Support for the Energy Industry
(Rother Valley)
(Con)
6. What recent discussions he has had with Cabinet colleagues on
support for the energy industry in Scotland. (905586)
The Secretary of State for Scotland ( )
Scotland’s energy industry is vital to supporting the UK’s energy
security. This Government have listened to Scotland’s energy
industry, and we understand the need to encourage industry
investment. That is why we recently announced the energy security
investment mechanism, which will remove the energy profits levy
if oil and gas prices fall to normal levels for a sustained
period prior to March 2028.
It is great to hear a cheer for the Secretary of State as he
stood up. I am sure he agrees that hydrogen production will be
vital to meeting both the UK’s energy needs and our net zero
targets. Will he set out what the UK Government are doing to
promote the development and production of hydrogen in
Scotland?
Mr Jack
Low-carbon hydrogen is critical to delivering energy security. It
presents a significant growth opportunity and will help the UK to
reach net zero. We have doubled our ambition to 10 GW of
low-carbon hydrogen production capacity by 2030, and at least
half of it will come from electrolytic hydrogen, drawing on the
scale up of UK offshore wind, other renewables and, of course,
new nuclear.
(Birmingham, Selly Oak)
(Lab)
Will the discussions with the Scottish Government also include
the problems with national grid transmission, which means
National Grid is paying to turn off wind turbines because it
cannot afford to get the electricity they generate to the south
of the country?
Mr Jack
By law, transmission network charging is a matter for Ofgem,
which is an independent regulator. It has recently produced a
report on charging reforms, and the Government are looking at
that report.
