Asked by: Virginia Crosbie (Conservative - Ynys Môn)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, if she will take steps to decouple the price of gas and electricity.
Answered by Graham Stuart
As part of the Review of Electricity Market Arrangements (REMA) programme, the Government is considering a range of potential options to shield consumers from the impacts of potential future commodity price spikes and to ensure they benefit from lower-cost renewables.
The Contracts for Difference scheme already insulates consumers against electricity price spikes. Over time, this scheme will significantly reduce dependence on fossil fuelled power generation, lowering consumer exposure to gas prices.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what steps her Department is taking to help ensure that the UK is taking a leading role in the development of nuclear energy.
Answered by Andrew Bowie - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The British Energy Security Strategy set an ambition of up to 24 GW of nuclear capacity by 2050 to support energy security and net zero objectives. To deliver on this objective, the Government is undertaking a range of activities. We have launched Great British Nuclear, which has an immediate focus on bringing forward small modular reactors, we have invested in Sizewell C to deliver the next large-scale project, and we have provided support for a range of enabling activities through the Low-Cost Nuclear Challenge, Nuclear Fuel Fund and the Future Nuclear Enabling Fund.
In addition, we will publish a Roadmap this autumn setting out the long-term trajectory for the nuclear sector, as well as publish a consultation on alternative routes to market for new nuclear projects.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether her Department is taking steps to ensure a resilient supply of ammonia as a future fuel for the maritime sector.
Answered by Graham Stuart
The Hydrogen Production Business Model will provide revenue support to producers to overcome the operating cost gap between low carbon hydrogen and high carbon alternatives. This will provide a contractual, producer-focused business model that could facilitate hydrogen use in a broad range of sectors, including low carbon ammonia production.
The Net Zero Hydrogen Fund will help to stimulate the growth of the hydrogen economy by providing £240m to support the development and construction of new low carbon hydrogen production plants. In addition, the Government is supporting innovation for shipping decarbonisation through funds such as the Clean Maritime Demonstration Competition.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether she has made an assessment of the potential merits of implementing a programme to inform the public about the potential contribution of hydrogen to (a) domestic heating, (b) transport and (c) carbon reduction.
Answered by Graham Stuart
The Hydrogen Strategy sets out the important role that low carbon hydrogen could play in decarbonising vital UK industrial sectors, providing flexible deployment across power, transport and potentially heat. The Government is providing significant support for research and development across these sectors.
The Government is supporting industry to deliver a hydrogen heating trial in Fife and the Tees Valley Hydrogen Hub, and discussing a potential village trial in Redcar, to understand hydrogen’s future uses better. The Government is working with industry partners to engage the public, informing them about hydrogen and what to expect. The Government will continue public engagement as hydrogen technology matures.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
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 help (a) reduce the ratio of the cost of electricity to gas and (b) people to move to a heat pump.
Answered by Graham Stuart
The Government has committed to outlining an approach to gas and electricity price rebalancing by the end of 2023/24.
The Government aims to make heat pumps as cheap to buy and run as a gas boiler by 2030 at the latest. The Government will do this by growing the heat pump market to support 600,000 installations per year by 2028 and expanding UK manufacturing with the aim of reducing costs by at least 25-50% by 2025.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what guidance he issues to new nuclear developers of Small and Advanced Modular Reactors on the price they will receive for their energy production; and if he will put in place a permission-free price hurdle for the development of new nuclear facilities which could set a Contract for Difference strike price.
Answered by Andrew Bowie - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
Funding models, including the Regulated Asset Base (RAB) and Contract for Difference (CfD) are being considered for SMRs. The appropriate funding model for each new nuclear project will be determined in due course.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, what steps his Department is taking to support applications for development sites from new nuclear developers of (a) small and (b) advanced modular reactors before the Great British Nuclear funding competition opens.
Answered by Andrew Bowie - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
GBN will work across Government to support access to potential sites for new nuclear projects to achieve its long-term ambition. There is growing local and regional interest in a number of sites for further nuclear development. GBN would welcome any conversations with stakeholders who are considering whether their land might be suitable for the deployment of nuclear facilities in future.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
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 impact of the supply of nuclear power on energy bills.
Answered by Andrew Bowie - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
New nuclear power is central to our plans for ensuring UK energy security and reaching Net Zero. Modelling in the 2020 Energy White Paper indicated that low-cost electricity system solutions at very low carbon intensities are far more likely to be achieved with a combination of new nuclear and gas CCUS.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, pursuant to the Answer of 27 March 2023 to Question 171588 on Energy: Prices, what his timetabled is for establishing a mechanism to protect consumers from potential future commodity price spikes and help ensure that they benefit from lower cost renewable energy sources.
Answered by Graham Stuart
I refer the Hon. Member to the answer I gave her on 27th March 2023 to Question 171588. The Government aims to publish a second Review of Electricity Markets (REMA) consultation in Autumn 2023 and will take decisions on shorter-term reforms more quickly where it is viable to do so throughout the REMA programme.
REMA’s overall timescale will depend on the extent of reform found to be necessary and could range from those that could be taken relatively quickly, to reforms that could take a number of years to implement – depending on the nature and complexity of the reform.
Asked by: Virginia Crosbie (Conservative - Ynys Môn)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, with reference to the report by the Future Generations Commissioner for Wales entitled Homes fit for the future: the retrofit challenge, published in July 2021, if he will make an assessment of the potential implications for his Department's policies of that report's recommendation that the UK Government should provide £3.6 billion of funding over 10 years to help decarbonise and improve the quality of Welsh homes.
Answered by Graham Stuart
The promotion of energy efficiency is devolved to Wales. The Welsh Government provides funding for home energy efficiency improvements.
The UK Government works with the Welsh Government in respect of regulatory measures providing funding for energy efficiency, including the Energy Company Obligation which covers Wales, and the forthcoming £1 billion Great British Insulation Scheme, which could save around 300,000 of the least energy efficient homes £300-£400 each year.
The UK Government recently announced the extension of the Boiler Upgrade Scheme until 2028, to support the installation of heat pumps in domestic and small non-domestic buildings in England and Wales.