Chris Clarkson

We are on the cusp of a green energy revolution with hydrogen, modular nuclear and now fusion in the mix. What steps is the Department taking to ensure British innovation is in the vanguard of that revolution, thus ensuring our long-term energy security?

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Greg Hands

My hon. Friend is always on the front foot on low-carbon energy and innovation in Heywood and Middleton. He will know that the Government’s flagship £1 billion net zero innovation portfolio is making those important investments in hydrogen, advanced nuclear technologies and so on. On fusion, we are investing £700 million in research facilities and programmes over the next three years. My hon. Friend will also know that the energy security Bill we published last week includes launch pads for both hydrogen and nuclear fusion.

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Greg Hands

The amount of money and resources going into hydrogen remains extremely strong. It is a really important part of the net zero innovation portfolio. Just over the past few months, I have been to the Whitelee wind farm just south of Glasgow to see the new hydrogen production facility there. That facility is going to do exactly what the hon. Gentleman wants us to do: provide hydrogen for vehicles, particularly buses. The whole of the Glasgow bus fleet and, indeed, the whole of the Glasgow dustcart fleet will be fuelled by hydrogen from that wind farm.

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Greg Hands

I thank my hon. Friend for her question and her constant very good and strong engagement on behalf of her Ribble valley constituents. Renewable energy is, of course, part of the solution. That is why we announced the allocation round for the latest auction of renewable energy last week. It was the most successful ever, with 10.8 GW of renewable energy coming to this country through the contracts for difference mechanism. It has been a huge success, and I welcome my hon. Friend’s interest.

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The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Jane Hunt)

Low-carbon technologies are fundamental to meeting our net zero target and securing our energy supply. The Government have set out their ambition to invest up to £22 billion in research and development by 2026-27. Our £1 billion net zero innovation portfolio is accelerating the commercialisation of innovative low-carbon technologies, systems and processes in the power, buildings and industrial sectors.

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Ruth Edwards

I thank the Minister for her answer and welcome her to her place. May I bring to her attention the excellent bid from Uniper for carbon capture and storage technology to be built into its new energy from waste plant at Ratcliffe-on-Soar, which sits in the heart of the east midlands freeport? Does my hon. Friend agree that the UK’s first inland CCS facility, creating a carbon-negative and fully sustainable waste treatment solution, is worthy of investment through phase 2 of the carbon capture, utilisation and storage fund?

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Jane Hunt

I commend my right hon. Friend— [ Interruption. ] Sorry, I commend my hon. Friend—it is only a matter of time—for working incredibly hard not only in Rushcliffe, but to promote the freeport for the whole of the east midlands. She is doing an incredible job. We are committed to deploying CCUS, including from energy from waste plants. We will announce the projects to proceed to the next stage of the track 1 CCUS process in due course.

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Kerry McCarthy (Labour)

I welcome the Minister to her post. We all agree that supporting investment in new low-carbon technologies is an important part of reaching net zero—well, most of us do. In the past week, one of the candidates for Prime Minister has said that

“we need to suspend the all-consuming desire to achieve net zero by 2050.”

for net zero. The frontrunner spent two years at the Treasury blocking additional climate spend. It is all well and good for the Minister to talk about the need for investment, but how can we, and more importantly the investors out there, have any confidence that it will continue?

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Jane Hunt

It is clearly in our manifesto that we are completely committed to net zero. I will not be commenting further on any leadership elections.

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Geraint Davies

The Minister knows that community-owned local energy projects will be critical to delivering net zero and national security, and are often best delivered by co-operatives. However, he should also know that the minimum tariff paid by the big suppliers to the small suppliers is often too low to make many smaller suppliers viable. Will he look into that minimum tariff, and also work with the Co-operative party to support and fund the launch of new locally owned community energy projects?

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Greg Hands

I should be happy to have a look at those tariffs, but I do not think that this would prevent us from supporting community energy projects as a Government. We have a very good track record in that regard, through previous funds and through, for example, the towns fund, run by the Department for Levelling Up, Housing and Communities, which has just awarded more than £23.6 million to Glastonbury Town Council. The projects involved include the Glastonbury clean energy project, whose purpose is investment in renewable energy generation and low-carbon transport infrastructure. There is a great deal going on in this space, but I am happy to look at the tariff question in particular.

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John Mc Nally (Falkirk) (SNP)

17. If he will make an assessment of the implications for his policies of the report by the Climate Change Committee, “2022 Progress Report to Parliament”, published on 29 June 2022. ( 901034 )

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The Minister for Energy, Clean Growth and Climate Change (Greg Hands)

As required by the Climate Change Act 2008, the Government will respond later this year to the committee’s report and will provide an annual update on the delivery progress of the net zero strategy.

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John Mc Nally

I thank the Minister for that answer. However, less than a year on from COP26, it is scary watching the Government rolling back climate policies. The Climate Change Committee has said:

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Greg Hands

Can I just correct the hon. Gentleman on one thing? The Climate Change Committee’s report was actually full of praise for the Government on electric vehicles and on what we are doing on electricity decarbonisation. On his wider point, this Government have a fantastic record of action on climate, thanks to the COP26 President, my right hon. Friend the Member for Reading West (Alok Sharma). At the start of the year, 30% of global GDP was signed up to net zero targets. That is now 90%, and the UK is leading the way with our own net zero strategy, published just before COP last year.

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The Secretary of State for Business, Energy and Industrial Strategy (Kwasi Kwarteng)

My hon. Friend will have noticed that we are fully committed to the nuclear power industry and, unlike the Opposition, we are looking to develop nuclear power because it is an essential component of decarbonised, stable, firm power.

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Munira Wilson (Liberal Democrat)

T8. An ambitious nationwide insulation programme is absolutely essential to meeting our net zero target, although I note this morning that the hon. Member for Saffron Walden (Kemi Badenoch) has described that goal as “unilateral economic disarmament”. If she and others hoping to be Prime Minister had attended Sir Patrick Vallance’s alarming briefing yesterday on the climate crisis, she would have understood how important it was to reduce household emissions. So will the Secretary of State create jobs, cut bills and slash emissions by investing in insulation? ( 901013 )

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Greg Hands

That is exactly what we are doing. We have committed £6.6 billion over the course of this Parliament. The local authority delivery scheme, £787 million; the home upgrade grants, £950 million; the social housing decarbonisation fund, over £800 million. These are real, big pieces of taxpayers’ money going into energy efficiency, and it is coming at a good time, when people need it most.

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Greg Hands

The hon. Lady will have studied the evidence that I gave to the Welsh Affairs Committee a couple of months ago on the national grid in Wales. When it comes to ensuring that we are equipped in renewable energy, we have just announced the results of last week’s contract for difference auction. I remind her that when she was a supporter of the last Labour Government, only 7% of our electricity was generated from renewables. It is now 43%.

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Richard Graham (Gloucester) (Con)

Thank you for giving me a second chance, Mr Speaker. May I congratulate the Secretary of State and the Energy Minister on last week’s first ever ringfenced marine energy renewables auction? This is a landmark moment for the UK in generating our own domestic green energy from some of the world’s fiercest tides. When will my right hon. Friend be able to announce another ringfenced pot for marine energy?

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