9. Debate: How do we achieve a low carbon energy system for Wales?

Part of the debate – in the Senedd at 6:54 pm on 20 November 2018.

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Photo of Lesley Griffiths Lesley Griffiths Labour 6:54, 20 November 2018

Thank you, Deputy Presiding Officer, and I'd like to thank Members for their contributions. I think it's very clear that we do need to reconsider Wales's historic role in supporting the wider UK energy system. I mentioned in my opening remarks the recent low-carbon delivery plan consultation, and that really made clear that we do need to fundamentally change our approach to power, heat and transport in order that we meet our decarbonisation objectives, in ways that achieve benefits for the people of Wales. And I don't doubt that this will need very difficult decisions, and I think it needs not just national leadership, but also local leadership too. 

We've got to take some bold decisions around building efficiency and futureproofing our building stock, and we also need to help businesses take a longer term investment approach to energy efficiency projects. And I think we also need to help them recognise that decarbonisation also provides opportunities and our economic action plan prioritises the decarbonisation call to action and the regional approach to its delivery, which will really fit well with our regional energy planning work.

On generation, our currently reliant on gas I really think puts us at a risk of missing our carbon target. I mentioned that we currently host 19 per cent of the UK’s gas-fired electricity generation but use only 5 per cent. So, given our responsibility for carbon, I believe that Wales should have complete control over the consenting and deployment of energy in Wales, as we called for in the negotiations for the Wales Act in 2017.

The marine sector is working really hard to persuade the UK Government that it’s worth backing and has a strong fit with their industrial strategy. I’m absolutely committed to working with partners to develop lagoon technologies in Wales and to also consider the case for supporting a new private sector-led project.

Overall, the future of our thriving renewable energy industry must be secured if we are to meet our renewable target. So, I do continue to lobby the UK Government to increase levels of investment in renewables. I’ve raised concerns about the exclusion of onshore wind, of which Members will be aware, which is the lowest cost form of generation, and also solar technologies from contracts for difference, the proposed closure of the feed-in tariff and the lack of funding to support wave and tidal technologies. I really do think that the UK Government must take some swift decisions regarding future support for small-scale renewables.

I believe that achieving 100 per cent of renewable energy generation would be extremely challenging. I think it would risk us, if we were relying on our neighbours, being able to keep the lights on in Wales. I’m sure that Members here would share my concerns about putting Wales in that position.

We will need significant investment in energy generation and networks in order to deliver our carbon targets in Wales. However, I think by doing it smarter, we can avoid unnecessary expense. Robust development plans can provide a basis for investment by grid operators to support clear future need. We’re also working to support energy planning to ensure appropriate developments are supported in national, regional and local plans.

If I can just turn to the amendments. We will be opposing amendment 1 brought forward by Neil McEvoy. As we’ve made very clear, nuclear is absolutely part of the energy mix. We will be accepting amendment 2 in the name of the Welsh Conservatives. We’ve invested significant time and resource into a comprehensive programme of support to maximise the potential lasting legacy from Wylfa Newydd. We will be opposing amendment 3. Members should be aware that Welsh Government can’t reconsider the decisions. I can pass no further comment. We’ve provided consistent support to communities as a vital part of energy development in Wales and anyone who wishes to question the decision on Hendy windfarm and the reasoning behind it, and the decision letter is there for people to see, can do it through the court.

The two amendments from Plaid Cymru—we will be opposing both. I mentioned that we've consistently fought for full powers over energy developments in Wales. However, we are part of a joined-up UK and global energy system and I think we have to recognise the way the system is funded and regulated.

In relation to amendment 5, you’ll be aware that, in discussions with Plaid Cymru, I did look at establishing an energy company for Wales. We had that recent call for evidence, which I’m sure Members are aware of, and we didn’t feel there was sufficient clarity on the purpose of what that energy company would do. But I’m very happy—I'm aware that Llyr is now taking this forward along with the energy atlas. I’d be very happy to have future discussions about it, if you can bring forward more clarity on how, really, it would benefit the investment that would be required to bring it forward.

I'd like to thank everybody—