Parliamentary Debates (Hansard)
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Thursday Volume 545 17 May 2012 No. 6 HOUSE OF COMMONS OFFICIAL REPORT PARLIAMENTARY DEBATES (HANSARD) Thursday 17 May 2012 £5·00 © Parliamentary Copyright House of Commons 2012 This publication may be reproduced under the terms of the Parliamentary Click-Use Licence, available online through The National Archives website at www.nationalarchives.gov.uk/information-management/our-services/parliamentary-licence-information.htm Enquiries to The National Archives, Kew, Richmond, Surrey TW9 4DU; e-mail: [email protected] 671 17 MAY 2012 672 message goes out that the solar industry is back in House of Commons business and on a sound footing. There will be many more solar installations compared with what happened Thursday 17 May 2012 under the solar installation regime we inherited from the Labour party. The House met at half-past Ten o’clock Caroline Flint (Don Valley) (Lab): Last week, just 900 installations took place and two thirds of businesses had empty order books, but my question is about the PRAYERS Government’s next round of cuts to solar, which is due on 1 July. Last night, the Minister of State, Department of Energy and Climate Change, the hon. Member for [MR SPEAKER in the Chair] Bexhill and Battle (Gregory Barker), tweeted: “Having listened carefully to industry, we are looking at scope for pushing back a little the next proposed reduction in the #solar Oral Answers to Questions tariffs”. The truth is that the Government have missed the deadline legally required to provide notice to Parliament for the next round of cuts to come into force. Is not the ENERGY AND CLIMATE CHANGE Government’s incompetence the real reason why they are backtracking? The Secretary of State was asked— Mr Davey: The right hon. Lady seems to think that Feed-in Tariffs we should not listen to the industry, but I do. We are considering tweaking the start date for the next tariff 1. Diana Johnson (Kingston upon Hull North) (Lab): reduction—if we change it, it will be a tweak, not a What assessment he has made of the effect of changes massive change. She needs to understand that the changes to the feed-in tariff on the number of solar PV that we have consulted on and are introducing will bring stability and mean that we have solar power for installations in the last 12 months. [107609] the many, not the few. The Secretary of State for Energy and Climate Change (Mr Edward Davey): In the last 12 months, there have Caroline Flint: There will be laughs echoing outside been approximately 270,000 photovoltaic installations the Chamber at the Secretary of State’s suggestion that registered on the microgeneration certification scheme the Government have been listening to the industry, database, against a forecast of just 35,000 installations but my question was about parliamentary procedure. when the scheme was launched in 2010. Moreover, Parliamentary procedure requires that due notice must having substantially reduced the cost of each installation be given in advance of the cuts being brought into force to electricity bill payers, the coalition is now in a position on 1 July. My understanding is that the Department has to significantly expand the ambition of the feed-in missed—legally—the deadline required. Will the Secretary tariffs scheme. of State therefore confirm whether the Department has missed the deadline required to give notice to Parliament? Diana Johnson: Following the chaotic cut to the feed-in If it has, it is absolutely the truth that the Government tariff, there has been a 90% fall in solar panel installations, cannot legally impose the cuts on 1 July. Why does the and 6,000 jobs have gone in the industry, including Secretary of State not just own up, end the uncertainty more than 100 in my constituency of Kingston upon and commit to scrapping the next round of cuts on Hull North. Does not the Government’s mismanagement 1 July? and this debacle mean that the industry could be strangled at birth? It also puts at risk investment in the renewables Mr Davey: The right hon. Lady started by saying that industry, which is so important to areas such as Hull. the industry will be laughing, but Paul Barwell, the chief executive of the Solar Trade Association, said in Mr Davey: I am surprised the hon. Lady reaches that The Independent on 9 May 2012: conclusion. Since the 21p tariff came in 10 weeks ago, “The current 21p subsidy can actually give a return up to there have been more than 26,000 installations with 10 per cent, tax-free, index-linked, for 25 years, making it one of 86 MW of capacity, which is equivalent to the installation the most attractive investments around.” rate