Dame Harriett Baldwin MP: Climate-Related Speeches In Parliament

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Harriett Baldwin's Speeches In Parliament Related to Climate

We've found 30 Parliamentary debates in which Harriett Baldwin has spoken about climate-related matters.

Here are the relevant sections of their speeches.

• 16 Dec 2024: Royal Mail Takeover

  17:54

  I can assure the hon. and learned Member that there is nothing in the deal that affects the universal service obligation, and it is our understanding and commitment to continue to ensure that there is a universal service obligation moving forward. There are commitments in the agreement to deliver more investment. On the van network, I know that Royal Mail has purchased a number of vans in recent times, conveniently from the Stellantis plant in my constituency. Hopefully, that will be replicated throughout the country, because it is an ageing fleet. As the company has ambitious targets to meet net zero, I think it wants to improve the make-up of the stock.

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• 28 Oct 2024: International Engagement

  18:07

  I am grateful to my hon. Friend for raising this issue. He is right: it is an issue of which not only UK farmers and agriculture experts in our universities but the British public are deeply supportive, and the Government are determined to do what we can to support sustainable agriculture. We see, for example, very little climate finance going into that arena. More of it should be going there, which is why the UK is working with the US and, indeed, announced support for joint initiatives last week at the World Bank annual meeting.

  I welcome the Minister's repeated references to tackling both the climate and the nature crises. In the context of the Prime Minister’s recent attendance at CHOGM, we know that many Commonwealth countries are among those most exposed to climate change, and that that has a particular impact on small island states such as Samoa. Will the Minister outline in more detail the work that the Government are doing to put climate at the heart of our foreign and development policy?

  I am grateful to my hon. Friend for raising such an important issue. There are indeed many small island developing states among the Commonwealth states, and for them the climate crisis is an existential issue. We have seen severe impacts on a number of small island developing states, with extreme weather and erosion having a huge effect on people’s security and their livelihoods. Under the new Government, the UK is determined to exercise leadership on this issue, and that has included a range of measures. I will not go through them now, but one critical element is ensuring that there is support for adaptation as well as for mitigation. These small states really need to be helped to adapt to the new weather systems that we are seeing, and the UK Government are doing all that they can to ensure that that happens.

  The pandemic, rising interest rates, and rising wheat and energy prices after Putin’s invasion of Ukraine have led to a debt crisis in low-income nations. Some 32 African nations spend more on servicing their debt than they do on healthcare. I used to work in one of the world’s poorest nations, Somaliland. I have seen what grinding poverty can do. The horrors of climate change are leading to drought, hunger and death. Will the Minister consider repeating one of the proudest actions of the last Labour Government by acting to end the debt crisis and, by doing so, help to end extreme poverty once and for all?

  I am very grateful to my hon. Friend for raising this issue, and for his passion in doing so. He is absolutely right: many countries have to pay substantial amounts on servicing debt at the same time as having to deal with repeated crises—not least the nature and climate crisis, but also crises deriving from conflict—so we need to show leadership on these issues. That is why we are working with the rest of the G20 on their framework. It needs to be faster and stronger, and it needs to work better. We will play our part in trying to ensure that, and we will work with the Paris Club on this agenda too.

  I have to say that I find the right hon. Gentleman’s question rather surprising. I do not believe that Heads of Government are in any doubt about the new UK Government’s approach to these questions. Indeed, the new Government, the Foreign Secretary, the Prime Minister and the ministerial team have had more engagement with Heads of Government and our friends in the Commonwealth than we have seen for a very long time. That engagement is clear, and our message is very clear indeed. As I said, the Prime Minister himself has articulated that, including in Samoa. He made it clear that none of the UK Government discussions had been about money, and our position is very clear: we do not pay reparations. As I explained during my statement, the focus of conversations at CHOGM was the fact that we need to act together on the climate crisis, and to drive growth and prosperity for the whole Commonwealth.

  I am grateful to my hon. Friend for raising this issue, in which she has considerable experience. Globally, by 2030, 60% of people in extreme poverty will live in fragile and conflict-affected states. We need to see much more action: less than 5% of climate finance, for example, goes into adaptation, with only a tiny fragment going into fragile and conflict-affected states. The UK is determined to exercise leadership, and the new Government have been pressing multilateral institutions to do more. Last week, at the World Bank, we saw some important moves, which I am pleased to say were pushed by the new Government.

