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My Lords, the most effective way of bringing down household energy bills is through the energy efficiency of homes. I welcome the Government’s move to apply the future homes standard, which will bring up energy efficiency, but they are not going to implement it until 2028—before which, some 100,000 or more homes will be built inefficiently. Can the Government please bring this forward, at least to 2027?
My Lords, the most effective way of bringing down household energy bills is through the energy efficiency of homes. I welcome the Government’s move to apply the future homes standard, which will bring up energy efficiency, but they are not going to implement it until 2028—before which, some 100,000 or more homes will be built inefficiently. Can the Government please bring this forward, at least to 2027?
I thank the noble Lord for that question. I cannot stand here and guarantee that that move will be brought forward by one year, as he suggests. It is a very sound idea. The future homes standard, which is now in place, is instead of the net-zero low-carbon standards that should have been implemented about 15 years ago, if the previous Government had not thrown them out. We are catching back up, as far as possible, and making sure we can get that done in good order.
My Lords, since the Government have just dabbled with changing the planning conditions for onshore wind in England, there has been no action whatever from the industry, in that it still sees the planning restrictions as a major barrier. When does the Minister expect the next connection into the grid by onshore wind in England so that households can benefit from the cheapest form of energy we can produce in this country?
My Lords, since the Government have just dabbled with changing the planning conditions for onshore wind in England, there has been no action whatever from the industry, in that it still sees the planning restrictions as a major barrier. When does the Minister expect the next connection into the grid by onshore wind in England so that households can benefit from the cheapest form of energy we can produce in this country?
Of course, there are still some onshore wind connections being built in both Scotland and Wales, and a few in England as well. We are committed to looking at the barriers that exist and overcoming them.
To ask Her Majesty's Government what assessment they have made of the effect of Ofgem's Targeted Charging Review on (1) the deployment of energy storage, (2) the deployment of electric vehicles, and (3) the UK meeting the targets of the fourth and fifth carbon budgets.
To ask Her Majesty's Government what assessment they have made of the effect of Ofgem's Targeted Charging Review on (1) the deployment of energy storage, (2) the deployment of electric vehicles, and (3) the UK meeting the targets of the fourth and fifth carbon budgets.
Ofgem’s Targeted Charging Review is seeking to ensure all parties connected to the electricity network make a fair contribution to its fixed costs. As was outlined in the ‘After the Trilemma’ speech of 15 November 2018, it is important that we develop an energy system that discourages free riding and ensures a fair distribution of such costs.
Network charging is a matter for Ofgem as the independent regulator, and decisions on its Targeted Charging Review (TCR) are for it to make. However, Government is working to understand the policy implications of Ofgem’s review proposals across a broad range of interests. The analysis published by Ofgem as part of a consultation which closed on 4 February 2019 shows that its proposals could affect the deployment of a number of technologies, but with a low likelihood of affecting measures already taken. It is important to understand that no final decisions have been taken on timing or other aspects of the TCR, and Ofgem is currently considering the views and evidence provided in response to its consultation.
To ask Her Majesty's Government what assessment they have made of the effect of Ofgem’s Targeted Charging Review on companies which have already undertaken energy efficiency measures.
To ask Her Majesty's Government what assessment they have made of the effect of Ofgem’s Targeted Charging Review on companies which have already undertaken energy efficiency measures.
Ofgem’s Targeted Charging Review is seeking to ensure all parties connected to the electricity network make a fair contribution to its fixed costs. As was outlined in the ‘After the Trilemma’ speech of 15 November 2018, it is important that we develop an energy system that discourages free riding and ensures a fair distribution of such costs.
Network charging is a matter for Ofgem as the independent regulator, and decisions on its Targeted Charging Review (TCR) are for it to make. However, Government is working to understand the policy implications of Ofgem’s review proposals across a broad range of interests. The analysis published by Ofgem as part of a consultation which closed on 4 February 2019 shows that its proposals could affect the deployment of a number of technologies, but with a low likelihood of affecting measures already taken. It is important to understand that no final decisions have been taken on timing or other aspects of the TCR, and Ofgem is currently considering the views and evidence provided in response to its consultation.
To ask Her Majesty's Government what estimate they have made of the amount of revenue that has been raised in VAT and collected by HMRC from sales of electricity in each year since 1 April 2013 to date.
