Levelling-up and Regeneration Bill (Twenty First sitting) Debate

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Department: Department for Levelling Up, Housing & Communities
Matthew Pennycook Portrait Matthew Pennycook
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Clause 116(5) simply states that before making any EOR regulations that contain provision about what the specified environmental outcomes are to be, the Secretary of State must have regard to the current environmental improvement plan within the meaning of part 1 of the Environment Act 2021. At present, that environmental improvement plan is the 25-year environment plan, which was published in 2018 and is due to be reviewed next year. We welcome the fact that the Bill makes it clear that when making EOR regulations, the Secretary of State will have to have regard to that 25-year environment plan, although I encourage the Minister and his departmental colleagues and officials to do what they can to ensure that its review is completed before this Bill receives Royal Assent, so that the measures in the plan are fully aligned with the now operable Environment Act 2021, and so that the nature of the safeguard provided for in subsection (5) of this clause is clear and unambiguous.

However, while the explanatory notes to the Bill make it clear that the Secretary of State can draw on other relevant material when developing outcomes, there is nothing in the Bill to ensure that the Secretary of State must have regard to other important obligations and requirements set out in environmental and climate legislation beyond the environmental improvement plan.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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I am grateful for the work that my hon. Friend is doing on the environment, and to try to ensure that the climate is front and centre in the Bill. Commitments were made at COP26 and COP15. We need the application of those commitments to come through in planning; there is nowhere else that they can come through. Is it not important that the determinations reached at those summits be brought into the planning process?

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Paul Scully Portrait Paul Scully
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Clause 118 gives the Government a constrained power to set what plans and consents require an environmental outcomes report. The Government want to be clear about which consents and plans require assessment, and we will use subsequent regulations—bounded by the commitment to non-regression—to provide clarity on when an EOR is required. By clearly setting out the different categories for consent and the types of plan that require assessment, we will be able to address the key issue with the current system, where debate about whether assessment is required acts as a block to moving forward with meaningful assessment.

We want to avoid unnecessary screening work, so it is more likely that more plans and projects will automatically be subject to a proportionate report and only in borderline cases must a criteria approach be followed. Developers will know where they stand up front, and local planning authorities can save the time and resources that are usually taken on screening of opinions.

Let me reassure the Committee that the clause will be used to reduce uncertainty, not assessment. The Government remain committed to ensuring that all plans and projects assessed in the current system will continue to be assessed, while removing troublesome uncertainty. The Government will also consult on which projects and plans should be subject to EORs. Parliament will have the opportunity to debate and approve the regulations that set that out. I commend the clause to the Committee.

Moving on to clause 119, the Government have made it clear that the protection and enhancement of the natural environment is a policy priority, and the measures designed to achieve that should be consistent and long term. The existing system does little to follow through on the commitments made during the assessment process—for example, whether the mitigation measures actually work or are implemented in the first place. Environmental statements are often created at great length, only for the follow-up monitoring and reporting of the impacts on the ground to be inconsistent at best.

Our proposed reforms to environmental assessment therefore provide a renewed and stronger emphasis on monitoring, to ensure that stated outcomes are delivered and that remedial action is taken where required throughout all stages of the development process. That means that achieving environmental outcomes does not stop once a consent is granted or a plan adopted. Importantly, clause 119 enables the Secretary of State to make regulations requiring action to be taken when monitoring or assessment processes have highlighted that a given outcome is not being delivered.

Those actions align with the mitigation hierarchy and the principles of avoidance, mitigation and compensation being built into that process to ensure accountability and to address fully any unanticipated or cumulative adverse effects on the environment.

Rachael Maskell Portrait Rachael Maskell
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I have been listening carefully to the Minister. My concern about what he has been saying is that the process does not have sufficient teeth in the event that the EOR is not delivered. Can he clarify whether planning permission would be granted if the EOR requirement is not adhered to? Should that not be a condition for planning?

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Paul Scully Portrait Paul Scully
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In some rare cases, particularly those relating to national defence or responding to a civil emergency, it may be necessary for the Secretary of State to direct a project to progress without an environmental outcomes report when the production of one would usually be required. The provisions in clause 122 enable that. The clause does not aim to bypass environmental protections, which are important for all the reasons I have set out; it simply accounts for those rare instances in which there is an urgent need to progress with development. Clause 122 replicates a similar provision in the existing regulations, and would only be used in the most extreme circumstances.

In addition to the civil and defence needs, the clause also provides powers via regulations for the Secretary of State to be able to direct that no environmental outcomes report is required in other circumstances. Such directions will, of course, be presented in regulations subject to the affirmative procedure, and will be consulted on and constrained accordingly.

Rachael Maskell Portrait Rachael Maskell
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I appreciate the Minister highlighting that there could be extenuating circumstances in which the measures could be suspended, but he has not set out what mitigations will be put in to address that, either in close proximity to that or elsewhere. Could he say a bit more about that?

Paul Scully Portrait Paul Scully
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Good question! As well as the non-regression clause that I talked about earlier, we have a built-in power under these clauses that allows aspects of the regulation to apply even if a project can initially progress without an EOR. That is a good way to manage those high-risk needs with environmental protection and get that balance right. It allows a project to progress without a report, but still requires certain aspects of the regulations to be adhered to, such as monitoring and remediating effects once the plan or project is in operation. I again highlight the fact that that would only relate to the plans and projects in greatest need, relating to matters of national importance.