Bring energy jobs and contracts back to Britain, says Rebecca Long Bailey

Under the Tories, our energy industry has not received the support it needs, undermining Britain’s energy industry at every turn. In government the Tories have:

• Rejected plans for the Swansea Tidal Lagoon project, which could have generated jobs and used UK steel.
• Scrapped the Zero Carbon Homes policy.
• Scrapped a £1 billion flagship programme on carbon capture and storage.
• Cut support for small scale solar by 64 per cent, and overseen a collapse of new installations of 86 per cent. The same Tory cut to solar saw 12,000 jobs lost.
• Offered no clarity on renewables funding before 2025, denying companies the opportunity to plan for new projects and invest.
• Abolished the Department for Energy and Climate Change.

On the Tories’ watch:

• Clean energy investment in the UK fell by 56 per cent in 2017.
• The number of people employed in the low-carbon and renewable energy economy fell by 30,000 between 2014 and 2016- a drop of 12.5%; while turnover over the same period is down almost £1.5 billion.

Today, visiting wind turbine makers Hutchinson Engineering in Widnes, Rebecca Long Bailey MP will discuss Labour’s plans to use investment, contracts and skills to create jobs, build a fairer society, combat climate change and rebalance an economy that has become too focused on the City of London and the financial sector. The next Labour government will:

• Invest in infrastructure and new green technology across each region, helping companies based here in Britain to create jobs and rebalancing the economy.
• Take energy back into public ownership to deliver renewable energy, affordability for consumers, and democratic control. 
• Change public sector procurement rules so that government supports jobs and industry, and promotes gender equality, environmental standards and unionisation.

Rebecca Long Bailey MP, Labour’s Business Secretary, speaking ahead of the visit, part of Labour’s ‘Build it in Britain’ campaign, said:

“The Tories have not given our energy industry the support it needs. Our expensive and polluting energy system is reaching its sell by date, with investment falling and millions in contracts going overseas.

“At every turn, the Government has undermined the energy industry and our green economy, scrapping big renewable projects, and the innovative expertise and jobs that come with them.

“Labour will build an energy system that actually delivers for businesses, workers and our environment, creating secure and high-skilled jobs, while at the same time ensuring that 60 per cent of our energy comes from zero-carbon or renewable sources by 2030.”

Notes to editors

1. The Tories have continued to undermine the British energy industry and green economy at every turn.

• In June this year, the Tory Government rejected plans for the Swansea Tidal Lagoon project, which could have generated jobs and used UK steel.

“2,232 Number of construction and manufacturing jobs directly sustained by the project”

“311 Number of UK industrial businesses to attend our four supply chain awareness workshops to date.”

Retrieved 2 August 2018,http://www.tidallagoonpower.com/projects/swansea-bay/key-statistics/

• The Government have also offered no clarity on renewables funding before 2025, denying companies the opportunity to plan for new projects and invest.

“No subsidies for green power projects before 2025, says UK Treasury

“Government accused of ‘turning their back on renewables’ after saying there will be no more money for new low-carbon levies”

23 November 2017, The Guardian,https://www.theguardian.com/environment/2017/nov/22/no-subsidies-for-green-power-projects-before-2025-says-uk-treasury

• It also scrapped the Zero Carbon Homes policy.

“However the Government announced on 10 July 2015, when it published its productivity plan, Fixing the foundations: Creating a more prosperous nation, that it would not proceed with the zero carbon allowable solutions, or the proposed 2016 increase in on-site energy efficiency standards. Instead it would keep energy efficiency standards under review.”

10 May 2016, House of Commons Library briefing,http://researchbriefings.parliament.uk/ResearchBriefing/Summary/SN06678

• At the same time, it scrapped a £1 billion flagship programme on carbon capture and storage.

“Autumn Statement: £1bn carbon capture storage funds scrapped”

25 November 2015, the FT,https://www.ft.com/content/cca1ff76-9391-11e5-bd82-c1fb87bef7af

• The Government also abolished the Department for Energy and Climate Change.

“The government has axed the Department of Energy and Climate Change (Decc) in a major departmental shake-up.”

