Asked by
To ask Her Majesty’s Government what proportion, if any, of the
increased research and innovation funding, announced in the
Budget on 11 March, is allocated to the maritime industry to
assist that sector to meet its net zero emissions obligations.
(CB) [V]
My Lords, in begging leave to ask the Question standing in my
name on the Order Paper, I declare my maritime interests, as
listed in the register.
The Parliamentary Under-Secretary of State, Department for
Business, Energy and Industrial Strategy () (Con)
The Chancellor has made it clear that one of his priorities is to
make the UK a science superpower, including leading on the
development of technologies that will support the Government’s
ambition to reach net-zero carbon emissions by 2050. In the
autumn, the comprehensive spending review will set out details of
this historic investment, giving researchers and innovators
confidence and ensuring that we can meet the objectives we have
set out in the R&D roadmap.
(CB) [V]
I thank the Minister for his reply. The maritime industry has
worked tirelessly during the Covid emergency to keep vital supply
lines open, but this has come at a cost and businesses’ cash
reserves are now heavily depleted. The industry has submitted a
bid for £1 billion of government investment under the
comprehensive spending review to kick-start decarbonisation. This
would create nearly 75,000 jobs in the maritime industry, across
every nation of the UK and especially in our coastal communities.
It would help to position Britain as a world leader in maritime
decarbonisation, which will be an enormous area of business. Does
the Minister recognise the potential of this investment and would
he be willing to meet me and industry representatives to explore
these possibilities and opportunities?
(Con)
I agree with the noble Lord. The Government carry out their own
research into the potential economic opportunities from low and
zero-carbon emission shipping, and I recognise that this
represents a historic opportunity for the UK. I would certainly
be happy to organise a meeting for him, either with my department
or the Department for Transport, whichever is the most
appropriate.
(Non-Afl) [V]
[Inaudible.]—maritime still has a hurdle to climb. The recent
Global Maritime Issues Monitor cited the World Maritime
University’s research into workforce diversity, stating:
“Without increased diversity in the next 10 years, the pace of
innovation in the maritime industry will be slow”.
This also applies to achieving net-zero emissions targets. The
report made it clear that workforce diversity includes race and
gender diversity and is relevant to the issue of net-zero
targets. Therefore, what role do the Government have in promoting
such diversity in the maritime industry?
(Con)
The Government agree with the need to increase diversity in the
maritime sector if it is to meet the challenges of the future. Of
course, we need to embrace talent from everywhere. In support of
this, we have been working actively with the sector to promote
greater diversity. One notable success has been the Women in
Maritime task force, established in 2018.
(Con)
[V]
My Lords, could the Minister tell us how far on the research into
the use of butane, methane and ammonia is? Although the use of
ammonia creates zero harmful emissions, my shipping friends here
in Norway tell me that using ammonia as a fuel creates a very
unpleasant smell. Is that problem being addressed? Incidentally,
does the Minister know that the noble Lord, , is very
highly thought of in the maritime world, especially here in
Norway?
(Con)
Yes, I was aware of the high regard in which many Peers in this
House, including the noble Lord, , are held in
all countries, including Norway, I am sure. I agree with the
noble Lord that the challenge of decarbonisation in the maritime
sector is a great one and we are looking at a number of
alternative fuels, one of which is ammonia.
(CB)
[V]
My Lords, as we are a nation that imports so much food and uses
the maritime system so extensively, what does the Minister think
about the fact that we do not yet count the emissions from
shipping in our carbon budgets? Can the Government tell me what
plans they have to include the sector in the decarbonisation
plans to reach net zero?
(Con)
We count the emissions from domestic shipping in our carbon
budget plans, but the noble Baroness is right, of course, that we
need to work internationally—through the International Maritime
Organization and other fora—to reduce the emissions from shipping
worldwide.
