I accept it in principle. We touched on the definition of ““all”” earlier in the debate, and the Government have yet to crystallise precisely what that would mean. It is often forgotten that our existing advanced gas-cooled reactors already have to make provision for their decommissioning costs and are still able to produce competitively priced electricity. Certainly, the public must have confidence that they will not be left with a legacy cost for new nuclear build.
I want to move on to energy efficiency. I am disappointed that the Bill does not contain more about smart metering. I had a meeting with representatives of Scottish and Southern Energy, who came to talk to me about the report by the Select Committee on Environment, Food and Rural Affairs, where, in our climate change citizens' agenda analysis, we described the benefits that could come from smart metering. They said that proper smart metering, which would provide appropriate tariff management and control of the use of electrical equipment in the domestic situation, would make it possible to save up to the capacity of two power stations-worth of generation. The Bill refers to meter accuracy. I accept that the Government are undertaking trials, but we do not want to miss a golden opportunity to maximise the use of our existing sources of electrical generation without moving forward. Perhaps the Minister might be able to make an announcement on that during the course of the Bill's progress.
That opens up the question of decentralised power. We have heard a discussion about domestic generation of energy. When the Select Committee visited Freiburg and Stuttgart in Germany, we saw for ourselves the potential of the German feed-in tariff. I wish that Ministers would stop misleading the public to the effect that this is the product of some giant German subsidy or that it is costing Germany energy users an unaffordable amount—it is not, as the average figure is €2 per household per month. If one is prepared to accept that customers currently pay for the existing energy efficiency commitment and for the renewables obligation certificate, it should be possible for customers to pay for a feed-in tariff system in this country.
It is not a question of seeing Britain's roofs covered by photovoltaic cells. Without the feed-in tariff, decentralised community-based systems are inhibited from being developed. It has been left to the market leader, Woking, to pioneer combined heat and power—a decentralised system that puts money in the coffers of the local authority, as well as providing local authority buildings, a hotel, two blocks of flats and an entertainment centre in Woking with the ability to produce their own power and electricity. That local authority could do more, but there is nothing in the Bill about private wire capacity and nothing to change the trading arrangements to enable such a local authority to sell on a much wider basis its skill and expertise in decentralised local electricity generation.
Such a revolution could mean that we could have the best of all worlds—a guarantee of safe base load through nuclear, generation through the exploitation of renewables in the way that the Government want, and a proper decentralised energy-efficient system for the consumer, properly monitored by a smart metering system. That is how we should be looking to have a balanced and secure energy portfolio. Unfortunately, however, the Bill does not provide for that optimum use of the skills, technologies and knowledge that exist in Europe and in the United Kingdom.
Given that challenges are coming from Europe, perhaps in the next few hours, I urge the Government to be more ambitious with the Bill, even at this late stage, and to exploit all the opportunities to develop a true low-carbon and secure source of energy for this country.
Energy Bill
Proceeding contribution from
Michael Jack
(Conservative)
in the House of Commons on Tuesday, 22 January 2008.
It occurred during Debate on bills on Energy Bill.
About this proceeding contribution
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2007-08Chamber / Committee
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