Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential merits of introducing an independent regulator which monitors the treatment of direct suppliers in the fashion industry, similar to the role of the Groceries Code Adjudicator.
Answered by Kevin Hollinrake - Minister of State (Department for Business and Trade)
In response to the single enforcement body consultation published in 2021, the Government reaffirmed its commitment to continue engaging with the enforcement bodies and industry partners to strengthen our understanding of the garment trade. We will continue to review this issue and consider options to drive up standards across the sector.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, whether his Department is taking steps with Cabinet colleagues to provide (a) support and (b) advice to people who are medically dependant on refrigerated medicines in the event of power cuts in winter 2022.
Answered by Graham Stuart
The Department of Health and Social Care is responsible for working with the nation’s health and social care sectors to support individuals with electricity dependent medical equipment at home, including those who need to use medical equipment that requires a power supply.
The UK has a secure and diverse energy system. The Government is confident in its plan to protect households and businesses in the full range of scenarios this winter, in light of Russia’s illegal war in Ukraine. BEIS continues to work closely with industry and across Government to mitigate the impacts associated with the upcoming winter.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, (a) on what basis his Department decided to begin subsidising the burning of wood pellets at Drax power station, (b) for how long that subsidy has been in place and (c) if he will halt that subsidy and carry out a full review of the evidence basis for the policy.
Answered by Graham Stuart
Sustainable biomass can be used to produce renewable and low-carbon electricity and has system benefits, such as dispatchability and inertia, and stable established supply chains and prices, providing energy security within a net zero consistent energy system.
Drax has been supported under the Renewables Obligation since 2011, and under the Contracts for Difference scheme since 21st December 2016 to generate renewable electricity. There is no cost to the public purse as both schemes are paid for by compulsory levies on electricity suppliers.
The Government only supports sustainable biomass and generators only receive subsidies for biomass that complies with the UK’s strict sustainability criteria.
The forthcoming Biomass Strategy will detail the Government’s assessment of the priority use of biomass across the economy.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will take steps increase or lift the capacity cap in future Contracts for Difference allocation rounds.
Answered by Kwasi Kwarteng
Capacity caps can drive competitive auctions and deliver value for money for consumers.
A capacity cap was first deployed in the third Contract for Difference auction in 2019, which secured nearly twice the capacity of the previous auction with a 30% reduction in clearing prices.
We will publish auction parameters well in advance of the next auction in 2021, taking into account our ambitions for net zero.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what plans he has to apply any capacity caps as soft instead of hard constraints in future Contracts for Difference allocation rounds.
Answered by Kwasi Kwarteng
In March this year, the Government published a consultation on proposals to amend the Contracts for Difference scheme for future allocation rounds. This included options to introduce flexibility in the use of capacity caps as either a 'hard' or 'soft' constraint. The consultation closed on 29 May and responses are being analysed. A government response to this consultation will be published in due course.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what adjustments he plans to make to future Contracts for Difference allocation rounds to accommodate unprecedented competition for contracts.
Answered by Kwasi Kwarteng
The Government considers a range of matters when setting the parameters for Contracts for Difference auctions, including our ambitious decarbonisation objectives, the anticipated pipeline of eligible projects, competition, and consumer costs. We will publish auction parameters well in advance of the next auction in 2021.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, how he plans to diversify the Pot structure of Contracts for Difference to ensure optimal auction results.
Answered by Kwasi Kwarteng
In March this year, the Government published a consultation on proposals to amend the Contracts for Difference scheme for future allocation rounds. This included options for changes to the current pot structure. The consultation closed on 29 May and responses are being analysed. A Government response to this consultation will be published in due course.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he plans to take to encourage the creation of new jobs in the renewable energy sector as part of the economic recovery from the effect of covid-19.
Answered by Kwasi Kwarteng
As we recover from COVID-19, the Government intends to deliver a UK economy which is greener, more sustainable and more resilient. The UK already has over 460,000 jobs in low carbon businesses and their supply chains and it is estimated that the low-carbon economy could grow more than four times faster than the rest of the economy between 2015 and 2030 and support up to 2 million jobs.
The Contracts for Difference (CfD) scheme is the government’s main mechanism for supporting new large-scale renewable electricity generation projects in Great Britain.
In the latest CfD allocation round 12 new renewable electricity projects were awarded contracts at record low costs across a range of technologies, which could see the creation of 8,000 jobs across the UK.
Offshore wind employs around 14,000 people in the UK. The Offshore Wind Sector Deal that was agreed last year between the government and industry aims to increase UK employment to 27,000 jobs by 2030 - these jobs will support communities right across the UK.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he will take to ensure that technologies with long-term potential for decarbonisation are not adversely affected by the Contracts for Difference auction model.
Answered by Kwasi Kwarteng
In March this year, the Government published a consultation on proposals to amend the Contracts for Difference scheme for future allocation rounds. This included options for changes to the current pot structure to ensure it continues to reflect changes in expected costs across technologies and best supports our ambitions for long term decarbonisation. The consultation closed on 29 May and responses are being analysed. A Government response to this consultation will be published in due course.
Asked by: Pauline Latham (Conservative - Mid Derbyshire)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if the British Business Bank will lower its interest rates to help support businesses to expand as the economy reopens and covid-19 lockdown restrictions are eased.
Answered by Paul Scully
The Business Interruption loan schemes are delivered by the British Business Bank through accredited lenders. Individual lending decisions are at the discretion of these lenders. The accreditation agreement makes clear that the interest rate at which the?lender is prepared to lend at, and any associated fees, should be based on a?lender’s normal pricing framework.
For the Coronavirus Business Interruption Loan Scheme (CBILS) and the Bounce Back Loan Scheme (BBLS), the Government pays the interest and any lender-levied fees in the first 12 months. For BBLS the interest rate is set at 2.5% per annum.