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• 22 Jul 2024: Economy, Welfare and Public Services

  17:56

  In my time as Chair of the Treasury Committee, we had the opportunity to have a private session with the IMF. It is interesting to observe that many of the measures put forward by the Government in the King’s Speech were in the IMF’s prescription for the UK economy. Reforming planning and building on our beloved green belt were from the IMF, as was strengthening the role of the Office for Budget Responsibility and crowding in private capital on net zero projects via a national wealth fund.

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• 26 Jan 2023: International Day of Education

  13:49

  In my right hon. Friend’s powerful opening speech, we heard about the important ways in which enabling every child in the world to get a quality education could make our future so much brighter. Growing the world’s economies, making sure we are all healthier, and helping to tackle climate change are all powerful and provable implications of ensuring that every child gets a good education.

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• 20 Jul 2022: Oral Answers to Questions

  I commend my right hon. Friend for his amazing service as COP26 President. Will he make it his objective to ban the sale of Chinese lanterns across the UK? Across our tinder-dry land they are simply acting as unguided flamethrowers.

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• 6 Jul 2022: Strategy for International Development

  16:38

  I am so pleased that £479 million of investment has gone into climate finance. There is so much more that can be done on this. Countries with very little electricity distribution can benefit from clean energy and clean energy investment, which will make so much more sense economically than other sources of energy.

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• 20 Apr 2022: Oral Answers to Questions

  T6. As the Foreign Secretary writes her international development strategy, what conversations is the COP26 President having about the importance of international climate finance for the very poorest countries in the world? ( 906539 )

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• 21 Sep 2021: Topical Questions

  T3. I recently held an event for leading Worcestershire businesses on the journey to COP26 and net zero, and was impressed with their plans for investment. Will the Secretary of State reassure the House that now that one in six cars purchased in this country are electric, the grid will be strengthened in rural areas to ensure the widespread adoption of this new technology? ( 903555 )

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• 14 Jul 2021: Topical Questions

  As the president-designate says, it is not just world leaders and Governments who are needed to make COP26 a success, but parliamentarians from around the world. As chair of the British Group of the Inter-Parliamentary Union, we will be hosting events for parliamentarians around the world, and I hope that my right hon. Friend will encourage his officials to accredit as many parliamentarians from international delegations as possible.

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• 28 Jan 2021: UN International Day of Education

  15:44

  The Minister will know that I oppose the temporary reduction of the overseas development assistance target, as it not only breaks our manifesto commitment, but will mean that there is less money available to tackle hunger, deliver vaccines, educate children in poor countries and make sure they have clean water. I welcome the commitment that the UK has made to the Vaccine Alliance, and the commitment that we have made to doubling international climate finance, but can the Minister reassure the House today that the cut to the aid budget is not going to affect the money spent on education for the world’s poorest children? Will our contribution to the replenishment of the Global Partnership for Education be at least as generous and ambitious as before? Will as many girls as before be helped to remain in school through projects such as the Girls’ Education Challenge? Will she consider launching more UK Aid Match projects so that we can all donate more and have it matched by UK aid? What progress is she making as Minister for the European Neighbourhood and the Americas in encouraging our friends in the US to step up and spend more on global education under the new Biden Administration?

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• 11 Jan 2021: Global Britain

  21:00

  We have heard today how global Britain will be presiding over the G7 and COP26, and there are going to be excellent uses for UK aid at those events. We will also be giving a generous amount to GAVI, but would it not be wonderful if it were the UK vaccine that was being deployed around the world? This is a year in which we should be increasing our aid budget, not cutting it.

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• 7 Oct 2020: Pension Schemes Bill [Lords]

  14:45

  Let me turn to climate change risk. The Treasury Committee, on which I now serve, is currently doing an inquiry into green finance, and it is clear that the UK has a huge opportunity to make the most of our leadership—not only on climate generally, but also as a financial centre—and to be the go-to place for green finance, green investment and green bond insurance. I heartily endorse the call of my hon. Friend the Member for Grantham and Stamford (Gareth Davies) for the UK to show the way not just by being the place where other countries come to issue green bonds, but by being the country that issues green bonds itself to invest in greening our economy.

  I am grateful to my hon. Friend for what she is saying, but as for what Mr Mark Carney has said, she will be aware that he is a member of the Task Force on Climate-related Financial Disclosures. Under the Bill, the UK will be the first G7 country to bring such disclosures into statute. The advantage of that is that the very aspect that she has highlighted as a problem—FTSE 100 companies are not aware of what the risk is from climate change to the way in which they do business—will be tackled, as they will now be forced to disclose that on an ongoing basis to the wider market and individual consumers with pension investments. I believe that the issue raised by Carney, the Treasury Committee and others is addressed in the Bill and the consultation that accompanies it.

