UK Parliament / Open data

Energy Bill

Proceeding contribution from Malcolm Wicks (Labour) in the House of Commons on Wednesday, 30 April 2008. It occurred during Debate on bills on Energy Bill.
No, I do not. However, I agree with the slightly different proposition that the UK is among a small group of lead nations on CCS. If we consider those that take the matter seriously and are pursuing demonstration projects, we cannot include many countries. With Norway and one or two others, we are a lead nation. I made that point earlier when quarrelling with the idea that the German grass is necessarily greener. I am proud that the UK will spend considerable amounts of public money demonstrating the application of CCS. I am grateful to the hon. Gentleman for giving me the opportunity to put that on the record. I am especially pleased that we have been able to extend the provisions on CCS to Scotland. That will ensure a single UK-wide regime for CCS, giving industry greater confidence and clarity, supporting investment in that vital new technology. On renewables, our first priority must be, through the Bill, to maximise the renewables obligation's effectiveness. The Bill's reforms to the RO will help promote more rapid deployment of a wider range of renewable technologies, making it 30 per cent. more efficient in terms of renewables deployment from 2009 to 2015. Although microgeneration is not on the face of the Bill, we have had a useful debate about it. I repeat our commitment that, as part of the renewable energy strategy, we will consider mechanisms to incentivise microgeneration further, including feed-in tariffs. Underpinning our ambitions for greater levels of renewable electricity, the Bill will ensure that we have the infrastructure in place to transmit offshore renewable electricity to the onshore grid. This major area of work will continue after the passage of the Bill. In the short term, however, the Bill will add to existing powers to ensure that Ofgem can run cost-effective and efficient competitive tender exercises for offshore transmission licences. Introducing competition will help to avoid unnecessary delays and costs to offshore renewables projects, ultimately reducing risks and supporting investment. There has been significant debate about the measures in the Bill that cover the decommissioning of energy installations, in particular those relating to new nuclear power. Although one of the objectives of our energy strategy is to support investment, the Government have a responsibility to ensure that adequate protections are in place to ensure that the environment is protected and that the risk of costs falling to the Government is minimised. The Bill strengthens the existing decommissioning regime for both offshore renewables and oil and gas installations. The amendment that the Government have made to that area of the Bill will ensure that our legislation supports an active oil and gas sector in the UK continental shelf. We have always been clear that developers and operators of new nuclear power, not the Government, must meet the full costs of decommissioning and their full share of waste management and disposal costs. The Bill provides the new legislative framework to ensure that all operators have in place a funded waste and decommissioning programme before operation of a power station commences. It will be a criminal offence to operate new nuclear power stations without an approved programme in place. To ensure that potential investors fully understand their liabilities, the Government have committed to establishing a fixed price for the disposal of new nuclear waste, which will be based on expected costs, which will include a significant risk premium.

About this proceeding contribution

Reference

475 c408-9 

Session

2007-08

Chamber / Committee

House of Commons chamber

Legislation

Energy Bill 2007-08
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