Well, thank you very much, Llywydd. It’s a privilege, if truth be told, to introduce the first short debate of the fifth Assembly. I have agreed to give a minute of my time to Lee Waters and Jenny Rathbone in this debate.

Now, ‘Delivering a Smarter Energy Future for Wales—Energy Policy Priorities for the New Welsh Government’ is the title that I have chosen, and that refers, of course, to this, namely a report from the Environment and Sustainability Committee of the previous Assembly. It’s a report that was published as a result of the committee’s inquiry, which outlined a vision that received cross-party support on the future of energy in Wales, which actually delivers on our ethical and legal responsibilities in terms of climate change, but also achieves the economic potential that would come from using our natural resources responsibly and sustainably and in a way that generates wealth for the people of Wales, and, indeed, creates all sorts of other opportunities in terms of tackling fuel poverty, empowering local communities to be more proactive in deciding their own energy futures, and all sorts of other positives that would come as a result of that.

Now, the report was published towards the end of the last Assembly, as I said, with the debate on the report taking place on the last day of the fourth Assembly, here in this Chamber. The intention of the report was not to look back, not to point fingers or cast any blame, but to be constructive, to be practical, and to offer a vision and to pose a challenge to the next Government, of course, by outlining the opportunities, the priorities and that sense of urgency that exists in terms of meeting the challenge that we are facing. There was clear consensus in support of the committee’s recommendations within the committee itself, of course, and the motion to note the report was passed unanimously in this Chamber.

Now, naturally, in responding to the debate, we heard very little from the responsible Minister at that time, and that was fair enough, of course, because the message was clear that it was for the next Welsh Government to tackle the agenda highlighted and outlined in the report. That’s why I have chosen this issue today for my short debate. I don’t want this report to be forgotten; I don’t want to lose the momentum, or the consensus that underpinned this report. I want to see the new Government understand that this is one of the major priorities that we have in economic, environmental and social terms, one of the greatest challenges facing us here in Wales. And this is the first opportunity, therefore, for the new Government, and the new Secretary—and I congratulate her on her appointment, of course—to respond to the recommendations made in the report and to tell us how she intends to meet the challenges and achieve the opportunities that we have and what her vision and her Government’s vision is in terms of delivering that smarter energy future for Wales.

Now, clearly, I can’t list everything contained within the report in my short debate today, but I do want to draw attention briefly to some of the main points. Now, one of the strongest recommendations emerging from the committee inquiry is the need for Wales to set out a co-ordinated and strategic vision for its energy policy in the future, and that includes clear targets in order to engender growth, and it also includes clarity in terms of the kind of energy mix that would come together to create the provision that we require, and, of course, how we’re going to ensure a central role for local energy in all of this.

The report makes it clear that Wales has to set annual targets to reduce energy demand and to help people to use energy more efficiently. The report asks that we set targets for increasing renewable energy production in Wales, and, in the context of the need to reduce carbon emissions by at least 80 per cent by 2050, then the report states that Wales should set a target date for energy self-sufficiency. That, of course, is entirely possible. Germany, for example, has committed by 2050 to ensure that 80 per cent of its energy comes from renewable sources, and, more than that, by that same year, that it cuts its use of energy in buildings by 80 per cent and creates millions of jobs and adds to its GDP in so doing. It’s a transformational programme that shows the way forward for many of us.

It’s also worth looking at a nation such as Uruguay, which has a population similar to Wales, and how they have succeeded in ensuring, in less than 10 years, that 95 per cent of their electricity is generated from renewable energy, reducing their carbon footprint, of course, but also reducing people’s bills simultaneously. They have demonstrated that, with vision and determined leadership, it is possible to make real and swift progress towards a low-carbon economy.

Now, we need to make some difficult decisions, of course, on the balance between major and small energy investments, and native and foreign investment, and we need to be confident enough to prioritise local energy generation systems for the benefit of our communities.

Wales, by the way, doesn’t need to wait for more powers from Westminster before achieving most of the vision set out in this report; we can make a start on much of this work now. For example, reducing the demand for energy is the most important aspect of switching to a smarter energy future. Households in the UK spend 80 per cent of their energy costs in heating rooms and water in homes. We therefore need to ensure that homes are as efficient as possible in terms of energy usage.

