:00:00. > :00:08.Pursglove and his question hs about British Steel. -- Tom Pursglove THE
:00:09. > :00:12.SPEAKER: Order. Questions to the Secretary of State for Energy and
:00:13. > :00:17.Climate change. Mr Steve Dotble Thank you Mr Speaker. Questhon .
:00:18. > :00:23.Minster, Leadsom will he. Hdar, hear.
:00:24. > :00:27.Thank you, Mr Speaker, if you will allow me can I take the opportunity
:00:28. > :00:33.to congratulate my right honourable friend the new Home Secretary on her
:00:34. > :00:36.new appointment and also, of course our new Prime Minister, the former
:00:37. > :00:40.Home Secretary, I wish them great success and I would like to welcome
:00:41. > :00:44.the honourable gentlemen to his place. This is the first tile we
:00:45. > :00:51.have had an exchange over the despatch box and to wish thd
:00:52. > :00:55.honourable lady the member for Wigan and the honourable member for
:00:56. > :01:00.Southampton good luck in thdir future, I have enjoyed our
:01:01. > :01:04.exchanges. Due to our geology, deep geothermal power is likely to make a
:01:05. > :01:08.small contribution to electricity supply, however Cornwall is one
:01:09. > :01:13.where r area where the technology can work and I'm pleased it is part
:01:14. > :01:20.of the devolution deal for corn without. Geothermal height has more
:01:21. > :01:25.potential and we are funding studies.
:01:26. > :01:30.Thank you, Mr speaker, I th`nk the minister for that response. Deep
:01:31. > :01:33.geothermal has a great benefit of being a base load energy sotrce
:01:34. > :01:37.which isn't reliant on weather conditions and as the minister
:01:38. > :01:43.points out Cornwall is one place where great protension for
:01:44. > :01:46.geothermal alies and as she is aware a scheme is being developed at the
:01:47. > :01:51.Eden Project at my condition constituencicy. Can I invitd the
:01:52. > :01:55.minister to visit and see the potential of geothermal devdlopment
:01:56. > :01:58.in Cornwall. Well I'm grateful to my honourable friend, nothing would
:01:59. > :02:06.please me more than a nice holiday in Cornwall right now. I am very
:02:07. > :02:09.pleased it hear the EGS energy and Eden Project is grossing well and as
:02:10. > :02:13.he no knows the project has the potential to produce power for about
:02:14. > :02:22.4,000 homes and to make an opportunity contribution to the
:02:23. > :02:27.local community. Thank you. When it comes to renewspaperables, when you
:02:28. > :02:33.look at the index, the UK is falling from the 7th most attractivd country
:02:34. > :02:37.to the 13th most attractive country. Following breaks that will get
:02:38. > :02:43.worse. What is the minister doing to reverse that trend?
:02:44. > :02:47.Well, actually, think according to blomburg new energy finance, the UK
:02:48. > :02:51.has been the fourth highest invest in clean energy globally for the
:02:52. > :02:57.past five years. Over half the total investment in the EU in 2014
:02:58. > :03:05.occurred in the UK. We have a very proud record and we are acttally set
:03:06. > :03:07.to exceed our own target for generating renewable energy by 020,
:03:08. > :03:14.a proud achievement for this country. Iceland has a fant`stic
:03:15. > :03:21.football team a free trade `greement of its own with China and is outside
:03:22. > :03:26.the European Union. It is also the world's leader in geothermal energy,
:03:27. > :03:31.are we drawing on Iceland's expertise to develop this industry
:03:32. > :03:35.in our own country? Well, if he is referring to the task force for the
:03:36. > :03:38.interconnect with Iceland I'm a huge fan of that and there will be a
:03:39. > :03:44.statement shortly about the progress. He will be aware that has
:03:45. > :03:50.been carried out between thd looeders of the UK and Icel`nd I r
:03:51. > :03:54.and I seriously hope we will be able to make gross in all sorts of by
:03:55. > :04:00.lateral energy Dells in the future. -- deals.
:04:01. > :04:04.Officials in my department leet regularly with developers to make
:04:05. > :04:08.clear the response we place on sourcing UK contented, Incltding
:04:09. > :04:13.steel in infrastructure projects. For example, EDS say they expect a
:04:14. > :04:16.large proportion of the stedl for Hinkley point C, source bid their
:04:17. > :04:19.supply chain will come from UK companies.
:04:20. > :04:25.I'm grateful to the minister for that answer. As she will know, the
:04:26. > :04:29.Corby steel works plays a vhtal role in manufacturing steel tubes which
:04:30. > :04:33.can be used for fracking purposes. Would she agree with me, th`t it is
:04:34. > :04:36.really important, wherever people we use British Steel, not just because
:04:37. > :04:40.it supports the industry and the job that is it provides but also because
:04:41. > :04:45.the quality of the project `nd safety of the projuct is superior
:04:46. > :04:49.than foreign competitors. I completely agree with my
:04:50. > :04:54.honourable friend. I have h`d a number of meetings to discuss this
:04:55. > :04:58.point. I can say in their 2014 report, getting ready for UK scale
:04:59. > :05:02.gas, Ernst Young said there would be significant benefits for jobs and
:05:03. > :05:06.growth from a successful UK shale industry, including a were dct jd
:05:07. > :05:14.need for over ?2 billion wodfrt steel. -- a projected need.
:05:15. > :05:23.Specific national innovation centre in my constituency relies on funding
:05:24. > :05:27.to use Tata British steel to use buildings which are decashenised and
:05:28. > :05:36.lowers energy bills and helps the UK to achieve its carbon dere duks
:05:37. > :05:40.targets. Will the minister report specifics to develop British steel
:05:41. > :05:47.and replace anything that m`y be loss as a result of Brexit. What I
:05:48. > :05:55.can say to the honourable l`dy, my department has been working closely
:05:56. > :06:01.with BIS to see how we can help Port Talbot with energy costs and made
:06:02. > :06:04.announcements on how we can re-Dawes the impact of carbon policids on the
:06:05. > :06:10.steel works in part Talbot. -- reduce. And we'll continue to look
:06:11. > :06:15.ator further ways to do that, including nor jif intensive areas
:06:16. > :06:18.around the courted can reduce electricity costs by change the way
:06:19. > :06:21.they generate power. Would my honourable friend `gree
:06:22. > :06:24.that it is the no just in the UK that British steel can be used in
:06:25. > :06:31.energy infrastructure project but around the world. Last week on a
:06:32. > :06:33.visit to the democratic reptblic of Cogne goe why the International
:06:34. > :06:38.Development Committee, we s`w the way in which Britain is leading in
:06:39. > :06:42.helping to provide energy infrastructure in that country? Yes,
:06:43. > :06:48.my honourable friend is exactly right and a good example, I think of
:06:49. > :06:53.my own efforts to improve the use of UK steel is in talking with the
:06:54. > :06:59.offshore wind industry council and urging them to do more to project UK
:07:00. > :07:02.content and for the UK as one of the biggest deemployers of offshore
:07:03. > :07:05.wind, to it da, once we start building export markets we can
:07:06. > :07:11.certainly hope that British steel will former a part of that dxport.
:07:12. > :07:15.The minister will be aware that the two Loire Earth steel plants in
:07:16. > :07:19.Scotland including Clyde brhdge in my constituency will be heavily
:07:20. > :07:25.involved if the supply of ttrbine casings for tidal wind projdcts and
:07:26. > :07:28.tubular steel structures for offshore wind turbines. A
:07:29. > :07:32.renewspaperable industry can provide a huge market for steel produced in
:07:33. > :07:36.Britain and this represents a huge opportunity for British bushnesses.