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• 21 Jan 2020: Climate Change

  12. What progress her Department has made on tackling climate change. ( 900286 )

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  Businesses such as Frank Matthews tree nursery in my constituency play a vital role in growing the trees that we will need to combat climate change. How will the Department ensure that the trees we plant are native, sustainable species?

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• 10 Jul 2019: Climate Change, the Environment and Global Development

  18:00

  It is great privilege to reply to this debate. In this Parliament over the last few months, a 93-year-old man, Sir David Attenborough, has spoken powerfully of the need for us to act, and a 16-year-old girl, Greta Thunberg, has come here and told us of the need to act. In the last week, many of our constituents have come to say that the time is now for all of us to act. I am proud to be speaking at the Dispatch Box representing the greenest Government ever of the country that has gone faster than any other major industrialised country to decarbonise, and which is indeed decarbonising faster than any other country in the G20.

  Millions of women will have got up this morning in Africa and walked for miles to cut down a tree, turn it into charcoal and cook using it in their own home in a way that poisons them and their family. This is one of the biggest killers in our world today. What came through loud and clear in today’s debate is that this is a global challenge and a global problem. Yes, we have to do our bit here in the UK, but we must also keep at the front and centre of our work the very poorest, who are likely to be the most affected by climate change.

  I welcome the spirit of today’s debate. There has been a huge amount of cross-party support. That is important because passing the legislation to go to net zero without a vote in this Chamber, as we did last week, sends out the most powerful signal that we can send to the UK private sector that, whatever happens in our politics, everyone is on the same page on this agenda. Of course, there may be differences about what we do and how fast we go, and a range of different points of view were expressed on that today, but what was most powerful overall was that everyone agreed, cross-party, that this is something we need to tackle.

  We are all agreed that climate change remains one of the biggest global threats to sustained development and, indeed, to our own way of life. No country on this planet is projected to be spared from further temperature increases, and the world is already facing serious challenges to the natural environment, food production and water resources. The challenges posed by change to our climate are systemic. Much more needs to be done and greater global ambition is needed. That is why the UK is jointly bidding with Italy to host next year’s COP 26.

  We have had an excellent debate, full of a range of very strong contributions. Although the hon. Member for Liverpool, Walton (Dan Carden) objected to a Business Minister opening the debate, he will be interested to know that 34% of all our climate finance is spent by the Department for Business, Energy and Industrial Strategy. He will also be interested to know that the multilateral development banks agreed at last year’s COP to align their $200 billion of climate finance with the Paris agreement—that is a point he specifically requested.

  The shadow Minister talked about the importance of climate finance. The UK has led the world in green finance. We published a further green finance strategy last week, and the leadership of Mark Carney at the Bank of England has been strong in this area, including on disclosure in annual reports. The City of London has shown itself able to attract a lot of listings, and we have more than $25 billion of funding going into green developments, which has happened as a result of the UK’s leadership in this area. We need to carry on with that because such investments can often be very capital intensive.

  That this House has considered tackling climate change, protecting the environment and securing global development.

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• 4 Jul 2019: Forced Displacement in Africa

  14:31

  The hon. Member for Nottingham North (Alex Norris) spoke of how climate change is exacerbating the situation. It is doing so in the Lake Chad basin, which has been dramatically reduced. It is clearly exacerbating the movement between herders and pastoralists in central Nigeria, which has been an area of terrible conflict, and other things across the whole of the Sahel—Darfur was also mentioned. That is why we are stepping up what we are doing not only on climate, but also in the Sahel. There is more that we can do on the use of things we have invented, such as more drought-resistant millet, and there are different interventions with trees that can make a difference. There is always scope for us to scale up what we are doing to tackle these issues.

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• 1 May 2019: Climate Change

  Tackling climate change is a priority for the Government. We have committed £5.8 billion to help developing countries to reduce emissions and to manage the impacts of climate change. To date, our support has helped 47 million people cope with the effects of climate change and supported 17 million people to gain access to clean energy.

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  It is really important that we all recognise that the world has signed up to sustainable development goals. Part of that sustainability means that any new investments should avoid fossil fuels as much as possible. We have shown leadership on that recently. For example, the recent round of bids from the Green Climate Fund, which we helped to fund, has led to a lot of renewable energy projects in Africa and elsewhere.

