Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether the 2035 Future Energy Scenarios-derived capacity ranges for solar and batteries in his Department’s Clean Power Action Plan connections annex are intended to be used by Ofgem and network operators as (a) technology caps and (b) interim indications.
Answered by Michael Shanks - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The 2035 capacity ranges present credible pathways to decarbonise our energy system and provide certainty to investors by ensuring a 10-year horizon for connection offers. NESO will use the ranges to underpin connection offers out to 2035. The 2035 figures are interim, to enable connection reform to proceed at pace, and are subject to updates through the Strategic Spatial Energy Plan, which will be published in 2026.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what steps he is taking to consult the public on his revised seventh carbon budget plan.
Answered by Kerry McCarthy - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
We have a clear mission to make the UK a clean energy superpower. This transition will make people better off now and for generations to come. We remain committed to supporting people to realise the benefits and design policies that are responsive to their needs.
By end of October 2025, we will deliver an updated plan that sets out the policy package out to the end of Carbon Budget 6 in 2037 for all sectors of the economy.
We will also publish a Net Zero Public Participation Strategy which will set out how we will support people to access the benefits of new technologies and ensure that diverse perspectives are considered in net zero policy making.
Looking ahead, we will set Carbon Budget 7 by June 2026, in line with our statutory duties. This will set out the next phase of our pathway to net zero to continue to secure the economic and societal benefits of the net zero transition.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, on what statutory basis his Department can prevent biomass companies from claiming renewable subsidies for burning wood from irreplaceable primary forests.
Answered by Michael Shanks - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Secretary of State has the statutory authority to determine the sustainability criteria for biomass subsidies either by secondary legislation such as regulations under the Renewables Obligation scheme, or by determining the terms of a contract under the Contracts for Difference scheme.
While the Secretary of State sets the sustainability framework, it is for relevant regulators such as Ofgem, or the Low-Carbon Contracts Company as the contractual counterparty to the Contracts for Difference (CfD) scheme, to enforce sustainability requirements.
Government only supports biomass that satisfies sustainability criteria. The proposed Low-Carbon Dispatchable CfD will strengthen sustainability criteria by excluding biomass sourced from primary forest and old-growth areas from receiving subsidy.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential implications for his policies of concerns from solar developers on the Government’s 2035 projections for their technology and the potential impact on (a) Contracts for Difference competition and (b) reaching Government’s clean power targets post-2030.
Answered by Michael Shanks - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
My Department engaged extensively with Ofgem, NESO, and stakeholders on the 2031-35 solar capacity ranges figures in the Clean Power Action Plan. In April, we published an update to the Action Plan to reflect the recent trend of an increased solar project pipeline at transmission. [1]
Connections reform will benefit Contracts for Difference competition and achieving clean power by prioritising projects that are progressing and aligned with our strategic needs. Projects which hold CfD contracts, for example, will automatically be considered strategically aligned and will be eligible for a confirmed connection agreement as part of the reformed connections queue.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, who approves new oil and gas fields.
Answered by Michael Shanks - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Oil & Gas Authority (operating as the North Sea Transition Authority (NSTA)) are the licensing authority for offshore oil & gas. The NSTA are also responsible for granting consents and authorisations for subsequent activities (including development consents) under the Petroleum Act 1998. The NSTA requires Secretary of State’s agreement under relevant environmental regulations prior to granting any licence, consent or authorisation.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what role the Treasury holds in approving new oil and gas fields.
Answered by Michael Shanks - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Oil & Gas Authority (operating as the North Sea Transition Authority (NSTA)) are the licensing authority for offshore oil & gas. The NSTA are also responsible for granting consents and authorisations for subsequent activities (including development consents) under the Petroleum Act 1998. The NSTA requires Secretary of State’s agreement under relevant environmental regulations prior to granting any licence, consent or authorisation.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether he plans to legislate to prevent the Drax power station burning wood from primary forests for producing non-subsidised electricity.
Answered by Michael Shanks - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government only provides support for biomass sourced from forests which are sustainably managed.
Under the agreed Heads of Terms for short term support from 2027-2031, Drax must source 100% of its biomass from sustainable sources, and must exclude primary forest to receive support. Drax will be supported at a 27% load factor and we do not anticipate they will be incentivised to generate further, without subsidies.
Nevertheless, we are considering further options through the new contract and the consultation on the Common Biomass Sustainability Framework to provide additional protection for primary forests.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether he is taking steps (a) reduce and (b) remove policy costs on electricity bills.
Answered by Miatta Fahnbulleh - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The Government believes that our mission to deliver clean power by 2030 is the best way to break our dependence on global fossil fuel markets and protect billpayers permanently. With this, the Government is also committed to ensuring a fair and affordable transition to Net Zero while considering the impact of policy costs on all energy consumers.
NESO’s advice in their Clean Power 2030 Report on the impact of clean power on energy bills finds that a 2030 clean power system can be cheaper for the consumer than the one we have today.
Policy costs, or levies, fund essential schemes that have delivered significant benefits, including increasing renewable generation capacity and reducing reliance on fossil fuels. The Department keeps the aggregate impact of these policies under review.
The Government’s main mechanism to invest in new renewables capacity are our Contracts for Difference. We have consulted on reforms to the Contracts for Difference, which are intended to ensure we secure the capacity needed to deliver Clean Power by 2030, whilst minimising the costs to consumers. The Government will publish a response with a view to implementing any changes in time for Allocation Round 7 to open in summer 2025.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what steps he is taking to support low-income households with the costs of installing (a) insulation and (b) heat pumps.
Answered by Miatta Fahnbulleh - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
As the first step towards the Warm Homes Plan, the Government has committed an initial £3.4 billion over the next 3 years towards heat decarbonisation and household energy efficiency.
Government energy efficiency schemes such as the Energy Company Obligation, Great British Insulation Scheme, Warm Homes: Social Housing Fund and Warm Homes: Local Grant are targeted at low-income households to fund energy efficiency upgrades and low-carbon heating for those eligible.
Further details on the Warm Homes Plan will be set out in due course.
Asked by: Pippa Heylings (Liberal Democrat - South Cambridgeshire)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether he has made an assessment of the potential merits of allowing hon. Members to access (a) the KPMG interim report of December 2022 and (b) the full NESO report on the alternatives to burning 27 million trees a year.
Answered by Michael Shanks - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The KPMG report is an internal fact-finding document, commissioned by Drax to review their biomass supply chain against the sustainability requirements of existing arrangements. Whilst DESNZ Officials were granted time limited access to view the report, we do not hold a copy. We therefore have no means or rights to share the report.
NESO published a summary of its advice to DESNZ (here). Given the focus of this analysis is on specific companies, it is commercially sensitive and cannot be shared publicly. This is the right approach to ensure security of our electricity system at a fair price for consumers.