:07:37. > :07:41.Will the minister commit to revisiting the Government's approach
:07:42. > :07:47.to the subsidy of such renewables? In terms of the subsidies for
:07:48. > :07:52.renewables, I think we have set out very clear that it is important that
:07:53. > :07:56.we balance the needs of consumers to keep the costs down, with the needs
:07:57. > :08:01.of new technologies to be subsidised, in order to deploy and
:08:02. > :08:05.keep the costs down. Where offshore wind is concerned, we have been very
:08:06. > :08:08.clear, we have seen huge potential for the cost trajectory to go down,
:08:09. > :08:14.already the offshore wind industry hassing a targeted 50% UK content, I
:08:15. > :08:17.am certainly encouraged to be more ambitious which would include the
:08:18. > :08:22.use of British steel. . Thank you, Hinkley point hs
:08:23. > :08:25.expected to be one of the l`rgest construction projects this country
:08:26. > :08:29.has ever seen and will requhre more than 200,000 tonnes of steel. Does
:08:30. > :08:34.my honourable friend agree this provides a huge opportunity for the
:08:35. > :08:38.British steel industry? Yes, I would expand that opportunity to hnclude
:08:39. > :08:42.right ate cross the UK supply chain and Government is working whth the
:08:43. > :08:44.industry to develop a demand model which thatly Will provide a
:08:45. > :08:49.capability and capacity picture for the UK against the demand and part
:08:50. > :08:54.of that aim is to identify the forward requirements for colponents
:08:55. > :08:57.that will include steel. So we are working closely with new nuclear
:08:58. > :09:05.developers to create that m`y have chain right across UK busindsses.
:09:06. > :09:09.Number 3. Well, the Government welcomds the
:09:10. > :09:12.CMA's final recommendations which are another accept towards the
:09:13. > :09:16.competitive and executiveendrgy McEt that works for all consumers,
:09:17. > :09:20.but it is key that it is also the responsibility for energy stppliers
:09:21. > :09:24.to take action in response to the CMA's recommendation and we are
:09:25. > :09:28.meeting all of the big 6 to urge them to do so.
:09:29. > :09:30.Can I congratulate my honourable friend for answering all thd
:09:31. > :09:37.questions during the course of this morning. Does my honourable friend -
:09:38. > :09:40.and I wish her the best of luck in anything that may happen later
:09:41. > :09:44.does my honourable friend agree that it is only by having greater
:09:45. > :09:48.competition in the market, that we can drive down price, espechally for
:09:49. > :09:52.those living in fuel povertx? Well, my honourable friend hs
:09:53. > :09:57.absolutely right, and I doin viet any of my honourable friends on the
:09:58. > :10:02.front bench to jump up and take one of these questions, should they wish
:10:03. > :10:06.to do so. You are doing a great job. I'm quite used to being the laster
:10:07. > :10:10.person on the battlefield. H know my place. The Government has t`ken a
:10:11. > :10:14.great deal of action to boost competition and make switchhng
:10:15. > :10:17.easier for all consumers and we have absolutely recognised vulnerable
:10:18. > :10:21.consumers need additional hdlp to engage with the energy markdt. So to
:10:22. > :10:25.help address it, we have provided about ?3 million over the p`st three
:10:26. > :10:29.years to fund face -to-face support through the big energy saving
:10:30. > :10:34.network as well as a further ?1 million for under iffing for this
:10:35. > :10:39.winter and ?1.5 million of funding for a programme administered by
:10:40. > :10:44.National Energy Action over the next two years, a top priority for my
:10:45. > :10:46.department The deputy Leader of the House has other important
:10:47. > :10:52.responsibilities and she knows she has those. As far as the men sitting
:10:53. > :10:53.there, they all look fine, simply nodding in the appropriate place,
:10:54. > :11:17.they are doing the right thhng. I thank the Minister for her
:11:18. > :11:24.replies. With the CMA final report, it has been characterised as blaming
:11:25. > :11:29.the sticky customers that they haven't switched and condonhng
:11:30. > :11:38.penalties on those sticky ctstomers if they continue not to switch, does
:11:39. > :11:47.she agree with that analysis? I also enjoyed the chocolate raisins. What
:11:48. > :11:51.I have to say that customers an expensive standard tariffs could
:11:52. > :11:58.save ?325 by switching to the cheapest fixed deal. I don't think
:11:59. > :12:02.they are blaming consumers, they are recognising there is a slight
:12:03. > :12:08.unlimited and inertia to swhtching. We are trying to urge peopld to
:12:09. > :12:14.switch and between January `nd March this year, almost 2 million energy
:12:15. > :12:19.accounts were switched and over half of those were moving to new
:12:20. > :12:30.suppliers. The kind of push to switch is happening and we `re
:12:31. > :12:35.getting progress. We want to help consumers get a price that hs better
:12:36. > :12:38.to them, that is in stark contrast to those opposite to talk about
:12:39. > :12:44.capacity markets and scare ly constituents into worrying hf they
:12:45. > :12:49.can pay their bill or not. Ly honourable friend is exactlx right,
:12:50. > :12:54.all too often, people fail to recognise that the energy try limit
:12:55. > :12:59.insists on keeping the lights on, keeping the bills down and dat
:13:00. > :13:05.carbonised in. He is absolutely right, the capacity market hs there
:13:06. > :13:15.to ensure supply, that is the payment we make to keep the lights
:13:16. > :13:20.on. I would like to echo thd remarks about the now Home Secretarx, I am
:13:21. > :13:25.glad the Minister is here otherwise these questions may have bedn more
:13:26. > :13:31.rhetorical than usual. In tdrms of the report, the prime ministers said
:13:32. > :13:36.in 2012, former prime ministers sorry, said he would ensure
:13:37. > :13:41.customers would be on the lowest tariff, four years since thdn. An
:13:42. > :13:45.extensive report and recommdndations that are a little underwhelling in
:13:46. > :13:49.their scope. Does the Minister think this will be enough to ensure that
:13:50. > :13:58.energy customers get the best deal possible. It is a very fair
:13:59. > :14:03.question. It was a detailed piece of research that the CMA has c`rried
:14:04. > :14:06.out. We committed to implemdnting the recommendations as soon as
:14:07. > :14:11.possible but we also made it clear that if we don't see change, we will
:14:12. > :14:16.take further steps. He is rhght we will implement the recommendations
:14:17. > :14:20.and we will see costs come down and competition go up and better
:14:21. > :14:25.remedies for those on prepaxment meters and we will also be `lert to
:14:26. > :14:30.other opportunities to get the cost down for consumers. I am gl`d the
:14:31. > :14:35.Minister says the government will be vigilant on this matter. Thd report
:14:36. > :14:41.said that 70% of customers were on the most expensive standard variable
:14:42. > :14:46.tariff, would she set a target for reducing that so we know wh`t
:14:47. > :14:51.success looks like and determine whether the further action hs
:14:52. > :14:59.required? I think as I have just explained, we don't want to set a
:15:00. > :15:03.specific target. What we ard doing, successfully, is providing support
:15:04. > :15:08.to organisations who are gohng on to help people to switch. I love the
:15:09. > :15:13.idea that for anyone out thdre listening to this, if you w`nt to
:15:14. > :15:16.help your grandparents or your neighbour or whoever it might be who
:15:17. > :15:22.may not have the confidence to switch, help them switch. You could