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  Of course that is a very important priority. Humanitarian assistance continues to be what we spend most on, but the emphasis of that can also be sustainability. We do a great deal to ensure that. The £5.8 billion that we have so far contributed to international climate finance gives an idea of the level of our commitment to this issue around the world.

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• 20 Mar 2019: Oral Answers to Questions

  Climate change is a major threat to achieving the sustainable development goals, and tackling it is a strategic priority for the Government and for my Department. The Government are delivering £5.8 billion in international climate finance to help developing countries to reduce emissions and to manage the impact of climate change.

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  I welcome the opportunity that the interest young people are showing in climate change gives us to highlight the important work that we are doing. I can assure the hon. Gentleman that we do not provide any bilateral assistance for coal-fired power generation, and that CDC, our private sector investment arm, has made no new net investments in coal-fired power since 2012.

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  The hon. Lady is absolutely right to highlight the importance of commitments that were made last year at the Commonwealth Heads of Government meeting. There is an extensive programme of work to follow through on those commitments, not least the £5.8 billion of international climate finance that we have announced so far, which has already helped 47 million people to increase their resilience to climate change. We will be leading that strand at the United Nations summit in September.

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  We have an important role to play in working with our international bilateral partners to encourage the use of clean growth and clean energy. For example, the week before last, we held an event here in support of sustainable development goal 7 to which we invited African Energy Ministers from developing countries to meet some of the people we have in the UK with expertise on renewable energy.

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  That is exactly why the UK is proud to be stepping up our work on international climate finance. We have committed £5.8 billion to work with some of the poorer countries in the world, including those affected by this cyclone in Mozambique. There will be an urgent question later, when I will be able to elaborate on the work that the UK has done to help with the situation there.

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  I can confirm that we are already committed to spending £5.8 billion over this spending period, which will involve us being able to increase our finance over the next spending review period. There will be an urgent question later, when we can talk about the specific situation in Mozambique. The report from the Independent Commission for Aid Impact recently said that UK international climate finance is showing a very convincing approach, with some good emerging results in terms of influencing others. We aim to continue with that work.

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• 11 Mar 2019: Commonwealth Day

  18:37

  The three pillars of the Commonwealth have made important progress, delivering on the Commonwealth Heads of Government commitments, and we will continue to drive this engagement in the year ahead to the Commonwealth Heads of Government meeting 2020 in Rwanda. This Government are determined to make the most of our two years as chair-in-office. As we mark the 70th anniversary of the modern Commonwealth next month, we also want to ensure that it can meet future challenges—from climate change to cyber-attacks—and to seize the opportunities from the organisation’s huge diversity and global reach. As I said last week, we will work tirelessly with our Commonwealth partners to build a fairer, more sustainable, more prosperous and more secure Commonwealth. I commend this statement to the House.

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• 7 Mar 2019: The Modern Commonwealth: Opportunities and Challenges

  16:46

  My right hon. Friend the Member for East Devon (Sir Hugo Swire) made an excellent speech, and one that I hope to emulate by presenting the importance of that fast growth in Africa and the trade opportunities that that presents. The right hon. Member for Delyn (David Hanson) rightly talked about climate change. He asked for a quarterly update. I cannot say that I can promise that at this point, but I can say that the work is there if he wants to probe further on that through the other means available to him. He largely spent his speech focusing on the incredibly important issue of modern slavery and the really valuable work that the Commonwealth Parliamentary Association is able to take forward with legislators from—I think—40 different countries.

  My right hon. Friend the Member for Witham (Priti Patel) talked about the future and the importance of focusing on the youth of the Commonwealth, which has such a young population. She highlighted the situation in India. The hon. Member for Bristol East (Kerry McCarthy) made a really important contribution, highlighting the value of the work that has been done across the Commonwealth on not only the Clean Oceans Alliance but climate change, and I shall touch a bit more on that very important issue as I go through my speech.

  The absolutely indefatigable hon. Member for Strangford (Jim Shannon) made a passionate speech, as he always does, about his campaign passion—Christianity around the world, and the importance of freedom of religion and belief. We should recognise how much the Government are already doing in this area, but his important recommendations will inform that work. Many of the issues and conflicts that he mentioned also related to other matters raised in the debate, including climate change.

