Last week, as I mentioned, I was in the US promoting Britain’s ambitious plans for renewables, nuclear and the incredible potential of carbon capture, usage and storage, which could be worth trillions to our economy. By forging those closer links, we are bringing down bills, safeguarding our energy and putting Putin’s energy blackmail and ransom on the back foot.
Jill Mortimer
Does my right hon. Friend agree that we need to seize the unique opportunity in Hartlepool by commissioning an advanced modular reactor for our soon-to-be decommissioned site, to secure jobs and skills and to make Teesside a world-leading area for green energy?
First, I am very pleased that the Hartlepool nuclear power station has had its lifetime extended to 2026. Secondly, my hon. Friend is absolutely right to be enthusiastic about advanced nuclear reactors and technologies, some of which have a little way to go yet, but they get full support from this Government, and we will support those coming into use when time allows.
T2. The Minister may be aware of a company called Green Energy Together, used by authorities up and down the country who have paid significant deposits. The company was wound up yesterday, leaving thousands of people across the country, including dozens of my constituents, out of pocket. Will the Minister agree to meet me to discuss this urgent crisis, as many people face significant losses? [R]
The Parliamentary Under-Secretary of State for Energy Security and Net Zero (Amanda Solloway)
I thank the hon. Gentleman for bringing the matter to our attention. I would be very happy to meet him to discuss it.
T5. There is no point reducing our emissions in the UK if we simply cause them to be produced elsewhere in the world by importing manufactured goods, often from countries where higher emissions may be embodied. A carbon border adjustment mechanism can allow for that, although here in the UK we are behind Europe, which already has a CBAM in place. What progress is being made to develop and implement a CBAM to address the risks of carbon leakage?
On 30 March the Government launched a consultation to explore potential measures on carbon leakage, including a carbon border adjustment mechanism, mandatory product standards and measures to grow the market for low-carbon products. The consultation closes on 22 June and I hope my hon. Friend will consider contributing to it. It is worth noting that full implementation of the EU CBAM will not begin until 2026.
T3. Tinmasters, an energy-intensive business in my constituency, was told it was not eligible for the energy bills discount scheme because it fixed its existing contract before December 2021. It has since had to sign a “blend and extend” contract, as it was the only option for survival. The Minister has spoken with me, but can she tell me what her Government are doing to ensure that suppliers who offer blend and extend contracts are being fair to their customers and how the Government can support those businesses not eligible for support because of an arbitrary date?
Amanda Solloway
I thank the hon. Lady for the meeting we had to discuss the matter, which we are looking into. We must recognise that it is the suppliers and consumers who have entered into a contract. However, my strongest encouragement to suppliers is that they do all they can, and blend and extend is certainly one of the ways we can help on that.
T7. Does the Minister agree that rewiring energy markets through REMA, the review of electricity market arrangements, is the fastest and cheapest way to cut bills by uncoupling them from gas prices? Does he therefore agree that we should speed up and that bill payers would be best served by a Government White Paper on that before the summer recess?
I thank my hon. Friend for separately sharing his detailed thoughts on REMA and its reform. This is a complex area with multiple interrelated mechanisms; it requires careful consideration to unlock the £280 billion or perhaps £400 billion of investment in generation and flexible assets that could be needed by 2035. While I share his impatience and desire to move fast, it is more important still that we get it right. I aim to publish a second REMA consultation in the autumn, which will narrow the options for reform and detail the direction of travel.
T4. Directors at Ofgem are on the record as saying they are already doing everything that needs to be done to meet the country’s net zero targets. I do not know anyone outside Ofgem who sees that as anything other than dangerously complacent. Is it not now time for the Minister to give a direct mandate to Ofgem to include meeting net zero as part of its remit?
The Government have published a draft strategy and policy statement for energy policy that makes clear Ofgem’s role in promoting the UK’s net zero targets. However, we are considering the effect of an amendment made in the House of Lords to the Energy Bill currently going through this place on Ofgem’s statutory duties in relation to net zero.
Does the Minister agree that the way to get cheaper nuclear projects and cheaper electricity overall is to build a fleet of new nuclear reactors, starting at Wylfa in my constituency of Ynys Môn?
Yes, the Government agree that the way to cheaper energy bills and a more secure network is to build new nuclear projects. That is why we have launched Great British Nuclear, why we are working with communities and industry across the country, and why I would be delighted to visit Wylfa soon with my hon. Friend to see the potential that that site has to add to our energy security.
T6. Ofgem has stated that prepayment meters should not be fitted for anybody over the age of 85. In Glasgow, life expectancy is 76. Will the Minister look at increasing the range of people who are considered vulnerable under this?
Amanda Solloway
The arrangements that we have for prepayment meters are incredibly important, and we are working closely with Ofgem to ensure that we tackle this issue. As always, I am happy to meet to discuss these issues.
Sainsbury’s, Morrisons and Asda are charging more for road fuel in my constituency than they are in neighbouring towns. Can my right hon. Friend explain what he is doing to help my hard-working constituents secure cheaper fuel?