:15:23. > :15:25.save them several hundred pounds. We need to persuade people of the
:15:26. > :15:33.advantages of switching rather than setting targets and blaming them
:15:34. > :15:36.when they are not met. Mr Speaker, I would like to pay tribute to the
:15:37. > :15:43.Right Honourable Lady for H`stings and dry and congratulate her on her
:15:44. > :15:48.appointment as Home Secretary, the Department paid -- played an
:15:49. > :15:51.important role in the clans agreement and while only two weeks
:15:52. > :15:56.ago, some might suspect she might be more likely to be standing `t the
:15:57. > :16:02.dispatch box, in this place we are beginning to learn to expect the
:16:03. > :16:05.unexpected. She was always courteous and often helpful in her exchanges
:16:06. > :16:11.and we wish her well in her new role. The CMA report says that in
:16:12. > :16:18.the last five years, the big energy companies have been overcharging
:16:19. > :16:25.customers why more than ?4,657, 00 every single day. Can the Mhnister
:16:26. > :16:28.name any other swindle of stch it nor must magnitude where thd
:16:29. > :16:33.government would simply say it is the customer's fault. -- enormous
:16:34. > :16:40.magnitude saying they should have switched to another provider? I am
:16:41. > :16:45.grateful to the honourable gentleman for his ingestion, I completely
:16:46. > :16:50.reviewed the government says it is the customer's fault. We support the
:16:51. > :16:54.recommendations, they are m`king huge changes and we are rolling out
:16:55. > :17:01.smart meters and simpler rules coming in. In active consumdrs will
:17:02. > :17:07.be enabled to which to buy new suppliers with cheaper deals. There
:17:08. > :17:11.will be improved accuracy of quotes, a whole range of remedies bding
:17:12. > :17:20.undertaken. There is in no sense in action on the part of this
:17:21. > :17:24.government. The honourable lady said she would be meeting with the
:17:25. > :17:29.industry and the big six. The government's own figures st`te that
:17:30. > :17:34.2.38 million households livhng in fuel poverty. Her apartment could
:17:35. > :17:38.today take action to force, not to talk to but to force energy
:17:39. > :17:43.companies to pass on changes in wholesale prices immediatelx to
:17:44. > :17:47.customers through tariff structures. Customers would benefit dirdctly
:17:48. > :17:53.from the drop in wholesale prices, why is she failing to do so? I think
:17:54. > :17:59.that just shows the honourable gentleman does not really understand
:18:00. > :18:07.how the energy market works. His own side's proposal to cap fuel prices
:18:08. > :18:11.to consumers, energy bills, was a grave mistake. We have seen
:18:12. > :18:15.wholesale prices come down `nd all consumers have benefited from that.
:18:16. > :18:21.I say again, this government is absolutely committed to getting
:18:22. > :18:26.bills down for consumers at every opportunity and into implemdnting
:18:27. > :18:39.the significant reforms and looking at what else is available to be
:18:40. > :18:44.done. Number for Mr Speaker. With permission, I will answer this
:18:45. > :18:49.question and number six togdther. The UK climate change commitments
:18:50. > :18:53.are grounded in the UK 2008 climate change act. It commits us to a
:18:54. > :18:59.reduction in emissions of 80% by 2050 from 1990 levels. Our
:19:00. > :19:07.membership of the EU has no impact on our commitment to this act, as he
:19:08. > :19:13.will have seen on the fifth carbon budget two weeks ago. I thank her
:19:14. > :19:18.for her answer but the commhttee the climate change says tackling climate
:19:19. > :19:22.change will be more difficult outside of the European Union. The
:19:23. > :19:30.vote to leave does not give the government mandate to underline the
:19:31. > :19:36.global transition, will it laintain the commitment to the 2020 clean
:19:37. > :19:41.energy target which was agrded as part of the EU energy package? What
:19:42. > :19:46.I can say to the honourable gentleman is that the UK is a world
:19:47. > :19:51.leader in tackling climate change. The 2008 climate change act is a UK
:19:52. > :19:56.act that we are absolutely committed to. We are outperforming ag`inst our
:19:57. > :20:06.electricity renewables targdt by 2020 and we remain committed to
:20:07. > :20:16.that. Can the Minister say what impact on the cost of energx in this
:20:17. > :20:20.country will be from leaving the EU? In my own view, the issues for
:20:21. > :20:27.energy are that leaving the EU will not make a difference to thd innate
:20:28. > :20:31.cost or the challenges to the energy sector. Most of the transactions we
:20:32. > :20:37.have for electricity generation are home-grown. There is a glob`l market
:20:38. > :20:41.for gas. We have very good connections with European and
:20:42. > :20:45.non-European countries an interconnection with whom wd will
:20:46. > :20:49.continue to make commercial arrangements that will be to the
:20:50. > :20:55.advantage both of the UK and of those partners in energy. I
:20:56. > :20:59.congratulate my right honourable friend on her appointment and her
:21:00. > :21:05.ability to do the work of four ministers with such panache. She
:21:06. > :21:09.will know that normally, economists disagree about everything btt one of
:21:10. > :21:12.the few things they are agrded about is the best way to achieve `n
:21:13. > :21:17.objective like that set by the climate change act is through the
:21:18. > :21:22.price. If you set subordinate targets, that inevitably me`ns that
:21:23. > :21:28.you achieve it by a less efficient and more costly route. When we leave
:21:29. > :21:31.the EU, will we be able to scrap unnecessary targets while
:21:32. > :21:39.maintaining that final targdt and thereby reduce the cost to consumers
:21:40. > :21:43.of reducing emissions by 80$ by 2050? My right honourable friend is
:21:44. > :21:49.exactly right to point out the importance of keeping costs down
:21:50. > :21:53.while we decarbonise. We have always made it clear that every opportunity
:21:54. > :21:57.to do that at the lowest cost to consumers will be taken and it is my
:21:58. > :22:04.view that leaving the EU will allow us to do that to a greater dxtent
:22:05. > :22:09.than in the past. Since 1990, the UK has decreased emissions by ` third
:22:10. > :22:17.more than the EU average, wd have set a target for 2030 which is
:22:18. > :22:22.likely to be a double decre`se compared to that of the EU `nd
:22:23. > :22:30.Paris. We will know logger be a will to influence to make more progress
:22:31. > :22:34.in this area? I am completely clear, European countries remain otr
:22:35. > :22:38.friends and great allies. Wd will continue to work with them. In
:22:39. > :22:45.leaving the European Union, it doesn't mean we are leaving Europe
:22:46. > :22:50.by any sense whatsoever. It is my expectation and anticipation that we
:22:51. > :22:56.remain closely aligned on global issues such as climate change. We
:22:57. > :23:01.will continue to play a leading role in the world's attempts to tackle
:23:02. > :23:10.this great threat. Number fhve Mr Speaker? At the heart of our energy
:23:11. > :23:14.strategy is the need to encourage new investment in the UK endrgy
:23:15. > :23:19.system. My department will continue to take action to deliver sdcure,
:23:20. > :23:23.affordable and clean energy for hard-working families and
:23:24. > :23:26.businesses. This work is already underway since the referendtm, we
:23:27. > :23:34.have accepted the committee for climate change on carbon budget
:23:35. > :23:40.five. We have updated the c`rbon market auction and the allocation
:23:41. > :23:45.round will go ahead later this year. The UK's failure to attract interest
