Transition from Fossil Fuels: Progress

4. What assessment he has made of the adequacy of the progress of transitioning from fossil fuels to cleaner energy sources.

With that new-found consensus on the clean power mission, I am happy to report to the House that we are making good progress towards our targets. We delivered the most successful renewables auction in history through allocation round 7, securing enough home-grown power for 11 million homes, as well as delivering a record-breaking 269,000 solar installations last year, the majority of which were on rooftop sites. By moving further and faster towards electrification, we are reducing our dependency on global fossil fuel markets and delivering energy security here at home.

Last month, alongside other Dorset MPs, I met with the Crown Estate to discuss the Dorset Clean Energy Super Cluster. While I welcome its recognition of the area as a medium-term opportunity, it is concerning that development is likely at least a decade away, despite Dorset’s significant potential for a range of green energy initiatives. Given that net zero industries are already delivering higher wages than average and 50% greater productivity than the UK average, does the Minister agree that it is both an environmental and economic missed opportunity to delay Dorset’s potential for so long, and will he commit to reviewing this personally and consider appointing a ministerial advocate for the south-west on energy security?

The hon. Member is right to champion her local community. I have met with those involved in the Dorset super cluster before, and I am happy to do so again, because we do see huge potential for the clean energy transition right across the country. As she rightly says, it is also about how we create good, well-paid jobs in every community, so I am very happy to meet her to discuss it further.

Progress? Not when it comes to Scotland’s jet fuel supply, because yesterday there were fuel shortages at Scottish airports, meaning lengthy delays. Those on the Front Bench will say it was because of a tanker driver shortage—a logistics issue—and they would be absolutely right to do so. However, the fact is that 2,822 supply chain jobs were lost because of the Grangemouth oil refinery closure, leading to transport problems like the one we saw yesterday. Jet fuel shortages will happen again; what are the Government going to do to stop that happening?

Well, it is a basic fact that the very short-term disruption at both Glasgow and Edinburgh airport was caused by driver disruption. That has now been resolved, and flights are carrying on as normal. There is not an issue with jet fuel in the UK at all; that is just a fact, and I am happy to put that on the record.

My hon. Friend is right to say that the failure of both the previous Conservative Government and the SNP Government to plan for what was well known—the closure of Grangemouth—has meant that we lost the opportunity to build on the industries that were there. However, we have committed £200 million, so that there is an industrial future at Grangemouth. We have announced the first projects from that, and there are many more to come.

I call the shadow Secretary of State.

I have a very simple question. Everybody in this House knows we will need gas for decades to come, so for once, can the Minister give a straight answer? Which is better for the environment: going to a country 1,000 miles away, fracking the gas, freezing the gas, shipping it and reheating it, or just piping it in straight from the North sea?

The very simple answer is that we are continuing to use the North sea—no one is switching off what we are producing in the North sea—but the amount that we are able to extract from the North sea has been in long-term decline. The right hon. Lady knows that because she was the Secretary of State who talked a lot about the need for a transition in the North sea—she recognised then that the North sea has been in decline. We have been a net importer for more than 20 years, so this is not a short-term position. The shadow Minister, the hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie), gave the game away a few minutes ago: the answer to this is how we build the industries that come in the future, alongside retaining oil and gas for many decades to come.

I call the Liberal Democrat spokesperson.

The UK is home to fantastic and innovative clean technology start-ups in the energy space. However, these businesses tell me that funding for start-up and, importantly, scale-up phases in this space is falling off a cliff. The net zero innovation portfolio, which awarded more than £1.3 billion in grants and crowded in £3 for every £1 in public spend, was abolished at the last spending review, and the clean tech innovation challenge has yet to get off the ground. Will the Minister explain what his Department is doing to support clean tech start-ups in this space?

The hon. Member is right to highlight the enormous potential. For a very long time, the UK has not been good at growing the good innovation and spin-outs coming out of our university and innovation space. We need to nurture them, but also build on them and invest in them in the future. That is why we are investing in that early stage development, and it is also why Great British Energy is interested in what the next set of innovations are, how we can back them and, crucially, how we can keep the intellectual property here in the UK and also build the supply chains and the industry that goes along with it. It is a huge opportunity for us, and today’s report from the CBI outlines just how crucial it is to the overall British economy that we continue to grow and nurture the exact industries that he talks about.