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  • Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Paul Flynn on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, if she will make an assessment of the (a) causes and (b) effect of the construction delays of reactors in China and France built by the proposed vendors of reactors planned for Hinkley Point C and Bradwell; and what assessment she has made of the implications for her policies on the construction of new nuclear power stations of these delays.

    Andrea Leadsom

    Delays at the Olkiluoto 3 and Flamanville 3 reactors have resulted from a combination of technical, regulatory and contractual reasons, many of which are unlikely to be repeated at Hinkley Point C due to differing regulatory regimes, improved contracting arrangements and in light of the experience that the developer is gaining from these projects.

    In addition, there are strong commercial incentives built into the contract for difference to minimise construction delays and cost overruns. The Contract for Difference (CfD) Strike Price cannot rise if there are construction cost over-runs so any cost overrun would have to be borne by the Project’s investors. Further, low carbon payments under the CfD will only be made once the plant starts generating. The incentives are therefore on the developer to deliver the Project within budget and on time, and if it succeeds in bringing it in under budget, there is a construction gainshare mechanism to ensure sharing of any savings with the consumer.

  • Callum McCaig – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Callum McCaig – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Callum McCaig on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, if she will make an assessment of the potential effect of the Carbon Capture and Storage on achieving maximum economic recovery of oil and gas in the North Sea.

    Andrea Leadsom

    Carbon Capture and Storage (CCS) has the potential to play an important role in enabling the UK to decarbonise its energy system. The Wood Review recognised that offshore storage of carbon dioxide could potentially benefit the UK continental shelf, and called for continued collaboration between industry, academia and DECC as the most appropriate means to realise the opportunity.

    With the UK continental shelf now being one of the more mature offshore basins in the world, the Wood Review identified a range of key issues which the Government and industry must jointly address to deliver maximum economic recovery (MER) of UK petroleum, stressing the importance of a focused regulator. In accordance with the recommendations of the Wood Review, the Government is working to establish the Oil and Gas Authority (OGA), as a body with the objective of delivering MER.

    The Government has taken steps to set up the OGA quickly in accordance with the recommendations of the Wood Review, which continues to attract strong industry support. In addition to its role as licencing authority for offshore carbon dioxide storage, the OGA is developing the Sector Strategies called for by the Wood Review. In developing the Technology and Decommissioning Sector Strategies, the OGA is considering the potential for offshore storage of carbon dioxide to help achieve MER.

    Enhanced Oil Recovery (EOR) techniques that utilise carbon dioxide may also have a role in increasing hydrocarbon recovery in future. In its Technology Sector Strategy, the OGA will consider the potential contribution that the various EOR technologies, including carbon dioxide EOR, could make towards MER.

    The OGA’s key actions are already providing crucial support to the oil and gas industry. Without this, we risk premature decommissioning of the UK continental shelf, loss of stranded assets and loss of the key infrastructure and skills – including those which could ultimately promote the longevity of the industry through carbon dioxide storage projects. This underlines the importance of the OGA focusing upon maximising economic recovery and constructively engaging with the CCS industry.

  • Callum McCaig – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Callum McCaig – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Callum McCaig on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, what information her Department holds on the administrative costs to consumers and businesses of regulations which govern household renewable energy systems and energy efficiency.

    Andrea Leadsom

    Estimates of the administrative costs of major household renewable energy and energy efficiency schemes are typically published in impact assessments accompanying individual scheme regulations. Examples for two of the largest major domestic energy efficiency and renewable energy regulations can be found at:

    • Energy efficiency: Energy Company Obligation (pp. 31-32):

    https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/373650/ECO_IA_with_SoS_e-sigf_v2.pdf. In scheme reporting on administrative costs is also available quarterly at: https://www.gov.uk/government/collections/green-deal-and-energy-company-obligation-eco-statistics

    • Renewable energy: Feed in Tariffs (p. 43):

    https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/458662/IA_for_FITs_consultation_August_2015_-_FINAL_docx__e-signature_included__v2.pdf)

    “

  • Peter Kyle – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Peter Kyle – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Peter Kyle on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, when her Department plans to publish its response to its consultation on feed-in tariffs.