:23:46. > :23:50.from the energy sector has `lready undermined energy security for
:23:51. > :23:58.generations to come. The Brdxit vote has led to further insecurity, how
:23:59. > :24:03.will the Minister ensure endrgy future? I completely don't recognise
:24:04. > :24:06.what the honourable lady is saying about our failure to attract
:24:07. > :24:11.international investment, it is clearly not the case. In offshore
:24:12. > :24:16.wind, we are attracting a htge amount of investment. We have the
:24:17. > :24:22.very successful turbine blade plant created, we have done energx,
:24:23. > :24:25.various different international developers putting in bids `nd
:24:26. > :24:32.building new offshore wind hn the UK. Onshore wind has been a huge
:24:33. > :24:36.success story, 99% of solar installations have taken pl`ce since
:24:37. > :24:41.2010. I earlier gave statistics about our share of the investment
:24:42. > :24:47.going into renewables, I just don't recognise what the honourable lady
:24:48. > :24:51.is saying? I congratulate mx honourable friend by confounding the
:24:52. > :24:58.doom mongers in this. Can I ask her if she would agree with me that
:24:59. > :25:04.Marrakesh in November will be a wonderful opportunity for the UK to
:25:05. > :25:09.showcase world beating edge in renewables technology and otr
:25:10. > :25:15.industrial base? I couldn't agree with him more. He is exactlx right,
:25:16. > :25:20.the UK is leading in both the deployment of renewables and getting
:25:21. > :25:24.the cost of that technology down through our policies. In our
:25:25. > :25:29.commitment to the car bombers in and tackling change and showing the rest
:25:30. > :25:35.of the world how much we want to lead in this area and we will
:25:36. > :25:44.continue to do so. Policy f`vouring small modular Reactor technology and
:25:45. > :25:47.manufacturing opportunities that the UK are equally important. In the
:25:48. > :25:51.constituency I serve, it is the ideal site for this and adv`nced
:25:52. > :26:00.reactor technology, does thd Minister not agree that the safety
:26:01. > :26:06.assessment should move forw`rd with greater focus on a realistic short
:26:07. > :26:10.list of organisations? I agree with the honourable lady that we need to
:26:11. > :26:15.move forward with this. The UK Government recognises the
:26:16. > :26:21.possibilities with small re`ctors. We have an ambitious nuclear
:26:22. > :26:26.research programme that includes the competition she mentions. Wd have
:26:27. > :26:31.made a commitment to publishing and S M R delivery road map in the
:26:32. > :26:36.autumn to clarify the UK pl`ns for addressing the issues she addresses,
:26:37. > :26:42.regulatory approvals and thd skills issues.
:26:43. > :26:51.Question # 7. With permission I will answer this question and qudstion
:26:52. > :26:53.number 8 together. The west bay to deliver lower energy bills for
:26:54. > :26:58.businesses and households is to have a robust and competitive endrgy
:26:59. > :27:03.market. There are now over 40 energy suppliers in the domestic rdtail
:27:04. > :27:09.energy market, up from 13 in 20 0. And independent suppliers now have
:27:10. > :27:12.over 1% of the dual fuel market competition is improving but we are
:27:13. > :27:15.not complacent and we are working forward to implementing the
:27:16. > :27:21.recommendations from the CM@'s final report. As a method of controlling
:27:22. > :27:27.their energy costs, Semex, who operate a large cement flant my
:27:28. > :27:29.constituency have adopted an alternative fuel deprived from
:27:30. > :27:33.household waste which has the benefit of making use of material
:27:34. > :27:37.that would otherwise go to landfill and is a great example of the
:27:38. > :27:41.circular economy. I wonder hf my honourable friend could say what
:27:42. > :27:44.steps she could do to encourage other energy intensive industries to
:27:45. > :27:49.consider the use of alternative fuels. Can I say, I really welcome
:27:50. > :27:54.this initiative in my honourable friend's constituency. My ddpartment
:27:55. > :27:57.is working closely with BIS, as well as with the nor gin tensive
:27:58. > :28:02.industrial sectors themselvds, including the cement sector in ways
:28:03. > :28:05.in which companies can reduce their emissions while still maint`ining
:28:06. > :28:09.competitiveness and the use of alternative fuels is an important
:28:10. > :28:13.part of this. What steps dods the minister plan it take to improve the
:28:14. > :28:17.effectiveness of the energy supply mark tote help small and large
:28:18. > :28:29.businesses expand, both in Wiltshire and the country? The CMA has said
:28:30. > :28:34.that the energy sector for larger businesses is competitive btt they
:28:35. > :28:39.have put forward some strong and sound remedies for micro-businesses,
:28:40. > :28:43.to improve such things as preventing automatic rolovers, without the
:28:44. > :28:47.consent of the business, to improve online quotations, and other
:28:48. > :28:52.remedies that actually will improve competition and the service
:28:53. > :28:56.available to micro-businessds. The Government has guaranteed an
:28:57. > :29:00.electricity price b three thmes the wholesale price of electrichty, to
:29:01. > :29:05.EDF, to build a nuclear white elephant at hidgely point C, can the
:29:06. > :29:08.minister explain how on earth that will benefit consumers wherd whether
:29:09. > :29:13.business or households in rdducing energy bills. I'm sure the
:29:14. > :29:17.honourable gentleman knows, that at the moment we bet get about 16% ever
:29:18. > :29:21.of our electricity every dax from nuclear and he will also know that
:29:22. > :29:27.those plants are all due to be retired at least by the end of the
:29:28. > :29:31.2020s and, therefore, new ndw clear form, the core part of how we
:29:32. > :29:37.replace our electricity supplies going forward. Hingely is a good
:29:38. > :29:42.deal for consumers. -- hat-trickily. Of course the mark to market costs
:29:43. > :29:47.change according to wholesale prices but the price of electricitx coming
:29:48. > :29:49.out of hingely by mid-2020s is guaranteed. Stress important for
:29:50. > :29:53.that certainty. This Governlent doesn't take the view that we'll
:29:54. > :29:59.just see what happens. What we have to do is to plan for the future
:30:00. > :30:05.Why? Because electricity security is not negotiable.
:30:06. > :30:07.Northern Ireland's households and businesses face the highest
:30:08. > :30:11.electricity bills in the whole of the UK. Businesses still face some
:30:12. > :30:15.of the highest for joy costs in you were yoo. Minister, can I ask what
:30:16. > :30:18.discussions you have had, or have had the opportunity to have for the
:30:19. > :30:21.minister in the Department of Trade enterprise and industry to dnsure
:30:22. > :30:25.everything is going Dobb ton drive the costs down for Northern Ireland
:30:26. > :30:30.customers? Of course, the honourable gentleman is right tow raisd this
:30:31. > :30:32.issue. What I can tell him hs that my department and others medt
:30:33. > :30:37.frequently with Northern Irdland ministers, to make sure that all of
:30:38. > :30:41.the benefits that can be passed on to Northern Ireland consumers are
:30:42. > :30:55.being done. And I welcome hhs contribution to the debate. You look
:30:56. > :31:00.surprised. I was listed for 9. THE SPEAKER: Can we be clear thhs. Could
:31:01. > :31:05.be a first. Is this a questhon upon which the honourable gentlelan does
:31:06. > :31:10.not which to give the House the benefit of his ear? Mr Speaker, I'm
:31:11. > :31:16.always happy to abade by yotr ruling. Very well. # He needn't
:31:17. > :31:22.worry. -- abide.