  As colleagues have pointed out, it is our two years as Commonwealth chair-in-office, and we are already working closely with our friends in Rwanda, given that they are hosting the next Commonwealth Heads of Government meeting in 2020. The UK is unbreakably bound to the Commonwealth and its democratic values. As chair-in-office we are promoting those values, and we are working to help the Commonwealth realise its potential for prosperity, security, fairness and sustainability together. We are also working to tackle global challenges such as climate change, extremism and modern slavery, and to support small, fragile and vulnerable states. It is truly a remarkable organisation with a remarkable reach.

  We are determined to make the most of our two years as chair-in-office, to ensure that a modern Commonwealth can meet future challenges, from climate change to cyber-attack, and to seize the opportunities flowing from the organisation’s huge diversity and enormous global reach. We have made important progress, but there is a huge agenda and lots more to do. We will work tirelessly to build a fairer, more sustainable, more prosperous and more secure Commonwealth. The fact that countries wish to join and to rejoin the Commonwealth, as Gambia did last year and as the Maldives wishes to do now, demonstrates its value. We must realise that value to the full. I am delighted to recommend that all members of the Commonwealth take the opportunity to read the debate that we have had this afternoon.

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• 27 Feb 2019: Future of DFID

  15:49

  Members discussed the fact that some other Departments spend overseas development assistance. Of course they do, for a range of things, whether that is trade, development, the work of the National Crime Agency, the work on the environment and plastics through the Department for Environment, Food and Rural Affairs, or the work that we do on tackling climate change, which needs to be joined-up across government. There was a wide outbreak of consensus on that.

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• 13 Feb 2019: Oral Answers to Questions

  I know that the hon. Gentleman shares my commitment to doing what we can to tackle the incredibly important issue of climate change. We should be wholeheartedly supporting opportunities that work as climate change initiatives to move power beyond coal.

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• 9 Jan 2019: Topical Questions

  I assure the hon. Lady that, on climate change, we continue to improve access to clean energy for millions of people worldwide. That is an important part of the work that we do within our UK aid budget.

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• 27 Nov 2018: Nigeria: Armed Violence (Rural Communities)

  10:39

  Our high commission in Abuja is engaging closely with religious and traditional leaders from a range of communities and faiths. We are working with international partners to support the Nigerian Government in their strategic response, and encouraging them to address all the complex causes of violence. Colleagues asked about the role of DFID programming. Of course that is focused very much on ending poverty and tackling the drivers of poverty. In that context, this year, our programming bilaterally in Nigeria is some £235 million, but that would be added to by the multilateral programming that we engage in through other organisations. The emphasis is on the kinds of approaches known to be best for addressing the causes of poverty in the long term, such as education, nutrition—particularly for under-fives—and healthcare programmes. There are programmes on adaptation to climate change; access to safe water and sanitation for many communities; governance at federal and state level and, for next year, ensuring that free and fair elections are held. Many programmes are about human trafficking. There is an extensive range of DFID programming in Nigeria, but it requires political will in Nigeria. Political will to deal with the situation at the federal level is vital.

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• 21 Nov 2018: Topical Questions

  The hon. Gentleman will be pleased to hear that £5.8 billion from our aid budget is to be spent in this area over the years to come and that so far it has helped 47 million people adapt to climate change around the world.

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• 10 Oct 2018: Kerala: Summer Floods

  We certainly welcome the report, and I hope the hon. Gentleman welcomes the Government’s commitment to contributing £5.8 billion between 2016 and 2020 to make a difference in this area. Since 2011, 47 million people have been helped to cope with the effects of climate change and 17 million have been helped to access clean energy, but there is more to do and we will do it.

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• 17 Jul 2018: Draft International Fund for Agricultural Development (Eleventh Replenishment) Order 2018

  08:55

  IFAD has committed to stepping up its work for youth in this 11th replenishment. Today, the world’s population includes the largest ever generation of young people—1.8 billion—and that population growth is set to continue, particularly in Africa. Most of those young people live in the rural areas of low and middle-income countries. They are more likely to be unemployed and to leave their home in search of work, first to cities and then, if they cannot find decent jobs there, to travel across borders to neighbouring countries and, indeed, beyond. Investing in IFAD helps to build rural economies and create economic opportunities, also for young people. With a growing population, the world needs to produce more food—enough for more than 9 billion people by 2050. IFAD supports rural communities to build their resilience to the effects of climate change and to increase production.

