Energy Costs

1. Questions to the First Minister – in the Senedd on 18 October 2022.

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Photo of Mabon ap Gwynfor Mabon ap Gwynfor Plaid Cymru

(Translated)

3. What support is the Government providing to help businesses in Meirionnydd in light of energy costs? OQ58594

Photo of Mark Drakeford Mark Drakeford Labour 2:00, 18 October 2022

(Translated)

The Welsh Government has a series of programmes to support businesses in Meirionnydd. The extraordinary rise in energy costs needs a long-term set of solutions, which only the UK Government can provide.

Photo of Mabon ap Gwynfor Mabon ap Gwynfor Plaid Cymru 2:03, 18 October 2022

(Translated)

I thank the First Minister for that response. I do accept that there is significant blame here on Westminster, and that they must step up and compensate those companies and ensure their survival. I have just a few examples. In Dolgellau, we've seen Caffi'r Sgwar closing, the steakhouse closing, the deli closing. The Brondanw Arms in Llanfrothen has closed. Caffi Derfel in Penrhyndeudraeth has closed. Those are just some examples of the businesses in my constituency that have closed over the past few weeks, and there are others considering closure between now and the new year.

These businesses are closing because of energy costs. One business said that they had received a bill now of £7,000 per month up to £70,000 a month for energy. It's entirely unsustainable. But if you think of Brondanw in Llanfrothen, for example, a stone's throw from the Maentwrog and Ffestiniog hydro plant, these produce many gigawatts per year, and that energy is leaving the community, not for community benefit, but for the benefit of others. So, given that the Nuclear Decommissioning Authority, through Magnox, own the hydro plant in Maentwrog, do you agree with me that this resource should be transferred to the community, as a community holding, so that the community can benefit from these hydro plants?

Photo of Mark Drakeford Mark Drakeford Labour 2:05, 18 October 2022

(Translated)

I agree with what the Member said about the importance of sustainable energy being available. Through creating a system for the future that depends on renewable and sustainable energy, we could see a future where energy costs can be affordable for businesses and for local people too. We have an ambition as a Government to increase the percentage of sustainable energy held by local people. We have increased the number of programmes and there are examples across Wales where that has already happened. The more we can do to that end, the more I think that people will be able to see the importance of that policy, but also the things that the policy can do in terms of their lives.