:31:23. > :31:27.One year ago, Dful EC's esthmate for the total lifetime cost for the
:31:28. > :31:32.nuclear power station at Hinkley C was ?14 billion. Recently that
:31:33. > :31:40.estimate was revised to 37 billion pounds.
:31:41. > :31:45.-- DEC. It has been said that hingely C is
:31:46. > :31:48.unlikely to go ahead. So dods this mean now that the minister doesn't
:31:49. > :31:53.have to worry about justifyhng the extra ?23 billion cost to the
:31:54. > :31:56.Treasury, or does she feel she doesn't need to explain the
:31:57. > :32:00.additional burden upon tax players. Splendid. Minister. I think the
:32:01. > :32:05.honourable gentleman possibly is misunderstanding. The cost of the
:32:06. > :32:10.project hasn't changed. The difference is, because of wholesale
:32:11. > :32:14.prices and because there is a fixed price agreed for consumers,
:32:15. > :32:17.therefore, as forecasted and as current wholesale prices ch`nge so
:32:18. > :32:22.will the difference between the fixed price and the wholesale price.
:32:23. > :32:27.So, to be clear, the cost of the project has not changed. It remains
:32:28. > :32:30.a good deal for consumers. The honourable gentleman is chuntering
:32:31. > :32:36.at me from his sedentary position. Let's be clear. We cannot jtst wait
:32:37. > :32:41.and see. You have to make investment decisions and stick by them. You
:32:42. > :32:46.cannot simply magic electricity out of thin air. You need to invest
:32:47. > :32:55.make decisions and be committed to them. Number 9. Mr Speaker.
:32:56. > :32:59.With permission, Mr Speaker, I will answer this question and qudstion 21
:33:00. > :33:04.together. Good progress has been made to date on the rollout of smart
:33:05. > :33:08.metres, with over 3.6 million metres installed across the countrx. And
:33:09. > :33:12.there is evidence that thesd consumers are already saving energy.
:33:13. > :33:15.Research by British Gas shows that smart metre customers have reduced
:33:16. > :33:19.their energy consumption by an average of around 3% for both gas
:33:20. > :33:24.and electricity. # Thank you, Mr Speaker. Can H thank
:33:25. > :33:26.my honourable friend for her answer. Having recently installed a smart
:33:27. > :33:31.metre. Oh. I can confirm it is a very tseful
:33:32. > :33:35.nool managing energy consumption. Will my honourable friend join me in
:33:36. > :33:40.encouraging my constituents to contact their energy supplidr and
:33:41. > :33:43.explore how these useful gadgets can actually save them some mondy. Yes,
:33:44. > :33:47.I can also tell my honourable friend that very useful if you go `way for
:33:48. > :33:50.the weekend as a parent and you suddenly see your electricity use
:33:51. > :33:57.going up dramatically, you know the kids are up to something. So, yes,
:33:58. > :33:59.he is exactly right. We need to encourage consumers to have smart
:34:00. > :34:03.metres installed in their homes to make sure they can enjoy thd
:34:04. > :34:06.benefits that he has. So, I do encourage his constituents `nd all
:34:07. > :34:11.of our constituents to find out more about the benefits of smart metres,
:34:12. > :34:20.or to request an installation or to visit the smart energy GB wdbsite.
:34:21. > :34:23.Thank you, Mr Speaker. Many of my vulnerable constituents werd on
:34:24. > :34:26.pre-payment metres and the smart energy metres present a terrific
:34:27. > :34:29.opportunity for them to get better value for money. Will my honourable
:34:30. > :34:34.friend agree with me that slart metres have a terrific role to play
:34:35. > :34:39.with the pre-payment customdrs. Hear, hear. My honourable friend is
:34:40. > :34:43.exactly right that smart metering will transform the experience for
:34:44. > :34:46.pre-payment customers, topphng up pre-payment metres should bdcome as
:34:47. > :34:52.easy as topping up a mobile phone and I welcome the fact that a number
:34:53. > :34:56.of energy suppliers are alrdady offering or trialing pay-as,you go
:34:57. > :35:03.services for their customers. Can I welcome the Secretary of State
:35:04. > :35:06.to her new post. She has done some very good work, apart from ly
:35:07. > :35:11.disappointment with her views on Brexit, but could I urge her today
:35:12. > :35:16.to think again about smart letering being rolled out to every home in
:35:17. > :35:21.the country and could I remhnd her, also, the research and innovation
:35:22. > :35:25.behind smart metering was p`rtly because university cooperathon
:35:26. > :35:27.across Europe. Already contracts have been withdrawn from Brhtish
:35:28. > :35:33.universities because we are going out on Brexit. Well, I'm very soary
:35:34. > :35:41.to disappoint the honourabld gentleman. I'm not actually in a new
:35:42. > :35:45.post. I'm in my old post. Sdcondly, I don't recognise any damagd to our
:35:46. > :35:49.smart metering rollout as a result, as he points out of contracts not
:35:50. > :35:54.being awarded to universitids. I don't - I haven't seen any dvidence
:35:55. > :35:58.of that. And thirdly, I would say to him, that it is our continudd plan
:35:59. > :36:03.that all households and bushnesses should be offered a smart mdtre by
:36:04. > :36:06.2020. Could the minister confirm today
:36:07. > :36:11.whether or not her department is to be abolished? And if so, who is
:36:12. > :36:16.going to take forward the work inborough groes on smart metres at
:36:17. > :36:23.Cabinet level? Well, he'll have to wait and see. But what I can tell
:36:24. > :36:29.him is that the commitment to our energy, to smart metres, to all of
:36:30. > :36:35.our policies, will remain as strong as ever Smart metres can reduce our
:36:36. > :36:40.energy usage but there are 34,9 0 excess winter deaths last ydar and a
:36:41. > :36:44.Panorama investigation reve`led over 9,000 of those were directlx related
:36:45. > :36:48.to living in cold and poorlx 46 insulated homes. So will thd
:36:49. > :36:52.Secretary of State explain why there has been an 80% drop in the
:36:53. > :36:55.installation of major energx efficiency measures in Brithsh homes
:36:56. > :37:00.over the last four years, and will she agree to have urgent talks about
:37:01. > :37:05.Lord Adonis to ensure that dnergy efficiency is a top prioritx for the
:37:06. > :37:11.national infrastructure comlission? I agree with him, that fuel poverty
:37:12. > :37:16.in this country has to be t`ckled. It is an absolute priority for my
:37:17. > :37:21.department. He may be aware that we have launched our consultathon on
:37:22. > :37:28.eco- to ensure that we refocus it on the fuel poor and we do everything
:37:29. > :37:37.we can to ensure warmer homds. Number 10. Number 10.
:37:38. > :37:42.Thank you, Mr Speaker. I'm happy to tell my honour`ble
:37:43. > :37:46.friend that switching was at a four-year high in 2015, with 6.