14 July 2016, BBC News,https://www.bbc.co.uk/news/science-environment-36788162

• The Tories cut support for small scale solar by 64 per cent and oversaw a collapse of new installations of 86 per cent. The same Tory cut to solar saw 12,000 jobs lost.

https://www.gov.uk/government/statistics/solar-photovoltaics-deployment

“Solar subsidy cuts lead to loss of 12,000 jobs

“UK loses third of solar posts as survey reveals almost four in 10 companies are considering leaving market entirely”

25 July 2016, The Guardian,https://www.theguardian.com/environment/2016/jul/25/solar-subsidy-cuts-lead-to-loss-of-12000-jobs

• Clean energy investment in the UK fell by 56 per cent in 2017.

“This reflects a slowdown of investment in renewable technologies in the UK, with investment falling by 56%21 between 2016 and 2017.”

June 2018, Committee on Climate Change: 2018 Progress Report to Parliament,https://www.theccc.org.uk/wp-content/uploads/2018/06/CCC-2018-Progress-Report-to-Parliament.pdf

• This led the Commons Select Committee to say that the “Government makes no commitment to address collages in clean energy investment”

“Government makes no commitment to address collapse in clean energy investment”

30 July 2018, Commons Select Committee,https://www.parliament.uk/business/committees/committees-a-z/commons-select/environmental-audit-committee/news-parliament-2017/green-finance-government-response-publication-17-19/

• In 2016, there were approximately 30,000 fewer people employed in the low-carbon and renewable energy economy - a drop of 12.5% compared with 2014; with turnover over the same period down almost £1.5 billion – a drop of over 3%.

Source: Office for National Statistics, Released 31 January 2018,https://www.ons.gov.uk/economy/environmentalaccounts/datasets/lowcarbonandrenewableenergyeconomyfirstestimatesdataset

1. The Tories lack of support for the energy industry has seen millions of pounds of contracts go abroad.

The EU’s tendering database shows that between 2014 and 2017 central government departments and government bodies awarded contracts worth millions, in whole or in part, to companies based abroad.

• Sellafield Ltd awarded a £885,000 contract for the provision of an alternative manipulator arms for industrial robots to German firm, Walischmiller Engineering GmbH.

TED: OJEU database, 19 December 2014,https://ted.europa.eu/udl?uri=TED:NOTICE:431720-2014:TEXT:EN:HTML

• The Department for Energy and Climate Change (DECC) awarded a contract of 22 separate lots worth between £500 and £450,000 for engineering-related scientific and services to a number of companies including:

TED: OJEU database, 21 April 2015,https://ted.europa.eu/udl?uri=TED:NOTICE:136775-2015:TEXT:EN:HTML

         * Lowest offer £500 and highest offer £450,000.

• The UK Atomic Energy Authority awarded a contract for the fabrication, machining, welding and testing (pressure and vacuum) of copper J-plates to German company, PVA TePla AG.

TED: OJEU database, 14 November 2015,https://ted.europa.eu/udl?uri=TED:NOTICE:402593-2015:TEXT:EN:HTML

• The UK Atomic Energy Authority awarded a contract for the manufacture, supply and installation of a Laser Flash Apparatus to German company, Linseis Messgeraete GmbH.

TED: OJEU database, 7 February 2017,https://ted.europa.eu/udl?uri=TED:NOTICE:46452-2017:TEXT:EN:HTML

• The UK Atomic Energy Authority awarded a contract for the supply of a long wave infra-red camera system to German company, IRCAM GmbH.

TED: OJEU database, 10 October 2017,https://ted.europa.eu/udl?uri=TED:NOTICE:397985-2017:TEXT:EN:HTML

1. But Labour has a plan to deliver an energy system that delivers for people, businesses and our environment, creating manufacturing and energy jobs in Britain, as well as contributing to climate-change commitments.

Labour will:

• Ensure that 60 per cent of the UK’s energy comes from zero-carbon or renewable sources by 2030

• Insulate four million homes as an infrastructure priority to help those who suffer in cold homes each winter. This will cut emissions, improve health, save on bills, and reduce fuel poverty and winter deaths.

• Commit to renewable energy projects, including tidal lagoons, which can help create manufacturing and energy jobs as well as contributing to climate-change commitments.

• Put us back on track to meet the targets in the Climate Change Act and the Paris Agreement.

• Provide a strategy focused on protecting vital North Sea assets, and the jobs and skills that depend on them.

• Back a low-carbon economy to secure crucial shares of global export markets.