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Energy Bill [Lords] - Sitting 6

08 June 2023

Proposing MP
Romsey and Southampton North
Type
Public Bill Committee

At a Glance

Issue Summary

The statement discusses the motion to amend the Energy Bill's clause order and addresses concerns about the timing of new clauses related to Great British Nuclear and energy-intensive industry assistance. The statement addresses the installation targets for heat pumps and the government's approach towards incorporating these targets into legislation. Caroline Nokes discusses Amendment 118, which aims to ensure that households are not forced to participate in hydrogen grid conversion trials and will be provided with alternative low-carbon heating solutions. The statement discusses the provisions for a hydrogen grid conversion trial and consumer protections under the Energy Bill [Lords]. The statement discusses amendments related to hydrogen trials in the UK and the need for clear guidelines on participation and alternative heating options. Caroline Nokes discusses Clause 115 and proposes a new clause related to fusion energy facilities. Clause 116 of the Energy Bill seeks to exclude fusion energy facilities from nuclear site licensing requirements, aiming to provide regulatory clarity and encourage investment in fusion technology. Caroline Nokes addresses concerns about nuclear safety regulations for fusion energy and proposes a revised licensing regime that balances safety with the unique characteristics of fusion. The discussion centers on concerns about the potential radioactivity and structural degradation from nuclear fusion facilities. The statement discusses Clause 117 of the Energy Bill, which aims to enable recycled carbon fuels and nuclear-derived fuels to be treated as renewable for transport fuel obligations. The statement discusses Clause 117 of the Energy Bill, which allows fossil fuel waste to be reclassified as renewable energy under certain policies like the sustainable aviation fuel mandate. Caroline Nokes discusses amendments related to the Independent System Operator (ISOP) functions, including oversight of distribution systems. The statement discusses issues related to energy transmission and distribution, focusing on improving cable efficiency and reducing losses. The statement discusses the Government's position on establishing an independent system operator (ISOP) to improve connection timelines and achieve net zero goals, rejecting proposals for an advisory board that could hinder independence.

Action Requested

Caroline Nokes requests clarity from the Minister regarding when the new clauses will be considered, ensuring there is sufficient time for scrutiny by the Opposition before the deadline for tabling amendments.

Key Facts

  • The motion aims to delay consideration of clause 132 and related schedules.
  • New clauses on Great British Nuclear and energy-intensive industry assistance have been tabled by the Government.
  • There are four areas where new clauses have been introduced during the Bill's progress.
  • Government's target is for 600,000 heat pumps by 2028.
  • Climate Change Committee recommends 900,000 installations.
  • Building regulations will set performance-based standards without mandating specific technologies.
  • Amendment 118 is proposed in clause 115.
  • It ensures that households have an alternative heating solution if they do not wish to participate in the hydrogen grid trial.
  • Gas transporters are required to install other forms of low carbon heating for non-participating households.
  • Clause 114 modifies the Gas Act 1986 to facilitate hydrogen grid conversion trials.
  • The hydrogen heating trial will start by 2025.
  • Powers of entry into private properties for essential works include replacing appliances, testing safety valves, and disconnecting gas supply.
  • Consumer protections are established through two delegated powers given to the Secretary of State to make regulations.
  • There are two village trials underway in Ellesmere Port and Redcar.
  • One trial introduces a separate hydrogen main at a late stage, while the other uses existing gas mains for hydrogen delivery.
  • The amendment addresses concerns about forced participation in trials and offers alternatives such as heat pumps or low-carbon gas heating.
  • Caroline Nokes gives her vote to the Noes on an amendment proposed by Dr Whitehead.
  • The new clause seeks to consult and establish a revised nuclear site licence regime for fusion energy facilities.
  • The regime would not be subject to full safeguards associated with fissionable materials but must consider residual radioactivity.
  • Clause 116 makes the UK the first country in the world to legislate for fusion energy.
  • The Joint European Torus, the most powerful operational fusion device globally, is currently regulated under an existing framework since 1983.
  • The site for STEP will be at West Burton in Nottinghamshire.
  • The new clause proposes a consultation process to establish a revised nuclear site licence regime.
  • It suggests that fusion energy should not be subject to the full range of safeguards associated with fissionable materials but must consider residual radioactivity.
  • The aim is to provide appropriate and proportionate safeguards within the context of broader nuclear restrictions.
  • Tritium is a hydrogen isotope with a natural half-life of 12 years.
  • New clause 51 aims to regulate nuclear fusion facilities under fission regulations, which Fletcher argues are inappropriate due to differences in radioactivity levels and types.
  • The Health and Safety Executive will monitor any workforce risks associated with potential commercial fusion energy solutions.
  • Transport is the largest emitting sector of greenhouse gas emissions, producing 26% of the UK’s total emissions in 2021.
  • The clause enables recycled carbon fuels produced from unrecyclable waste plastics or industrial waste gases to be treated as renewable for transport fuel obligations.
  • Fuels derived from nuclear energy are also included and can deliver significant carbon savings over traditional fossil fuels.
  • Clause 117 permits recycled carbon fuel to be treated as renewable.
  • The renewable transport fuel obligation requires fuels to meet strict sustainability criteria.
  • Recycled carbon fuels are produced from fossil waste that cannot be avoided, reused or recycled.
  • Amendments 96 and 97 aim to give the ISOP oversight of distribution systems.
  • New clause 37 proposes a supervisory and advisory board for the ISOP's independence assurance.
  • Energy UK and the Energy Networks Association must be consulted on the board appointment.
  • The current electricity transmission system loses around 6% of energy.
  • A highly efficient cable system was visited, showing a 15% increase in efficiency.
  • Amendments aim to add oversight of distribution systems in conjunction with licensed DNOs.
  • New clause 37 suggests setting up an independent advisory board for the ISOP.
  • Connections and connection timelines are the biggest challenge for electrification, economic growth, and reaching net zero goals.
  • The Independent System Operator (ISOP) will help drive down connection timelines.
  • An advisory board could hinder the independence of the ISOP.
  • The aim is for the FSO/ISOP to be up and functioning by mid-next year after Royal Assent.
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