Danny Alexander picks an important fight with Osborne

Scrap over climate change policy.

In tabling a motion for the Liberal Democrats autumn conference on low carbon policy, Danny Alexander MP, Chief Secretary to the Treasury, has picked an important fight with his boss, the Chancellor George Osborne. Alexander’s feet must be kept to the fire on this if Britain is to have any chance of achieving its legal obligations to decarbonise the power sector.

Alexander’s motion roundly criticizes "the refusal of the Conservatives to acknowledge that investing in carbon reducing technologies has the potential to make an important contribution to long-term growth".

There is no one this accusation can be more squarely aimed at than Alexander’s boss in the Treasury, the Chancellor George Osborne.

Since his autumn 2011 conference speech, Osborne has been almost wholly negative on the low carbon agenda. "We are not going to save the planet by putting our country out of business", he said putting himself squarely at odds with business groups like the CBI and EEF who see the green economy as a key driver of growth. Indeed, the green economy grew by 2.3 per cent in real terms in 2010/11, and made up a third of what little growth Britain managed in 2011/12.

Most recently Osborne was heavily rebuked by the Energy and Climate Change Committee for undermining the development of the government’s flagship Energy Bill, which is intended to bring forward vast amounts of investment in low carbon energy sources. Osborne seems far more interested in making the UK a fossil fuel hub and frightening the wind industry than going low carbon.

The Chancellor is likely to be particularly angered by Alexander’s proposal for the Government to establish a 2030 decarbonisation target for the power sector, in the range of 50 to 100 grams of CO2 emissions per kilowatt hour of energy produced. 2030 is a crucial staging post towards the UK reducing its emissions by 80 per cent 2050, and, while the independent Committee on Climate Change and the Energy and Climate Change Select Committee have recommended that a target of 50g by 2030 for the power sector is adopted, it is something to which Osborne appears firmly opposed. The mismatch between Alexander’s proposed target range of 50g to 100g, instead of the stricter 50g recommended by the Committee on Climate Change, is something that requires an explanation.

It is our view, set out in our submission to the Energy and Climate Change Select Committee, that adoption of a 2030 power sector target is the single most important step the Government can take to provide certainty to industry about the direction of travel for the energy industry. Providing this certainty, we believe, will ensure that energy bills are kept as low as possible and the UK reaps the maximum benefits from growth in low carbon sectors, while at the same time emissions are reduced.

Danny Alexander is right to challenge the Chancellor on climate change policy because going low carbon is the only credible economic policy. It is now time for others to come out in support of the 2030 target and ensure it is adopted by government in the Energy Bill. This includes the Labour party; prominent green-minded Conservative MPs like Zac Goldsmith, Oliver Letwin and William Hague who are witnessing the rapid deterioration of their party’s reputation on climate change; and industry pressure groups like the CBI that are supportive of ambitious emission reduction policies.

Reg Platt is a Research Fellow at IPPR. He tweets at @regplatt

George Osborne. Photograph: Getty Images

Reg Platt is a Research Fellow at IPPR. He tweets as @regplatt.

Photo: Getty Images
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What do Labour's lost voters make of the Labour leadership candidates?

What does Newsnight's focus group make of the Labour leadership candidates?

Tonight on Newsnight, an IpsosMori focus group of former Labour voters talks about the four Labour leadership candidates. What did they make of the four candidates?

On Andy Burnham:

“He’s the old guard, with Yvette Cooper”

“It’s the same message they were trying to portray right up to the election”​

“I thought that he acknowledged the fact that they didn’t say sorry during the time of the election, and how can you expect people to vote for you when you’re not actually acknowledging that you were part of the problem”​

“Strongish leader, and at least he’s acknowledging and saying let’s move on from here as opposed to wishy washy”

“I was surprised how long he’d been in politics if he was talking about Tony Blair years – he doesn’t look old enough”

On Jeremy Corbyn:

"“He’s the older guy with the grey hair who’s got all the policies straight out of the sixties and is a bit of a hippy as well is what he comes across as” 

“I agree with most of what he said, I must admit, but I don’t think as a country we can afford his principles”

“He was just going to be the opposite of Conservatives, but there might be policies on the Conservative side that, y’know, might be good policies”

“I’ve heard in the paper he’s the favourite to win the Labour leadership. Well, if that was him, then I won’t be voting for Labour, put it that way”

“I think he’s a very good politician but he’s unelectable as a Prime Minister”

On Yvette Cooper

“She sounds quite positive doesn’t she – for families and their everyday issues”

“Bedroom tax, working tax credits, mainly mum things as well”

“We had Margaret Thatcher obviously years ago, and then I’ve always thought about it being a man, I wanted a man, thinking they were stronger…  she was very strong and decisive as well”

“She was very clear – more so than the other guy [Burnham]”

“I think she’s trying to play down her economics background to sort of distance herself from her husband… I think she’s dumbing herself down”

On Liz Kendall

“None of it came from the heart”

“She just sounds like someone’s told her to say something, it’s not coming from the heart, she needs passion”

“Rather than saying what she’s going to do, she’s attacking”

“She reminded me of a headteacher when she was standing there, and she was quite boring. She just didn’t seem to have any sort of personality, and you can’t imagine her being a leader of a party”

“With Liz Kendall and Andy Burnham there’s a lot of rhetoric but there doesn’t seem to be a lot of direction behind what they’re saying. There seems to be a lot of words but no action.”

And, finally, a piece of advice for all four candidates, should they win the leadership election:

“Get down on your hands and knees and start praying”

Stephen Bush is editor of the Staggers, the New Statesman’s political blog.