(Lab) [V]
My Lords, the Minister mentioned that we should wait until the
comprehensive spending review to see how much research money
would go into this sector, but could he confirm that funding is
going into the research and development of low-carbon ferries,
which are very important in this country? Will the Government
also support the construction of such a ferry at the recently
rescued high-tech Appledore Shipyard for the Isles of Scilly to
Penzance route, which would then replace the 43 year-old
“Scillonian III”?
(Con)
I know the noble Lord takes a close interest in developments on
the Isles of Scilly; I have dealt with him in my previous jobs on
similar matters. However, as I am sure he is aware, I cannot give
specific spending commitments at this stage.
(LD) [V]
My Lords, decarbonising the maritime sector is going to require
concerted effort on a global scale. Can the Minister say what
position the UK is taking within the IMO with regard to
incentives for the sector to decarbonise and, in particular, a
proposal to introduce a small tax on bunker fuel—which is
currently untaxed—which could be used to build a fund to carry
out more R&D into decarbonisation?
(Con)
I know that, as one of the leading shipping nations, we are
working closely with a number of other nations in the IMO to
bring about a reduction in emissions from the maritime sector. I
am not aware of our precise position on the matters that the
noble Baroness mentions, so I will write to her on that.
(Con)
[V]
My Lords, we have heard a lot about the maritime industry and I
strongly support that. However, I wonder what the position is on
the air industry because, at the moment, there is a tremendous
build-up from the public, who are waiting to be able to fly
anywhere to get away from everything. It is a most important
industry and I believe that it is complying with things like
zero-emissions targets. However, the Government really must be
aware of this need; how do they intend to meet it?
(Con)
The ingenuity with which noble Lords extend these subjects far
and wide never ceases to impress me, but the Question is on
maritime emissions. The noble Baroness makes an important point
about emissions from aircraft, which I am sure is duly noted.
(Lab)
The Government have repeatedly been asked to plug the gap of the
exclusion of international aviation and shipping from the
provisions of the Climate Change Act. In July, reports hinted
that—at last—it was the Government’s intention to add shipping to
its net-zero target but not until 2023. To take the question of
the noble Baroness, Lady Boycott, a little further, I ask the
Minister to explain the delay—especially after the Committee on
Climate Change called for shipping to be formally included in the
UK’s climate targets under the carbon budget?
(Con)
As I said, we already include domestic shipping but, of course,
putting shipping in our carbon budgets is very much an
international matter. We work with other countries to ensure that
emissions are counted in the same way for every country, but I
have noted the noble Lord’s points.
(CB) [V]
My Lords, we have a proud history of innovation, especially in
the marine field, and any help that the Government can give the
shipping industry in this connection is most welcome. Without
shipping, world trade would be a shadow of what it is today. Is
not the real nub behind the Question to find a viable replacement
for the modern combustion engine? Ships are very different from
trains and cars and for a large ship—weighing several hundred
thousand tonnes—to steam across the oceans of the world for over
20 years, a major solution is required. What are the Government
doing to find this?
(Con)
The noble Lord makes a valid point about the difficulties of
decarbonising the maritime sector, and this is one reason why we
are looking at alternative methods of propulsion. However, he is
right to highlight the challenges.
(Lab)
[V]
My Lords, the Minister will be familiar with the Accelerating the
Low Carbon Transition report, published by Brookings in
conjunction with the Energy Transitions Commission. It is a mine
of useful information and includes this fact:
“The top 20 ports, located in just 12 countries and
jurisdictions, control 45% of global container freight.”
In preparation for COP 26, what steps are the Government taking
to bring these countries and jurisdictions together to discuss a
common regulatory approach to shipping emissions?
(Con)
The noble Lord makes an important point. We are working with a
number of other countries through the International Maritime
Organization, and we accept that the maritime sector has an
R&D gap, with little investment in alternative fuels to date,
which is holding back decarbonisation. Therefore, there is no
question that the sector presents a great challenge for the
net-zero efforts.