14:45 Alan Brown (Kilmarnock and Loudoun) (SNP)

On the wider programme delivery considerations for these large-scale nuclear sites, Hinkley will have taken 15 years to complete, if it is completed, by 2031. Even if we are optimistic about Sizewell C, which will be delivered much more quickly, it is still going to take at least 10 years, so it could be between 2035 and 2040 before it is delivered. These timescales alone show the folly of relying on nuclear for decarbonisation and of planning for nuclear to deliver 25% of generation output capacity by 2050, as set out in the road map. It also shows the folly of the road map stating a delivery target of 3 GW to 7 GW every five years. It is a fantasy target, as is 24 GW overall, unfortunately.

The concept of 24 GW, or 25% of generation output, is the wrong model, given that nuclear power is so inflexible. Such a large nuclear output on the grid means that, at times, even greater constraint payments will be paid for renewable energy companies to turn off their turbines.

Why does the road map outline two possible funding models—contracts for difference and a regulated asset base? At a £92.50 per megawatt-hour strike rate over 35 years, Hinkley Point is way more expensive than renewable energy at circa £40 to £50 per megawatt-hour over just a 15-year concession period. When we debated the legislation on the regulated asset base funding model, the Government told us that the CFD model does not work for nuclear as it is too expensive, and that switching to RAB would save £40 billion to £80 billion over the lifetime of a nuclear project. If that is the case, why are two funding models listed in the road map? Are the Government now concerned that RAB transfers too much risk to the bill payer? Are they concerned about repeating what happened in South Carolina where, under a regulated asset base model, a company abandoned the construction of a nuclear power station and ratepayers were left paying for a power station that was never completed? What is to stop that happening at Sizewell?

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15:00 Philip Dunne (Ludlow) (Con)

Some members of my Committee—it is a very diverse Committee, with a complete range of opinions on this subject—have very strong reservations about the role and scope of nuclear energy in the UK, but I will start by placing on record my personal support for nuclear energy and the SMR programme, which was the subject of our letter and will be the subject of my remarks today. It is an important part of the path to net zero, contributing not just to baseload, but to the significant increase in electricity generation that will be required if we manage to decarbonise our economy, as is supported across the House.

I look forward to listening to the contribution from the Opposition spokesman, the hon. Member for Southampton, Test (Dr Whitehead), but the Labour party’s energy policy is in complete disarray. I therefore welcome the stark contrast that the Minister has provided—particularly in his new role as Minister for nuclear—by getting nuclear on the road to regeneration as a core part of our energy mix as we move towards net zero. It is precisely because the Labour party, during its last period in office, made no decisions and would not even debate the subject that we have such a skills shortage in the UK civil nuclear sector. That was picked up in an intervention by the right hon. Member for Warley (John Spellar). No new nuclear reactors have come online in the UK since 1995 because of that indecision, so I welcome the civil nuclear road map, which sets out the Government’s ambition to reach as much as 24 GW of nuclear power by 2050. The intent to deploy SMRs will assist the UK in reaching that target, as is set out in the British energy security strategy.

Given the increasing international interest and competition in investment in building nuclear energy capacity, we need to recognise that the UK market for creating that additional capacity cannot be considered in isolation. We are in an international race to transition our economy into a decarbonised world in which many other countries are looking to build nuclear capacity. Those involved in delivering that capacity will have choices: where to invest, to build and to bid.

On current estimates, it seems unlikely that SMR deployment will be contributing generating capacity to the grid until 2035, the date by which the Government expect the GB electricity grid to have been decarbonised, with both Hinkley and Sizewell likely to be operational in the early 2030s. Quite how the Labour party believes it can decarbonise the grid by 2030, a full five years ahead of that, against all consensus of prevailing expert advice, is a matter for Labour, but it seems wholly fanciful and frankly misleading to the British public.