:37:47. > :37:52.million electricity and gas switchers across the UK, an increase
:37:53. > :37:55.of around 15% from 2014. 2 lillion further gas and electricity switches
:37:56. > :38:01.has already already taken place between January and March of this
:38:02. > :38:05.year, with 52% of these customers moving to new suppliers. I thank the
:38:06. > :38:08.minister for that response. Account minister confirm that the Government
:38:09. > :38:12.is specifically ensuring th`t those who are in most need or fin`ncially
:38:13. > :38:18.challenged, such as in my constituent of Eastleigh, or across
:38:19. > :38:21.the UK, who are in need of lower energy bills are benefitting from an
:38:22. > :38:24.efficient and easier switchhng regime? Yes, I can assure mx
:38:25. > :38:30.honourable friend that the Government is acting to do just
:38:31. > :38:34.that. In fact customers on dxpensive standard tariffs could save ?it 325
:38:35. > :38:38.by switching to the cheapest fixed deal, which is why we continue to
:38:39. > :38:48.encourage customers to switch through our big energy savings
:38:49. > :38:51.network initiative. Most tariffs remain absolutdly
:38:52. > :38:54.incomprehensible to compare. This particularly affects my most
:38:55. > :38:58.vulnerable constituents, thd elderly, the disabled, thosd with
:38:59. > :39:00.mental health issues. What leasures will the minister take to
:39:01. > :39:05.specifically support the most vulnerable?
:39:06. > :39:10.She is exactly right. This hs a very important area. And I can rditerate
:39:11. > :39:15.over the last three years the big energy saving network has rdached
:39:16. > :39:21.around 350,000 vulnerable consumers, helping them to reduce their bills
:39:22. > :39:25.by switching. And last year we ran a very successful, national TV and
:39:26. > :39:29.press advertising campaign, Power to Switch, where more than 38 lillion
:39:30. > :39:34.was saved by 130,000 households switching energy supplier. We
:39:35. > :39:37.continue to support good organisations like the Citizens
:39:38. > :39:40.Advice Bureau who often host these initiatives, who actual lie work
:39:41. > :39:44.face-to-face with vulnerabld consumers to help them in the
:39:45. > :39:48.process of switching. I do trge people who are struggling whth fuel
:39:49. > :39:53.bills to give it a try T re`lly is not too difficult.
:39:54. > :39:59.Number -- to give it a try. Number 11, Mr Speaker.
:40:00. > :40:04.With permission, Mr Speaker, I will answer this question and qudstion 13
:40:05. > :40:07.together. The UK's system of carbon budgets provides the long-tdrm
:40:08. > :40:12.certainty that businesses nded to invest in our low carbon economy. As
:40:13. > :40:15.my honourable friend will bd aware, the Government announced last month
:40:16. > :40:18.that he will accept the Comlittee on Climate Change's advice on the level
:40:19. > :40:20.of the fifth carbon budget, an announcement that has been widely
:40:21. > :40:25.welcomed by the business opportunity.
:40:26. > :40:29.Can I thank the minister for that answer and ask her to updatd the
:40:30. > :40:33.House on what steps the Govdrnment will take to involve investors and
:40:34. > :40:38.businesses in the preparation of its emission reduction plan? Well, as he
:40:39. > :40:40.would expect, we are alreadx busy working on that plan, with other
:40:41. > :40:43.government departments, with businesses, consumers and chvil
:40:44. > :40:49.society. So, for example, wd are already in discussion with the CBI,
:40:50. > :40:53.the #58dersgate Group and energy UK amongst others to arrange specific
:40:54. > :40:58.stakeholder events, ensuring our emissions reduction plan is built
:40:59. > :41:06.from the ground up with a r`nge of input from stakeholders.
:41:07. > :41:15.What assurances can the mintte you -- Minister give that there was
:41:16. > :41:20.support the domestic nuclear fuel industry and a low carbon ftture?
:41:21. > :41:26.Nuclear power is a vital part of our work to build a vital and sdcure
:41:27. > :41:31.clean energy system to keep the lights on in the years ahead. His
:41:32. > :41:35.consistency -- stitcher Runcie has a crucial role to play, providing the
:41:36. > :41:46.rods that powered the nucle`r fleet as well as that of his local
:41:47. > :41:52.constituency. With permission Mr Speaker I will answer this puestion,
:41:53. > :41:59.16 and 20 together. The govdrnment has engaged extensively with
:42:00. > :42:03.investors stating a clear mdssage that the UK remains open for
:42:04. > :42:07.business. I am very clear that the UK is an attractive environlent for
:42:08. > :42:11.investment in energy and my department will continue to use take
:42:12. > :42:14.the steps needed to deliver affordable and clean energy for
:42:15. > :42:20.families and businesses across the UK. As one former leadership
:42:21. > :42:23.contender to another, can I commiserate with her over the events
:42:24. > :42:29.of the last week and wish hdr well in the reshuffle today? The
:42:30. > :42:38.manufacturers organisation said that the decision to cancel the carbon
:42:39. > :42:42.capture and storage situation had damaged investor confidence in the
:42:43. > :42:47.industry and we have also hdard from one company who had invested in wind
:42:48. > :42:51.energy in Yorkshire says thd referendum means they face ` whole
:42:52. > :42:56.new set of unanswered questhons what steps is she taking to bring
:42:57. > :43:05.confidence to investors in low carbon industries? In fact, they
:43:06. > :43:10.have recommitted to their investment in Hull which is great for that
:43:11. > :43:15.area. I have had a meeting ` few days ago, it seems like a ydar but
:43:16. > :43:19.it was a few days ago, with the offshore wind industry Council. I
:43:20. > :43:24.talked to them about their confidence in investment. They all
:43:25. > :43:28.remain committed to the UK. We have EDF who have come out and
:43:29. > :43:34.reconfirmed their commitment to the UK. An CTF, as I have said lany
:43:35. > :43:40.times, we remain committed to what our future strategy will be, the
:43:41. > :43:44.fact the competition did not make the cut incomes of taxpayer value
:43:45. > :43:49.for money at the last spendhng round does not mean we are ruling out CC
:43:50. > :43:57.S, we think it plays an important role in our decarbonisation
:43:58. > :44:01.strategy. It has created widespread insecurity in the market and the
:44:02. > :44:05.wider economy, there are a range of possible opportunities in Brexit
:44:06. > :44:12.negotiations, each leading to regulatory options for Brit`in with
:44:13. > :44:16.the EU with implications for the investment trade in energy, what
:44:17. > :44:22.steps as the department takdn to guarantee that overseas invdstment
:44:23. > :44:29.is protected whatever the ottcome is? What I can say to the honourable
:44:30. > :44:34.lady is that there are huge opportunities that I believd will be
:44:35. > :44:39.seen in leaving the European Union. As is always the case in thd United
:44:40. > :44:45.Kingdom, we take great steps to ensure business confidence `nd to
:44:46. > :44:50.ensure that investors will be able to use our very sound contr`ct law
:44:51. > :44:55.and investor base to continte to fruition with their projects. I am
:44:56. > :45:00.sure the Minister would agrde with us that the EU exit boat has caused
:45:01. > :45:05.uncertainty and this new and unexpected government with the paint
:45:06. > :45:09.still giant will want to boost investment and development hn the
:45:10. > :45:15.energy sector. Can the Minister say how the government will cre`te
:45:16. > :45:18.incentives for investment and boost consumer confidence? My concern
:45:19. > :45:23.about investor confidence ldd to a significant move on my own part to
:45:24. > :45:28.make sure we had certainty hn the UK. I certainly think the ndw
:45:29. > :45:37.government will be absolutely keen to ensure investors that it remains
:45:38. > :45:44.a strong place to invest. Ntmber 14, Mr Speaker. The most effecthve way
:45:45. > :45:48.for energy consumers to makd sure they are on the best value tariff is
:45:49. > :45:54.to make sure they shop around. I encourage consumers to engage in the
:45:55. > :45:58.market and make use of the Ofgem price comparison website av`ilable.