    Andrea Leadsom

    DECC is aiming to publish its response to this consultation later this year.

  • Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Paul Flynn on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, on what date her Department commissioned a study of the technical and economic options for small modular nuclear reactors; which organisation her Department asked to carry this out; what departmental resources have been committed to support this study; and when the final report of that study is expected to be delivered.

    Andrea Leadsom

    A range of studies has been commissioned by the Department of Energy and Climate Change in order to deliver a techno-economic assessment of small modular reactors. The organisations currently under contract to deliver projects for the techno economic assessment are: Atkins Limited (contracted on 22/7/15); Energy Technologies Institute LLP (contracted on 3/8/15); National Nuclear Laboratory Limited (contracted on 3/8/15); Checkendon Hill Ltd (contracted on 25/6/15); and Ernst and Young LLP (contracted on 201/10/15).

    The total budget for this study is up to £4.5million excluding VAT. The equivalent of approximately 4 full time staff are supporting the study in my Department.

    The final report will be delivered in Spring 2016.

  • Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Paul Flynn on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, for what reasons the construction cost of the planned Hinkley Point C power station has reduced from £24.5 billion to £18 billion.

    Andrea Leadsom

    The £24.5 billion figure included financing costs (interest and guarantee costs) assuminga £16 billion IUK guarantee. The £18 billion figure is not directly comparable as it does not include these financing costs.

  • Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Paul Flynn on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, what proportion of the safety issues identified in the Generic Design Assessment for the European Pressurised Reactor that EDF Energy plans to build at Hinkley Point C have still not been resolved to the satisfaction of the Office for Nuclear Regulation.

    Andrea Leadsom

    The Office for Nuclear Regulation (ONR) has advised me that safety issues remaining at the end of Step 4 of Generic Design Assessment (GDA) of the European Pressurised Reactor were captured either as GDA Issues or Assessment Findings. GDA Issues are items that ONR requires to be addressed before a Design Acceptance Confirmation can be issued, successfully ending the GDA process, or before nuclear safety related construction can commence on site. All of the GDA Issues were addressed and closed by ONR in 2012. These Issues, the resolution plans to address them and information on their closure are published on ONR’s website:

    http://www.onr.org.uk/new-reactors/

    Assessment findings are addressed throughout the post GDA phase through routine regulation under the nuclear site licence.

    “

  • Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Paul Flynn on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, what response she has made to the proposal put forward on 21 October 2015 for a partnership between Westinghouse and the Government to develop small modular nuclear reactors.

    Andrea Leadsom

    Receipt of the proposal was acknowledged by officials and it will be considered as part of Government’s wider work on SMRs, which includes evidence building through the techno-economic assessment and engagement with SMR vendors where appropriate.

  • Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Paul Flynn – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Paul Flynn on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, how many meetings her Department has had with Westinghouse officials to discuss the potential partnership between Westinghouse, interested nuclear industry partners and the Government on developing small modular nuclear reactors.

    Andrea Leadsom

    Officials within my Department have met Westinghouse on two occasions to receive their proposal on small modular reactors (SMRs). Receipt of this proposal was acknowledged by officials and it will be considered as part of Government’s wider work on SMRs which includes evidence building through the techno-economic assessment and engagement with SMR vendors where appropriate.

  • Callum McCaig – 2015 Parliamentary Question to the Department for Energy and Climate Change

    Callum McCaig – 2015 Parliamentary Question to the Department for Energy and Climate Change

    The below Parliamentary question was asked by Callum McCaig on 2015-10-22.

    To ask the Secretary of State for Energy and Climate Change, if her Department will take steps to investigate how the administrative governance of installation of renewable energy systems could be simplified.

    Andrea Leadsom

    The development of a renewable energy installation has, by its nature, a degree of complexity. This can cover topics as diverse as the securing of planning permission, the granting of electricity generation licences, access to grid and administration of renewable energy financial incentives. Responsibility for these resides with a number of different regulatory authorities each of which have already put in place detailed guidance for applicants.