulation and what the Government are doing to support further measures to encourage insulation?

[Michael Shanks]

My hon. Friend is right that as well as building an energy system that will deliver generation capacity for the future, we need to work as fast as possible to reduce demand. Part of that is about moving away from gas to heat pumps. That is important not just for our energy system and climate, but for individual households in reducing their bills. We already see a huge shift in the uptake of heat pumps across the country. There is, of course, much more to do on that if we are to reach our target, but the Government are committed to that, and it is important for households right across the country. I echo his points on insulation. Those in fuel poverty are more likely to live in houses that are cold. The more we can do to create warmer homes—that is what the Under-Secretary of State for Energy Security and Net Zero, my hon. Friend the Member for Peckham (Miatta Fahnbulleh), is doing—the better for everyone.