:45:59. > :46:03.We have made it simpler and easier to switch supplier and we are
:46:04. > :46:08.working with Ofgem to removd two reliable next day switching. Many
:46:09. > :46:14.people remain unaware of how easy it is to switch energy suppliers and
:46:15. > :46:18.save money, what actions ard her department making to encour`ge
:46:19. > :46:22.people to switch suppliers? He is right we need to ensure that people
:46:23. > :46:27.are aware not only of the bdnefits of switching but how easy it is to
:46:28. > :46:30.do. We are taking steps to raise awareness through the big energy
:46:31. > :46:35.saving network, big energy saving week and the power to switch
:46:36. > :46:38.campaign. We are working to improve the switching process for ctstomers,
:46:39. > :46:42.launching the energy switch guarantee last month to givd
:46:43. > :46:49.consumers confidence to switch. And working to deliver next day
:46:50. > :46:58.switching. Question number 07 Mr Speaker. With permission, I will
:46:59. > :47:02.answer 17 and 19 together. Our top priority is to make sure falilies
:47:03. > :47:07.and businesses have secure dnergy supplies. And that the National Grid
:47:08. > :47:11.has the right tools in placd to manage the system. Energy sdcurity
:47:12. > :47:15.has been strengthened by reforms to the capacity market including
:47:16. > :47:24.holding an auction this comhng winter for delivery in 2017,18. As a
:47:25. > :47:29.promoter of the act in 2009, I am interested in energy supply in
:47:30. > :47:34.winter, will she do all she can to encourage investment in new gas
:47:35. > :47:37.generation? The capacity market is the best way to make sure wd have
:47:38. > :47:43.the infrastructure to cope with unexpected demand leaks. We are
:47:44. > :47:49.committed to more capacity `nd buying it sooner. New build capacity
:47:50. > :47:51.is eligible for 15 year agrdements providing a secure revenue stream
:47:52. > :48:00.and encouraging new gas infrastructure. Yesterday I launched
:48:01. > :48:05.a new all-party group for m`rine energy. To promote the fant`stic
:48:06. > :48:09.potential from the to mulch or a energy, whether tidal streal always.
:48:10. > :48:14.Does the Right Honourable friend agree that when the review comes out
:48:15. > :48:17.the government should respond as fast and positively as posshble to
:48:18. > :48:24.make us a world leader in what could be one of the greatest sources of
:48:25. > :48:27.energy in the world? We recognise the potential of tidal lagoons in
:48:28. > :48:31.the UK which is why we commhssioned this review. We are committdd to
:48:32. > :48:36.providing clean and affordable and secure energy we can rely on now and
:48:37. > :48:41.in the future. This review will report in the autumn and help us
:48:42. > :48:51.determine what role tidal l`goons can play in it. Finally, nulber 22.
:48:52. > :48:56.There are strong protection for sensitive areas already provided at
:48:57. > :48:59.the existing regimes. These regulations ban fracking in national
:49:00. > :49:06.parks, areas of outstanding natural beauty and other sensitive `reas to
:49:07. > :49:10.a depth 100 metres. After the consultation on 28th of Jund,
:49:11. > :49:16.fracking will not be omitted from wells drilled at the surfacd of the
:49:17. > :49:21.most valuable areas including sites of special scientific interdst. I am
:49:22. > :49:27.grateful for the Minister's response. Licences have been granted
:49:28. > :49:31.in areas of green belt and nature compensate -- conservation status in
:49:32. > :49:46.my constituency. Can the Secretary of State assure me that at, the
:49:47. > :49:58.Minister, to protect green belt sites? I can reassure my honourable
:49:59. > :50:04.friend that the report will consider sensitive areas. It will prdvent
:50:05. > :50:08.drills at the service of national parks, areas of outstanding natural
:50:09. > :50:21.beauty, Royal Heritage sites and sites of special scientific
:50:22. > :50:31.interest, ensuring 2000 sitds. As things stand Mr Speaker, I `m
:50:32. > :50:36.delighted that the honourable gentleman opposite and myself are
:50:37. > :50:40.able to take forward the very enormous, as we have heard, job
:50:41. > :50:44.that the Department of Energy and Climate Change has to-do. I am sure
:50:45. > :50:51.there will be further announcements later on that we are all looking
:50:52. > :51:00.forward to hearing. I worryhngly have a very split constituency, what
:51:01. > :51:04.progress can be made to enstre that all cars imported to this country
:51:05. > :51:13.actually meet our rigorous dmission standards? I can absolutely assure
:51:14. > :51:18.my honourable friend that the Department for Transport ard looking
:51:19. > :51:21.closely at emissions in the area of transport and vehicles. There will
:51:22. > :51:27.be further measures brought forward this autumn looking at how we can
:51:28. > :51:34.meet the increasingly stringent requirements for emissions. In the
:51:35. > :51:41.UK, there are 23,000 businesses with solar panels on the roof, if
:51:42. > :51:46.proposals in business rates go ahead, these companies, instead of
:51:47. > :51:52.paying ?8 per kilowatt could pay between 43 and ?61 from next April.
:51:53. > :51:56.Up until last week, her dep`rtment did not even know about this. Will
:51:57. > :52:01.she find out white officials have been sleeping on the job and speak
:52:02. > :52:07.to the Minister to get this mess sorted out? I am absolutely not
:52:08. > :52:12.aware that we were sleeping on the job. I will certainly, if the
:52:13. > :52:17.honourable gentleman wants le to, we will look into it but we ard
:52:18. > :52:21.certainly not asleep on the job I have never known my honourable
:52:22. > :52:29.friend to sleep on the job `nd I wish her well. On the northside of
:52:30. > :52:33.the rumours, power station has closed down and on the south side we
:52:34. > :52:40.have the blight of a new wind farm being built. Can right honotrable
:52:41. > :52:44.friend reassure my constitudnts that the scientifically signific`nt
:52:45. > :52:49.marshes would not be lighted if fracking goes ahead? We havd more
:52:50. > :52:53.than 50 years of drilling experience in the UK and one of the best
:52:54. > :52:57.records in the world for economic development while protecting our
:52:58. > :53:02.environment. All onshore oil and gas projects including shale gas are
:53:03. > :53:10.part of a system that addresses traffic movement, noise levdls and
:53:11. > :53:13.so on, new development must be appropriate for the location. It
:53:14. > :53:16.takes into account the effect on health, natural environment, General
:53:17. > :53:23.amenity and any adverse effdcts from pollution. I do hope that I can
:53:24. > :53:29.reassure my honourable friend that his constituency will be protected.
:53:30. > :53:33.The lagoon project is hugelx important, not just for Swansea in
:53:34. > :53:36.south Wales but potentially similar projects. When will the Minhster
:53:37. > :53:42.have news of the Independent report and what is the timetable for that
:53:43. > :53:46.decision? She will be aware that Charles Hendry was appointed to look
:53:47. > :53:50.in the whole case of tidal lagoons and what contribution they could
:53:51. > :53:55.make to our future security in energy. Importantly, the cost of it.
:53:56. > :54:00.That report will be later this year, I cannot but a specific timd on it
:54:01. > :54:06.but we are acting on it as fast as we possibly can. What assessment has
:54:07. > :54:11.my honourable friend on the assessment of Hinkley point
:54:12. > :54:15.following the result of the EU referendum? Good progress continues
:54:16. > :54:19.to be made, having visited the site at Hinkley point myself a fdw months
:54:20. > :54:24.ago, it was apparent that a huge amount of work is already going on.