Now, under the EU’s energy performance and building directive, every building, of course, has to be close to zero emissions by the end of 2020. Indeed, we have to construct public buildings to this standard by the end of 2018. It was a disappointment for many of us that the previous Government—and I’ve made this point on a number of occasions, I’m aware of that—missed an opportunity when building regulations were amended just a few years ago. Although they went out to consultation on the need for all homes to actually be 25 per cent or 40 per cent more efficient than the 2010 standard, they went for just 8 per cent ultimately. This must be changed as a matter of urgency; the current system, of course, locks energy inefficiency into the system for the lifetime of those new homes that are built.

Enhancing energy efficiency in our current housing stock is also crucial, of course, by retrofitting energy efficiency measures. Whilst programmes such as Arbed and Nest make contributions to this task, they are small contributions and they are nowhere near enough, given the scale of the challenge facing us and the level of investment that’s truly required. That’s why, of course, there was a commitment in the Plaid Cymru manifesto to invest billions of pounds over the next two decades to meet that challenge through a national infrastructure commission for Wales. And I do hope that the negotiations that have taken place between ourselves and the Government will ultimately facilitate that. Now, Wales needs to raise its game, there’s no doubt about that, and I’m looking forward to hearing what the new Government’s plans are to achieve that.

Now, across England, local authorities are also establishing not-for-profit energy supply companies. In Wales, we have a not-for-profit utility company, which is Dŵr Cymru, and we must build on that success in the field of energy. The committee heard how some local authorities in England, including Bristol and Nottingham specifically, can target fuel poverty by supplying energy to homes at a reduced cost in their areas. In Nottingham, Robin Hood Energy offers a tariff for the citizens of Nottingham alone, and also can set lower rates in areas where there is an enhanced level of fuel poverty.

Now, Bridgend county council does provide local heating networks, and Wrexham council has the largest solar energy scheme in the UK, but we must go further. We need to establish a not-for-profit umbrella energy company. Now, under that, local authorities or even local communities could supply locally. The ultimate aim, of course, would be for such a company to get all of its energy from renewable sources in Wales.

Now, we can’t discuss energy policy in Wales without mentioning the grid, of course, and I have said on a number of occasions in this Assembly that the time has now come for us to move away from the hub-and-spoke model of energy production in large power stations and then transfer across the nation through an ineffective, costly grid. We need to move to a model of smarter local grids, with the energy produced closer to where it is used. Networks that are more efficient offer more resilience for the energy system, which is less damaging to our landscape and cheaper in terms of maintenance. Now, a lack of capacity on the current grid in Wales is also a significant barrier in terms of local energy production. We therefore need the national grid, the distribution network operators—the DNOs—and Ofgem to play their part in responding to the progress that we want to see in a distributed energy generation system. And, in that regard, the report makes it clear that Wales must have a far stronger and meaningful voice on those specific bodies.

Now, the committee started their work at the start of the fourth Assembly by looking at energy and the planning system, and this was a very important consideration in the report that I am focusing on today. I won’t expand on that, but just highlight the fact that the planning system must be far more effective in terms of facilitating local energy and community energy projects, particularly in that there should be more priority given to that sector—extending permitted development, for example, so that these projects can proceed. We need to simplify the process, too, in terms of making planning applications and getting consent for projects of this sort, and also ensure that NRW, to be fair, has the necessary capacity to deliver their responsibility effectively and in a timely manner in this area.

One of the most important ways of supporting new energy generation is by enhancing security in the market, and we know that recent changes to the energy generation tariffs policy and other assistance for renewable energy has caused great uncertainty for investors, and that has chiefly emerged from the UK Government, of course. And London does have many of these powers. But there are entirely practical ways in which the Welsh Government can contribute towards making a difference. There are opportunities to provide land that is currently owned by the Government for energy projects. There is scope for us to take full advantage of all possible sources of funding. Now, this includes a number of European sources, and one would hope, following the events of next week, that we will be able to access European sources such as the European regional fund, such as Horizon 2020, the rural development programme and so on and so forth. There is perhaps scope for a lending scheme by the Welsh Government, and we know of the need for hand-holding services to assist local and community projects.

There are opportunities in terms of training and skills and there are a number of other opportunities that are mentioned in the report. The energy agenda, of course, is substantial. It’s a broad area that touches upon a number of policy areas and many portfolios within the new Government’s Cabinet. The one thing that is clear, however, is that the opportunity for Wales in getting this right is exceptionally exciting: economic, environmental and social benefits that are extremely significant. The challenge is set in this report and in the recommendations made. The question now is: how will the new Government and the new Secretary respond in order to achieve this by actually delivering a smarter energy future for Wales?