achieved in August 2011, when the tariff was at That is what the industry is saying. The Government 43p. The installation rate in the period is 1.7 times what will abide by all the procedures required by the House it was in the same period last year. and lay the regulations when required. Mr Philip Hollobone (Kettering) (Con): Feed-in tariffs Green Deal are not the only way to encourage solar PV installations. Can more be done with building regulations, especially to encourage solar to be built in to new-build properties 2. David Rutley (Macclesfield) (Con): What progress at the start? his Department has made on the introduction of the green deal. [107611] Mr Davey: I am sure local authorities will look at that proposal, but the key thing is to ensure that our new, 3. Tom Brake (Carshalton and Wallington) (LD): more stable and predictable regime supports the solar What progress his Department has made on preparatory industry, as we believe it will. We need to ensure that the work on the green deal. [107612] 673 Oral Answers17 MAY 2012 Oral Answers 674 6. Damian Hinds (East Hampshire) (Con): What Amber Rudd: My hon. Friend has been kind enough progress his Department has made on the introduction to visit Hastings on several occasions, as he is a neighbouring of the green deal. [107615] MP, and will be aware that many of my constituents live in housing association property. How will the green deal 18. Amber Rudd (Hastings and Rye) (Con): What benefit residents in housing associations? progress his Department has made on the introduction of the green deal. [107627] Gregory Barker: Absolutely. I know that my hon. Friend is a terrific advocate for Hastings, and I can The Minister of State, Department of Energy and assure her that social housing will be among the first to Climate Change (Gregory Barker): The green deal is a benefit from the green deal revolution. Dedicated funding flagship policy for the coalition. We are making good within the £1.3 billion of energy company obligation progress towards the introduction of the green deal this subsidy will be focused on the most deprived areas of autumn. We are determined to have a solid framework the country, so I would expect areas such as Hastings to in place for this transformational scheme, which will be among the first to see the benefits. With her as its enable the green deal market to grow right through to MP, I am sure it will. the next decade and beyond. Dame Joan Ruddock (Lewisham, Deptford) (Lab): David Rutley: Macc2020, an active and energetic Will the Minister explain what happened to the community group in Macclesfield, has effectively used a 30,000 people who applied for help through Warm local energy assessment fund to stimulate take-up of Front last year? Despite an underspend, they did not the green deal among home owners and to promote get anything. Will he apologise to them for having to local small and medium-sized enterprises associated wait for this much heralded green deal and will it with energy efficiency. Does my hon. Friend agree that actually be delivered to the very poorest? I doubt it. that is the right approach given that economic development potential? Gregory Barker: I am pleased to say that since I became Minister in the right hon. Lady’s place, the Gregory Barker: Absolutely. Macclesfield is a terrific number of complaints about Warm Front has reduced example of community activity. That is exactly the kind substantially. She will know that there was a massive of approach we want to see followed across the whole complaint bag about Warm Front while she was in country. It will help get the green deal off to a strong office. We have not seen that since I entered office. Of start. It is great that my hon. Friend’s constituency is course we will continue to run Warm Front though next blazing a trail, and I congratulate everyone involved— year. It remains part of a suite of measures to tackle perhaps he will do so in person on my behalf—on fuel poverty, and we remain committed to doing much taking advantage of the DECC LEAF scheme to such more. good effect. Barry Gardiner (Brent North) (Lab): In the interests of transparency, will the Minister share with the House Tom Brake: I have had a very positive meeting on the the benchmarks he has set for the uptake of the green green deal with Sutton Seniors Forum, Ofgem and deal scheme in the first to third years and what emissions the Minister of State, Department of Health, my hon. reductions he has set as the benchmarks for the success Friend the Member for Sutton and Cheam (Paul Burstow). of the scheme? One issue that arose was the importance of providing clear information to people, particularly senior citizens.