‘Vital’ energy security bill must be brought back, says Labour
Labour has accused the government of being “highly irresponsible” in sidelining a crucial piece of energy legislation, arguing that Britain is “losing the race” to create green jobs.
The energy security bill was published in July with the aim of boosting domestic, low-carbon power supplies and bringing down energy costs.
However, Jacob Rees-Mogg, then business secretary, in October put on hold the process of approving the legislation in order to prioritise legislation on this winter’s energy support package. There are fears that the bill could now be shelved entirely.
In a letter to the climate minister, Graham Stuart, seen by the Guardian, the shadow energy minister, Alan Whitehead, said: “It is highly irresponsible to have pulled this vital legislation … I ask that you immediately bring the bill back into the parliamentary timetable and work with us on a number of amendments that would make the bill fit for purpose in a modern energy system.”
The energy security bill proposes a string of reforms including creating new financial models to support the production of “low carbon” hydrogen and carbon capture, utilisation and storage (CCUS) projects and speed up approval of offshore windfarms.
It also sets out the planned renationalisation of responsibilities for the electricity and gas systems, currently owned by National Grid.
The bill is designed to “deliver a cleaner, more affordable, and more secure energy system”.
Energy security has shot up the public agenda this year as Russia’s invasion of Ukraine has caused volatility in wholesale oil and gas markets and triggered fears about potential power cuts this winter.
Whitehead’s intervention comes as world leaders and energy policymakers meet in Sharm el-Sheikh, Egypt, to discuss countries’ decarbonisation plans at Cop27.
Whitehead said: “At a time when the US and the EU are bringing forward massive reforms to stimulate near-term investment into hydrogen and CCUS – combined with billions in funding – the fact that the UK government cannot even bring forward a bill is causing investors to seriously reconsider planned investment in the UK.”
He said energy regulator Ofgem should be formally given a “net zero remit” as part of the bill.
Whitehead added: “There is a global race for the jobs of the future and Britain under the Tories is losing it. I urge you to bring back the energy security bill, and work with us on amendments that will make it fit for purpose to help create an energy system that we so desperately need for our net zero future.”
The Department for Business, Energy and Industrial Strategy has been contacted for comment.