  Our commitment to UK aid and our strong partnership with IFAD, together with other member states, addresses those global challenges and is an important part of Britain’s leadership and global offer. The United Kingdom continues to drive reform, to strengthen the international system to deliver better results. Together with other member states, the UK has succeeded in agreeing reforms with IFAD, including to increase the proportion of core funding that is allocated to those poorest countries that are least able to self-finance to 90%; to report against an ambitious results management framework that disaggregates by gender and age, ensuring a focus on women, girls and young people; to develop a transition framework that sets out how IFAD’s lending terms will increase as its borrowers’ incomes increase; to address the needs of people with disabilities, in line with the sustainable development goal agenda of leaving no one behind; and to strengthen work on nutrition and climate change in all IFAD-supported projects. It will also mobilise additional financial resources, including through domestic co-financing, sovereign borrowing, and concessional partner loans, increasing the level of development assistance for every pound of UK investment.

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• 4 Jul 2018: Technology

  The hon. Gentleman is absolutely right to draw attention to the challenges posed by climate change, particularly to the countries nearest the Sahara. UK Aid is working very closely with them, and investments in technology are helping to address that and provide drinking water for many hundreds of thousands of people in sub-Saharan Africa.

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  Along with colleagues in the Department for Business, Energy and Industrial Strategy, we are doing a lot to encourage many of these countries not only to power past coal and fossil fuels but to invest considerable amounts in renewable energy. I share the hon. Gentleman’s aspiration to work with developing countries to power past fossil fuels.

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• 21 Mar 2018: UK-EU: International Development

  17:04

  The UK will remain one of the largest development spenders and influencers in the world, as will the European Union, and we want to retain a close partnership in this area in the future. We share the same concerns, the same values, and the same commitment to the sustainable development goals, to the Paris climate change agenda, and of course to the Addis Ababa agreement on financing for development.

  Where it makes best sense, we will continue to work closely with the EU on development and to implement the sustainable development goals side by side—the difference is that this time we will work with the EU where we choose to, and where it is in our mutual interest. We will be able to ensure better value for money through that choice and through tracking the impacts of our development spending. We will ensure that we continue to engage with the EU strategically, to direct our UK funds, but also on those global public benefits that we are both deeply committed to, such as global health security or mitigating the impacts of climate change.

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• 18 Nov 2015: The Economy

  13:59

  The hon. Gentleman will know, and has just reiterated, that we have maintained the science budget, which has been one of the choices that we have made. We have secured £7 billion of investment per year for UK-based renewable energy projects. We are investing in major research facilities such as the new Turing Institute, the UK’s national institute for data science. Our science and innovation strategy sets out our long-term vision for the sector’s contribution to national prosperity.

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• 8 Sep 2015: Finance Bill

  17:45

  With this it will be convenient to discuss new clause 2— Report on the removal of the Climate Change Levy exemption —

  “(1) No later than 6 months following the passing of this Act the Chancellor of the Exchequer shall publish a report into the effect of the removal of the Climate Change Levy exemption on renewable energy generators.

  (c) The cumulative effect on investor confidence in renewable energy of this change in the context of wider government policy on renewable energy; and

  (d) The effect of these changes on the United Kingdom’s ability to meet its climate change targets and commitments.”

  Clause 45 ends the exemption from the climate change levy for renewably sourced electricity. The CCL renewables exemption was misaligned with today’s energy policy and represented an inefficient way of supporting renewable electricity generation. In the past 15 years the UK’s renewable energy policy has fundamentally changed. When the renewable electricity exemption was introduced in 2001, renewable generation made up just 2.5% of the UK’s electricity supply; it now makes up around 20%. Since the exemption was introduced, more effective policies have been put in place which support renewable electricity generation directly.

  I can absolutely say how we justify this measure. As I have stated, there are now more effective and efficient direct methods of encouraging renewable generation than the CCL exemption. We have also seen a sharp decline in CCL revenue over the last Parliament. The forecasts from the independent Office for Budget Responsibility show that, without change, by 2020 virtually no CCL would have been paid on electricity at all. Removing the exemption helps maintain a price signal through the CCL for all business to use energy more efficiently. In addition, last year a third of its value went to renewable projects based overseas—projects which of course do not contribute to our climate change or international development commitments, making this a poor use of taxpayers’ money.

  Clause 45 ends the existing exemption for renewable energy from the CCL. It applies to any renewable electricity generated after 31 July 2015, when it is supplied to businesses or the public sector under a renewable source contract. From 1 August we entered into a transitional period in which suppliers may claim a CCL exemption on any renewable electricity generated before that date. The Government are discussing the details of this transitional period with the affected suppliers, to determine an appropriate length for it. We intend to put the final transitional arrangements in place through legislation in the Finance Bill 2016.

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