:54:25. > :54:27.As my honourable friend will housing, EDF have renewed their
:54:28. > :54:33.commitment to the project following the result of the referendul on 23rd
:54:34. > :54:36.of June. Does the Minister `gree that the scrapping of the Ddpartment
:54:37. > :54:41.of Energy and Climate Changd can only be taken as a signal that the
:54:42. > :54:48.new government attaches less significance to these important
:54:49. > :54:52.issues? I absolutely don't `gree. The assumption that you havd to have
:54:53. > :54:57.a Department for something hn order to be able to meet its objectives is
:54:58. > :55:02.not one I would agree with `t all. I have just been sent to report from
:55:03. > :55:10.Southend-on-Sea citizens advice bureau calling for a fair ddal for
:55:11. > :55:13.prepayment meter users. Thex seem to be getting a second-class sdrvice.
:55:14. > :55:20.Given they are the most vulnerable people, would buy it -- with my
:55:21. > :55:25.honourable friend see that her department helps them. Prep`yment
:55:26. > :55:28.meter customers get a raw ddal with far less choice of tariffs `nd
:55:29. > :55:32.suppliers than customers who pay by other methods. That is why we are
:55:33. > :55:38.supporting the recommendations to make it easier for prepayment meter
:55:39. > :55:44.customers to switch energy supplier and a safeguard tariff cap for these
:55:45. > :55:48.customers until competition in this segment of the market improves
:55:49. > :55:52.significantly. Can I also whsh the honourable lady well in the
:55:53. > :55:55.reshuffle, we worked closelx together on early interventhon
:55:56. > :56:01.policy and I know how committed she is to that area of policy. One of my
:56:02. > :56:04.constituency recently attended surgery over a protracted ddalings
:56:05. > :56:11.with her energy supplier, elpower, who continually failed her `nd made
:56:12. > :56:16.a huge error resulting in a very large overpayment. Since my
:56:17. > :56:21.intervention, they have apologised and offered ?150 in convers`tion.
:56:22. > :56:25.This has been going on sincd 20 3. Can the Minister assure me `nd the
:56:26. > :56:28.house that these energy companies will treat customers fairly and with
:56:29. > :56:35.respect and agree with me that they should be held fully to account I
:56:36. > :56:38.completely agree with the honourable lady, she isn't Zack Lee Wrhght
:56:39. > :56:43.Energy suppliers must behavd properly to their customers. We see
:56:44. > :56:44.too many complaints, not a good enough surface and that has to
:56:45. > :56:54.change. Can I congratulate my honourable
:56:55. > :56:57.friend for fielding the questions in the last hour and also for the
:56:58. > :57:01.manner which she has conducted herself in the last week, where I
:57:02. > :57:07.believe she has done herself a great deal of credit and I add my voice to
:57:08. > :57:11.those wishing her well later today. Willing to the historic of the
:57:12. > :57:18.British people leaving the TK. The UK has control over VAT one of the
:57:19. > :57:21.ways we could help households with high energy bills is to cut VAT on
:57:22. > :57:26.energy would. The minister support that? Well, I'm grateful to my
:57:27. > :57:29.honourable friend, and to ptll collective responsibilities a once
:57:30. > :57:34.again taken effects I would like to reassure him that VAT is of course a
:57:35. > :57:38.matter for the Treasury. But I do agree with my honourable frhend on
:57:39. > :57:41.the need to reduce the numbdr of households and fuel poverty which is
:57:42. > :57:45.why we are consulting on proposals to know cows more of the endrgy
:57:46. > :57:49.company obligation on those most in need and we have laid regul`tion
:57:50. > :57:54.that is will see continued support for more than 2 million households
:57:55. > :57:58.through the warm home discotnt. In the minister's remarks, she
:57:59. > :58:01.suggested there has been no loss of confidence in investment in clean
:58:02. > :58:06.energies as a result of the vote to leave the EU. Would she then like to
:58:07. > :58:13.explain why a Swedish firm `re reviewing their investment hn the
:58:14. > :58:17.UK, ?5.5 billion of investmdnt in off-shore wind is at risk.
:58:18. > :58:21.I think what I made clear is that there is continued, enorm wrus
:58:22. > :58:25.investment coming into the TK, from offshore and on-shore investors I'm
:58:26. > :58:30.in the aware of the particular point she's raising but I can tell her the
:58:31. > :58:34.UK remains a very attractivd place to invest. And this Governmdnt is
:58:35. > :58:38.doing everything it can to lake sure we get even more overseas investment
:58:39. > :58:43.in our energy infrastructurd. Thank you, Mr speaker, what steps is
:58:44. > :58:50.my honourable friend taking to ensure the effectiveness of the
:58:51. > :58:56.capacity mechanism in bringhng forward new gas-fired areas, such as
:58:57. > :59:01.in the Carrington site? Well, the capacity market is incredibly
:59:02. > :59:05.important for ensuring secure energy supplies and what we've recdntly
:59:06. > :59:10.done is announced we are gohng to be bringing forward an earlier auction
:59:11. > :59:16.for 2017/18, and securing more capacity early and what we hope is
:59:17. > :59:19.that that will enable us to get over this short-term issue where
:59:20. > :59:25.wholesale prices are so low that the viability of power stations is at
:59:26. > :59:30.risk and by having that cap`city mechanism firmly imbedded in our
:59:31. > :59:33.energy supply, we believe wd will be bringing forward new, attractive gas
:59:34. > :59:37.investment through longer-tdrm contracts which will be to the
:59:38. > :59:42.benefit of the UK energy consumerment
:59:43. > :59:47.On the subject of the capachty auctions, the minister will be aware
:59:48. > :59:52.that the Government has madd an investment that the capacitx auction
:59:53. > :59:55.this winter could put ?36 on customer bills. Bearing in
:59:56. > :59:59.maintained she has talked about keeping bills down today, how does
:00:00. > :00:04.she think that's going to affect customer bills? Our central
:00:05. > :00:09.assessment is that the impact on bills could be up to ?28. However,
:00:10. > :00:14.our impact assessment also shows that in the events we did something,
:00:15. > :00:20.that further power station closures could add a further ?46 to consumer
:00:21. > :00:23.bills so. We believe this is good value for consumers and it provides
:00:24. > :00:28.the energy security that we all rely on.
:00:29. > :00:31.What opportunities does my honourable friend see, both of
:00:32. > :00:35.inward investment but also selling our services abroad as a result of
:00:36. > :00:43.breaking free from the shackles of the EU? Well, I personally believe
:00:44. > :00:47.there will be huge opportunhties. I think we now have the chancd to
:00:48. > :00:50.negotiate free trade deals with the rest of the world. We have the
:00:51. > :00:55.opportunity to determine policies for energy, without the need to
:00:56. > :00:58.constantly look for EU statd aid. I think the opportunities for the
:00:59. > :01:04.future are enormous and I look forward to being able to promote UK
:01:05. > :01:10.PLC in the world. ! THE SPEAKER: Order, busindss
:01:11. > :01:14.question, Mr Paul Flynn. Will the Leader of the Housd give us
:01:15. > :01:19.the business for next week? The Leader of the House, Mr Chris
:01:20. > :01:23.Grayling. Mr Speaker, the btsiness for next week on mopped 18th July
:01:24. > :01:24.we'll have a debate on the lotion