Independent Review of Net Zero
Debate between Wera Hobhouse and Chris Skidmore(1 year, 2 months ago)
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Chris Skidmore
A really important part of the report, which I will come on to in the moment, is taking a place-based approach to net zero. We will achieve net zero in a more affordable and efficient way if we allow local communities, whether they are cities or rural areas, the opportunity to be more empowered to understand how to achieve net zero in a way that suits their local communities.
In Northern Ireland, I listened to concerns about how agriculture could be decarbonised. Northern Ireland wants a whole raft of new biomethane plants. At the same time, there is a new fleet of hydrogen buses in Belfast—it is really pushing forward on fully decarbonising public transport. There was a fascinating discussion on how Northern Ireland wanted to be a leader on green hydrogen. It may not have much offshore wind, but there is a huge opportunity for onshore wind and for the use of hydrogen to drive a whole new economy. Picking up all the pieces that come together that demonstrate the opportunities in every region is exactly what the report tries to reflect.
The report sets out the new narrative that net zero is the primary economic opportunity of this century, but if we do not invest now—that investment is primarily private sector investment, but it needs certainty, clarity, consistency and continuity from the Government on policy—we will turn our backs on a potential £1 trillion of investment by 2030 and turn our backs on up to 480,000 new jobs by 2035. In a way, the net zero review is a bit of a misnomer. I was keen to look at the targets that have been set and to understand how we will realistically meet them. The worst thing one can do in politics is overpromise and underdeliver; it completely undermines confidence in the ability to deliver on our climate commitments and the energy transition.
Wera Hobhouse (Bath) (LD)
First, I congratulate the right hon. Gentleman on the report. It is very welcome, and was very ably chaired and put together by him, so I put my thanks to him on record. On delivery, is it not the case that some kind of delivery authority is needed—a body that combines all the quite difficult and complex strands we face on net zero?
Chris Skidmore
Yes. I thank the hon. Member for that point. One of the key recommendations of the report is that we have an office for net zero delivery, which will be able to join all Government Departments to ensure they speak with one voice on the policy commitments that are needed. We have the new Department for Energy Security and Net Zero. That is fantastic news. I hope it will be given the powers and the mandate to enforce an understanding of what we need to do to achieve net zero across all Departments, because it is certain that Departments are falling behind.
On net zero, I am a realist. I understand that on delivery we must be able to provide public confidence in our ability to achieve some of the ambitions that at the moment are just words on paper. The document is very much about delivery and implementation. I created a structure of six pillars to inform the report. The pillars strengthen the foundations of the pathway towards net zero by 2050, but also refer to some sub-commitments such as decarbonising power supply by 2035 and looking at our electric vehicle mandate by 2030. How will we achieve those targets if we do not get the basic under-the-bonnet issues right, such as infrastructure or grid? Delays in the planning system mean that current targets are way off beam and will not be achieved. Unless we are realistic now about what we need to do to unblock those problems and get, as I called it during the review, the debris off the tracks, we will not be able to reach our commitments in time.
Making decisions now is absolutely critical for this Administration. I include 129 recommendations in the report, but I set out 25 key recommendations for 2025, recognising that this Administration probably has about 300 legislative days left in Parliament until October 2024. That is not to say I would not urge them to take on all 129 recommendations. I understand that the Government will respond to the report by the end of March. Coincidentally, as I was taking forward the work on the review, the Government decided not to challenge the High Court judgment that their net zero strategy was illegal and they have agreed, in secondary legislation, to respond to the High Court judgment and the Committee on Climate Change by 31 March. I hope that their response to the judgment will also form part of the response to the “Mission Zero” report, but the more we can do now, the more we will reduce the costs of the transition overall. The report sets out that if we delay action on net zero by 10 years, we add on 23 base points of GDP to our public debt.
There are huge challenges to achieving net zero. I recognise that, which is why we set out in pillar 1 that securing net zero must be a priority—understanding how we will be able to have in place the materials, supply chains and skills to ensure we can deliver on time. The sooner we act, the sooner we will be able to achieve net zero in an affordable and efficient manner. Other pillars cover powering net zero. I asked each sector how it could achieve net zero in a better way. A third pillar looks at net zero and the economy, and how we could work with those hard-to-abate sectors, whether energy intensives or agriculture, to make sure they can also achieve net zero on track.
Climate Change
Debate between Wera Hobhouse and Chris Skidmore(4 years, 10 months ago)
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Chris Skidmore
I will get back to my speech in a moment. It is important that the Government are able to set out a pathway for considering the range of responsibilities across society, and that will encourage a range of individual actions. The Committee on Climate Change is the lead independent committee whose advice the Government have taken in order to legislate today. It has set out a range of future possibilities to reach net zero, many of which include individual actions for reaching the final 4%, but this is about system change and decarbonising our energy and heating systems, both domestically and industrially. There are a large number of areas where we will need to take action across society, and we need to be able to take that action now.
Oral Answers to Questions
Debate between Wera Hobhouse and Chris Skidmore(4 years, 10 months ago)
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Wera Hobhouse (Bath) (LD)
The Minister for Energy and Clean Growth (Chris Skidmore)
I am pleased to inform hon. Members that yesterday the Government launched their smart export guarantee, which will ensure that all small-scale generators are paid for the power they export to the grid. Supported by Government investment, residential solar installations are now 50% cheaper than they were in 2011 and, alongside technologies such as batteries, will help consumers to export energy to the grid when it is needed, reducing their bills and making solar more accessible and affordable than ever before.
Chris Skidmore
I thank my hon. Friend for raising those points, which reflect what the hon. Member for Norwich South (Clive Lewis) mentioned in the previous question. This obviously comes on the back of a specific European Court of Justice ruling. I understand Members’ concerns and sympathise with the industry, but I reassure the House that VAT continues to be zero rated for installations on new build housing. I will happily meet my hon. Friend to discuss the opportunities for future change.
Wera Hobhouse
I welcome the timely launch of the smart export guarantee yesterday, but many people will be disappointed by the decision not to set a minimum floor price to protect consumers and the domestic solar market. Under the proposals, it will be left to suppliers to set tariffs. If it becomes apparent that the market is failing to sustain fair remuneration for households that export to the grid, how swiftly can we expect the Government to intervene?
Chris Skidmore
The export market is clearly developing, and it is important to recognise that several suppliers are beginning to offer trial export tariffs, either in line with the wholesale price or at the same level or higher than the feed-in tariff export guarantee rate. Those suppliers include Octopus and Bulb, which have welcomed the changes. It is important that the policy can develop so that we can make sure that we see future development.
Proportional Representation
Debate between Wera Hobhouse and Chris Skidmore(6 years, 6 months ago)
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Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Chris Skidmore
Devolved legislatures have the ability to choose various voting systems; the Government provided those freedoms in the past. I have not attended an electronic count, but I understand that there have been a number of difficulties running them in Scotland. I also understand that we have given Wales the freedom to consider electronic voting in future, and I look forward to seeing what comes from the pilots there.
As my hon. Friend the Member for North East Hampshire (Mr Jayawardena) mentioned, we committed in our manifesto not only to retain first past the post for parliamentary elections but to extend it to elections for police and crime commissioners and Mayors. In line with that, the Government have no plans to change the voting system for elections to the House of Commons. We will seek to legislate on that matter—
Wera Hobhouse
The Conservative party did not win a majority, so one could turn the argument round and say that therefore, the majority do not support continuing with first past the post and what the Conservatives propose in their manifesto.