Not only is nuclear, and the SMR approach to deployment, a crucial component of reaching net zero, but there are significant economic benefits to the UK if we are a leader in this technology, including a large potential export market for SMR units. The UK’s SMR programme is in an advanced position among western countries. It has the potential to facilitate a nascent export market and deliver new skilled jobs across the UK.

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15:12 Liz Saville Roberts (Plaid Cymru)

We have already had mention of the significance of net zero. We know that, alongside that, the demand for electricity will increase exponentially. We know, too, that energy security not just for the United Kingdom, but for the supplies of electricity that we currently receive from European countries—or the prices that they will be prepared to pay for electricity and energy—will affect what we produce here. Ireland, to the west of the United Kingdom and, very significantly, to the west of Wales, is also going through the same thought processes about its needs for electricity.

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15:26 Hannah Bardell (Livingston) (SNP)

It is fair to say that while there are very different opinions on nuclear energy, and indeed on the civil nuclear road map, we can all agree on how important energy is to our future—the future of all nations across the UK—and, indeed, that it is becoming an increasingly important resource across the world. As a member of the SNP, representing the Scottish constituency of Livingston, I am proud that we are an energy-rich nation. We in Scotland are particularly rich in renewable energy, and we want to see those resources made the most of. I do not believe, nor does my party, that nuclear is the way forward.

The effects of climate change and resource competition have demonstrated that access to the amount of energy we need is not a given, and we must act to ensure that we have secure and sustainable energy resources. However, the goal of energy security cannot be achieved by going backwards, which many SNP Members feel is what is happening. It is interesting that even Members in this debate who support nuclear energy are critical of the road map. My hon. Friend the Member for Kilmarnock and Loudoun (Alan Brown), who is not supportive of nuclear energy, made a very pertinent point; he described that road map as a fantasy. That is probably the best and fairest description that could be given.

Every single project run by EDF, the company commissioned to build Hinkley Point C and Sizewell C, has run over budget and between six and 14 years behind schedule. At a time when we face a cost of energy and cost of living crisis, that is not value for money; the plan is not efficient, effective or practical. What is more, those large investments come at the expense of green energy development in the UK. Non-nuclear renewable energy sources are credible options to solve energy instability. Scotland has proven that it can fuel its entire country and more just with wind power—in fact, according to National Grid, Scotland’s full energy mix has been keeping the lights on in England. We are doing our good turn, but the reality is that money invested in nuclear projects is taking away from investment in green energy, particularly in Scotland.

Scotland, and the rest of the UK, needs a Government who will deliver a comprehensive energy strategy that includes jobs and lower bills, and that grows the economy. We deserve a plan that can unleash our full green energy potential, and Scotland’s future growth and green future will come from investment in renewable energy, not nuclear. The UK-wide focus on nuclear energy runs counter to common sense, frankly. We have seen projects—and I know the Minister knows this and, I hope, feels it keenly—that were cancelled, as when I worked in the north-east of Scotland in the energy industry myself, and saw that repeatedly with carbon capture, with the devastation that wreaked on the industry.

Sadly, we cannot trust the UK Conservative Government with our energy policy. At a time when other countries are ramping up investment in green energy, Westminster is showing itself to be incapable of delivering a credible plan. It is clear, as this debate has shown, that the UK Government’s civil nuclear road map does not deliver.

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15:43 Andrew Bowie (Conservative)

A month on from the publication of the civil nuclear road map, I am pleased to be discussing it here today. The Government are focused on creating a stable, secure and clean energy supply for the country. The publication of the road map sets out plans for the great nuclear revival of this country. As my right hon. Friend the Member for Ludlow (Philip Dunne), who has been a consistent champion of this, pointed out, nuclear plays a key role in our drive towards net zero. That has been recognised not only by this country but at COP by 30 other countries around the world, who came together to pledge to increase their nuclear generating capacity by 30% so that we can take concrete action on the biggest challenge of our time, which we all agree is climate change.

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