To ask Her Majesty's Government what estimate they have made of the amount of revenue that has been raised in VAT and collected by HMRC from sales of electricity in each year since 1 April 2013 to date.
I refer the noble Lord to the answer l gave on 25 April 2019 to Question HL15205[1].
To ask Her Majesty's Government what estimate they have made of the amount of income that has been raised in additional VAT revenue on domestic electricity following the recent increase in (1) the Pre-Payment Meter cap, and (2) the Default Tariff cap; and what estimate they have made of such...
To ask Her Majesty's Government what estimate they have made of the amount of income that has been raised in additional VAT revenue on domestic electricity following the recent increase in (1) the Pre-Payment Meter cap, and (2) the Default Tariff cap; and what estimate they have made of such...
The details that HM Revenue and Customs (HMRC) collects from taxpayers on their VAT returns are not specific enough to enable the revenue arising from these supplies to be quantified.
HMRC does not require detail on particular products and customer types because it would place a considerable administrative burden on businesses.
Lords motion to take note of the tenth report of the European Union Committee on Brexit: Energy Security (HL 63). Agreed to on question.
Lords motion to take note of the tenth report of the European Union Committee on Brexit: Energy Security (HL 63). Agreed to on question.
My Lords, I congratulate the Minister and the Government on revitalising the interconnector debate. Given that this is a way to reduce the cost of a decarbonised electricity system in the UK, what is happening specifically about negotiations with the Government of Iceland, where a huge amount of geothermal and hydro power is available? I understand that there are difficulties with European regulations in allowing the interconnector market to go ahead. What are the Government doing to renegotiate some of those rather unhelpful single market rules?
My Lords, I congratulate the Minister and the Government on revitalising the interconnector debate. Given that this is a way to reduce the cost of a decarbonised electricity system in the UK, what is happening specifically about negotiations with the Government of Iceland, where a huge amount of geothermal and hydro power is available? I understand that there are difficulties with European regulations in allowing the interconnector market to go ahead. What are the Government doing to renegotiate some of those rather unhelpful single market rules?
My noble friend is absolutely right: Iceland has vast geothermal, hydro and wind resources. We stand ready to liaise further with the Icelandic Government to determine the potential for interconnection in future that will benefit both countries.
Lords question for short debate on how they intend to implement their strategy for energy efficiency.
Lords question for short debate on how they intend to implement their strategy for energy efficiency.
To ask Her Majesty's Government what is their assessment of the estimate that an additional 1,000 pre-payment electricity meters are being installed each week in light of the fact that an average pre-payment electricity customer pays £95 a year more in charges than a direct debit customer.
To ask Her Majesty's Government what is their assessment of the estimate that an additional 1,000 pre-payment electricity meters are being installed each week in light of the fact that an average pre-payment electricity customer pays £95 a year more in charges than a direct debit customer.
How they will address the issue of the current 20-year amortisation of domestic energy-metering equipment by energy suppliers to allow the current financial barriers to the timely introduction of smart metering to be removed; and
How they will address the issue of the current 20-year amortisation of domestic energy-metering equipment by energy suppliers to allow the current financial barriers to the timely introduction of smart metering to be removed; and
Whether they will consider requiring energy suppliers to replace existing prepayment metering with smart metering technology in order that costs to prepayment customers are reduced in a manner similar to that achieved in Northern Ireland.
Whether they will consider requiring energy suppliers to replace existing prepayment metering with smart metering technology in order that costs to prepayment customers are reduced in a manner similar to that achieved in Northern Ireland.
Whether they intend to set a framework for the introduction of gas and electricity smart metering for domestic energy consumption that is transferable and inter-operable between all energy suppliers; and
Whether they intend to set a framework for the introduction of gas and electricity smart metering for domestic energy consumption that is transferable and inter-operable between all energy suppliers; and
Whether they intend future domestic energy metering to incorporate both electricity and gas energy consumption meters; and
Whether they intend future domestic energy metering to incorporate both electricity and gas energy consumption meters; and
asked Her Majesty's Government:How they intend to ensure that new smart metering technologies for gas and electricity energy consumption are introduced to homes throughout the United Kingdom so that households can intelligently manage their energy use and carbon savings; and
asked Her Majesty's Government:How they intend to ensure that new smart metering technologies for gas and electricity energy consumption are introduced to homes throughout the United Kingdom so that households can intelligently manage their energy use and carbon savings; and