Energy Markets

Question

What are the consequences of the disruption in Qatar for UK energy supplies, and what measures are in place to ensure security of supply?

Question

What can the government do to ensure the security of UK energy supplies, especially in light of the current geopolitical instability?

Question

The MP questioned the Secretary of State's lack of action in his statement and highlighted the importance of the North Sea oil and gas industry for national security. She called for the overturning of the ban on new oil and gas licences, the immediate granting of exploration licences, and the reduction of energy bills through the Conservatives' clean power plan. She also questioned the government's secret deal with China and its impact on energy security.

Question

The MP asked about the plans for short-term support for bill payers and the reformed national pricing consultation under way. He encouraged the Secretary of State to bring forward the reformed national pricing consultation so that bill payers can benefit from low-demand cheap electricity as an immediate response to the crisis.

Question

The conflict in the middle east reminds us again how dangerously exposed the UK is to volatile global fossil fuel markets. Why are we so exposed? Because of our heavy reliance on gas, limited storage capacity, dependence on imports, and falling domestic liquefied natural gas inventories. The leader of the Liberal Democrats, my right hon. Friend the Member for Kingston and Surbiton (Ed Davey), asked the Prime Minister yesterday to give a cast-iron guarantee that he would not let energy bills rise by £500 this year, but he did not. Will the Secretary of State give that guarantee? Given the instability in European energy markets caused by the ongoing conflicts, I am glad to hear that the Secretary of State has engaged with energy counterparts in the EU. I would like to hear more details of their analysis of the potential impact on supply, prices and regional energy security.

Question

I thank the Secretary of State for his very clear and measured statement. May I ask him about two points? First, if we see rises in bills in forthcoming months, can we ensure that the blame is placed firmly where it should be—on the actions of the Iranian Government in attacking and threatening the strait of Hormuz? Secondly, in the Energy Security and Net Zero Committee meeting yesterday, we heard from the chief executive of Ofgem that a prolonged period of closure of the strait of Hormuz would create an upward pressure on prices. He indicated during that evidence session that the market anticipated that it could manage a period of roughly two weeks. As the conflict continues to develop, does the Secretary of State have any sense of what might be meant by a “prolonged period of time” that would create upward pressure? Will he ensure that the Committee and the House are kept informed?

Question

Representing the constituency of Brigg and Immingham as I do, I recognise that the renewable energy sector is attracting investment and jobs into the area. However, I have thousands of people who work in energy-intensive industries, and their jobs are increasingly at risk. As with everything, compromise and balance are important. May I urge the Secretary of State to recognise that the energy costs for industry are crippling many businesses? We must do something to address that.

Question

My right hon. Friend is absolutely right to expose the utter folly of responding to the situation that faces us by saying, “We need to stop with renewables and invest more in oil and gas.” It would be utter madness to learn that lesson. When we had the huge price spike as a result of Russia’s invasion of Ukraine, the fact that oil and gas was coming from the UK made no difference to the amount that our consumers paid, because it was all on the global market. Does my right hon. Friend agree that the marginal pricing system, which was set up at a time when 80% or 90% of energy was being generated by fossil fuels, is far less robust at a time when the figure for gas is down to 40% and shrinking the entire time, and more than 50% of our energy comes from renewable sources? Because renewables are cheaper, should we not look to benefit from that, rather than having a system that allows gas to set the price, even if it accounts for only 1% of our energy?

Question

The Energy Security and Net Zero Committee is running an inquiry into the costs of energy, as we have already heard from its Chair. With all due respect, I cannot understand how the Conservative Opposition can with a straight face deplore the cost of energy for bill payers while at the same time advocate prolonging our dependency on oil and gas. That is precisely what keeps our energy bills high. Let me come back to our inquiry. We heard from one of the witnesses from E3G that there could be costs of up to £500 per household in hidden profits due to the untransparent network charges put on to energy bills. Will the Government ensure that bill payers are given a full picture of the breakdown of profits across the energy sector?

Question

My right hon. Friend talks about the lessons learned. Despite my youthful good looks, I recall the 1979 Iranian revolution—the last Iranian revolution—which led to a fuel crisis globally. The importance of what we are doing is underlined by the need for the energy transition and the need to improve our domestic energy resilience. That is why we need to see more renewables and to roll out Rolls-Royce small modular reactors urgently and take a lead globally on that. My right hon. Friend talks about household support. What does he think President Trump was thinking about the impact that this situation would have on businesses and the humble motorist?

Question

I thank the Secretary of State for his update. I echo the calls for support for business and keeping an eye on the impact of this crisis on business. For areas like mine in North Yorkshire, off-grid gas and oil customers do not have the same protection as many other energy customers. Will he and his team focus have regard to those customers as this crisis evolves?

Question

To follow on from the previous question, I represent a very rural constituency and there will be constituencies up and down the UK, particularly in Northern Ireland, that are heavily reliant on heating oil. Will the Secretary of State say what action will be taken in the medium and short term to address the price shocks?

Question

I appreciate what the Minister has said about heating oil, but 55% of households in Dwyfor Meirionnydd are off the gas grid and rely on alternative heating fuels that are not protected by the energy price cap. Will the Secretary of State consider something similar to the alternative fuel payment at this time?

Question

The Secretary of State is focused on onshore wind, offshore wind and solar, but will he think again about the Department’s policy on geothermal energy?

Question

Although it is discouraging to hear that no matter how much we extract from the North sea, it will not lower prices, security of supply is an important element of the mix. Is that not obvious?

Question

There have been reports in the media of PetroChina being barred from all exports of diesel and gasoline by the Chinese Government. With PetroChina’s co-ownership of the Grangemouth import terminal, what assurances can the Secretary of State provide my constituents on the security of imported supply coming through Grangemouth?

Question

On top of a rising tax burden, the fear of further energy spikes causes small businesses in my constituency to fear for their survival. Will the Secretary of State introduce new measures to support them?

Question

Does the Secretary of State agree that a focus on renewable energy will deliver a triple whammy: energy security, lower bills, and reduction of climate change impact?

Question

As soon as the first missiles were launched over Iran, those working in the energy sector were already warning that prices would escalate. What steps will the Secretary of State take to ensure that any rise is absolutely necessary and will not result in greater profits for certain people and companies?

Question

Our race to renewables is important not just here in the UK, but around the world. Is the Secretary of State working with other countries to ensure that they are taking the same path towards the renewable transformation?

Question

I thank the Secretary of State for his statement, which I read and listened to very closely. Is it fair to summarise the Secretary of State’s statement by saying that he is not going to do anything differently as a result of the conflict in Iran? I listened to and read the statement very closely, and it does not appear to me that we are going to change anything. It was more of a series of things that we are doing already.

Question

I welcome my right hon. Friend’s statement—all I can say is more power to his renewable elbow. During my time in Parliament, we have gone through various crises. The price of oil and gas goes up, our constituents and businesses pay higher bills, and the Conservatives learn nothing. They do not realise that the only way to provide secure and cheap energy is to have a secure supply here at home. None the less, we are stuck with oil and gas in the meantime. May I urge my right hon. Friend to be open to assisting our constituents and businesses if they see a severe spike in their energy bills?

Question

I thank the Secretary of State for his statement. Households, businesses and charities in North West Leicestershire have highlighted some immediate pressures on the cost of heating oil and fuel costs in recent days. Does the Secretary of State agree that energy security across our country is vital and that cheap, clean power is key to delivering that security, so will he a share what additional work he will be doing to secure that for families and businesses in North West Leicestershire and beyond?

Question

The Secretary of State is right to say that, because of our reliance on oil and gas, we are a price taker, not a price maker. We are exposed, and families in Burnley, Padiham and Brierfield are worried. Will he continue to strengthen our home-grown sovereign energy supplies and production to keep driving down energy bills? Given the potential for future wholesale price volatility, will he look at getting suppliers in the room again to reduce standing charges, which people see as unfair, regressive and unrelated to their energy use?

Question

I really thank the Secretary of State for all that he is doing, but at times like this, we think about our most vulnerable constituents. Although the energy price cap will protect them for now, we worry about the longer term, not least moving into next winter. Can my right hon. Friend say what he is doing on social prescriptions and social tariffs to ensure that we protect the most vulnerable constituents?

Question

There is precious little good news around at the moment, but I may have some for the Secretary of State. I have listened to the contributions from those on the Opposition Benches, and I think I have discovered a new renewable energy source: the amount of hot air coming from that side of the House could surely heat 100 homes. At a time when prices are spiking and profits are about to rise, does the Secretary of State think that his constituents in Doncaster North would welcome it if we did what the shadow Minister suggested and cut the energy profits levy? My constituents in Lichfield, Burntwood and the villages would not appreciate it if we let companies off like that.

Question

I welcome the Secretary of State’s statement, although I will gently disagree with one point. He said that he believes the Conservatives have failed to learn, or somehow forgotten, the lessons from Ukraine. I think that it is worse than that, and nothing more than short-term opportunism. They hoped that nothing like Ukraine would happen again and they forgot to learn the lessons, so bills were driven up and significant damage was done to our economy. Does he agree that the Conservatives’ short-term opportunism on energy security and national security is not in the long-term interest of our country?

Question

Today’s statement is a stark reminder that energy security is national security and economic security, and those who oppose clean, green British power are handing a gift to people who wish to do us harm. Will my right hon. Friend ensure that it is only the British interest that determines energy policy?

Question

At a time when the UK is increasingly dependent on and exposed to internationally traded LNG, does delaying the oil and gas price mechanism not risk reducing investment in domestic supply exactly when global markets are least stable?

Question

It is interesting to note that, for the duration of this statement and the question and answer session, there has been zero participation from the SNP and Reform, which goes to show exactly how much both parties care about Scotland’s energy security. I appreciate that the Secretary of State will not be able to give an in-depth response at the Dispatch Box, but can he give any update on Project Willow at Grangemouth? Specifically, I want to know about the future jobs coming to the town and any potential Government ownership to secure our industrial security and Scotland’s energy sovereignty.

Question

This will be a worrying time not only for households, but for the energy- intensive businesses in my constituency. Last year, we lost soda ash production from Northwich after 150 years, in part due to the high energy costs. What support does my right hon. Friend intend to provide businesses both to get through this crisis and into the future, so that we can ensure they stay viable and competitive?

Question

The statement, for which I am very grateful, really drives home the importance of energy security and the move to renewables, but food security is equally important. In my constituency of South Derbyshire, we have had a plethora of applications for battery energy storage systems and solar farms, because we have a close connection to two grids. I am not saying that we do not need that, but will the Secretary of State meet me, my hon. Friend the Member for Rushcliffe (James Naish) and other members of the Labour rural research group to discuss the benefits of a local area energy plan?