What’s going wrong with politics and energy – and how to fix it

Change is always tricky, but it's far from impossible, writes Green Alliance's Alastair Harper.

Uncertainty over the government’s position on our energy future is costing us. One senior Conservative figure, deeply frustrated by the situation, confided that interest rates on energy projects have increased by 15 per cent over the last few weeks, entirely because of Westminster’s energyshambles. That kind of financing leap adds up – and features later on our bills.

Changing our infrastructure is hard. It means changing things not just for those who provide it, but for the people who use it. It is a big challenge that costs and can confuse. Look at what happened recently in broadcasting – we moved from an analogue format to a digital one. A relatively minor shift in the mode of transmission, but what an effort it took.

It wasn’t just about changing our televisions. It meant changing everything from the cables in the ground to the satellites in space. Because of this, it meant changing things not just in the UK, but around the world. But it worked. How?

First, a global agreement was reached as to when the switchover should happen. Six years ago, a deadline of 17 June 2015 was registered with the United Nations. 

Each nation then agreed its domestic target for achieving the switchover – Netherlands was first in 2006, while the UK finished a few weeks ago on 24 October 2012. 

The government spent a considerable amount of money helping people with this change, overseen by an independent body of experts in the form of Digital UK. But such was the rigour and certainty with which the government went about the process (empowered by cross-party support) that it ended up costing less than expected.

You would think that a demonstrable improvement shouldn’t need government interference: the market should take care of itself. But manufacturers need coordinated targets to tell them when a product becomes redundant and new ones are needed. Retailers need to know what they should be stocking when. During the digital switchover, a clear line of direction helped the public and business to bring about a complex change together on time and under budget.

This was a huge programme of change – from making sure a regional care home had a functional communal telly, to sending new satellites into space. And this was all done not for anything as dramatic as saving the planet - just to offer a better product. 

So why is it so much more difficult for something much more important like the switch to low carbon energy? Why the newspaper headlines? Why the controversy? Why the mess?

Much of the structure is already in place. We have, as we did with the digital switchover, a nonbinding UN agreement on decarbonisation. It’s not enough, of course, but as China reduces its emissions by 15 per cent in five years, we can’t pretend not to be part of a global process.

We have a firm domestic target – an 80 per cent reduction in emissions by 2050 as set out in the Climate Change Act.

We have the independent experts to achieve that goal in the form of the Committee on Climate Change. 

Everything should be in place to achieve the change we need, so why does it feel like something’s going wrong? It’s the politics. 

We had a target, but the politicians argued about how to meet it. We had advisers, but the politicians argued about what they advised. 

As no one knows what the direction of travel is, the costs are going up. They go up as government whips secretly support rival parties. They go up as one department calls for a gas-led future and another says it will have a limited role. When one minister says an energy technology is done, and his boss says he is wrong. This is all despite huge public support for renewables – in fact, a recent analysis showed Conservative voters want more wind, not less.

That is why business is so cross. That is why everyone from Siemens to Alstom to Virgin to Marks and Spencers to National Grid to Microsoft to Edf to Unilever  and many, many more have said we need more certainty. As Mike Barry of M&S recently said: “the certainty of the Climate Change Act has been replaced.”

At the moment, under the Climate Change Act, we only have a target for greenhouse gas emissions across the economy– everything from agriculture to refrigeration. These are all pillars, holding up the structure of our decarbonisation plan. In an ideal world we wouldn’t need a target for any one particular pillar, but a crucial one is currently looking very wobbly indeed – our electricity generation. If we don’t succeed in decarbonising electricity, everything else will have to meet much higher targets, making everything much more expensive.

As with digital switchover, as with the rail revolution, as with decimalisation, our country has prepared itself for a big change to the status quo. We should be busy achieving the change. We shouldn’t need extra frameworks  – but our politicians have let us down. We now need our politicians to show they are capable of giving businesses the structure they need to deliver without them, by listening to what those companies have told them and putting in place a clear figure on how much carbon can be in our electricity mix by 2030. 

A solar thermal generator in California's Mojave desert. Photograph: Getty Images

Alastair Harper is Head of Politics for Green Alliance UK

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The 11 things we know after the Brexit plan debate

Labour may just have fallen into a trap. 

On Wednesday, both Labour and Tory MPs filed out of the Commons together to back a motion calling on the Prime Minister to commit to publish the government’s Brexit plan before Article 50 is triggered in March 2017. 

The motion was proposed by Labour, but the government agreed to back it after inserting its own amendment calling on MPs to “respect the wishes of the United Kingdom” and adhere to the original timetable. 

With questions on everything from the customs union to the Northern Irish border, it is clear that the Brexit minister David Davis will have a busy Christmas. Meanwhile, his declared intention to stay schtum about the meat of Brexit negotiations for now means the nation has been hanging off every titbit of news, including a snapped memo reading “have cake and eat it”. 

So, with confusion abounding, here is what we know from the Brexit plan debate: 

1. The government will set out a Brexit plan before triggering Article 50

The Brexit minister David Davis said that Parliament will get to hear the government’s “strategic plans” ahead of triggering Article 50, but that this will not include anything that will “jeopardise our negotiating position”. 

While this is something of a victory for the Remain MPs and the Opposition, the devil is in the detail. For example, this could still mean anything from a white paper to a brief description released days before the March deadline.

2. Parliament will get a say on converting EU law into UK law

Davis repeated that the Great Repeal Bill, which scraps the European Communities Act 1972, will be presented to the Commons during the two-year period following Article 50.

He said: “After that there will be a series of consequential legislative measures, some primary, some secondary, and on every measure the House will have a vote and say.”

In other words, MPs will get to debate how existing EU law is converted to UK law. But, crucially, that isn’t the same as getting to debate the trade negotiations. And the crucial trade-off between access to the single market versus freedom of movement is likely to be decided there. 

3. Parliament is almost sure to get a final vote on the Brexit deal

The European Parliament is expected to vote on the final Brexit deal, which means the government accepts it also needs parliamentary approval. Davis said: “It is inconceivable to me that if the European Parliament has a vote, this House does not.”

Davis also pledged to keep MPs as well-informed as MEPs will be.

However, as shadow Brexit secretary Keir Starmer pointed out to The New Statesman, this could still leave MPs facing the choice of passing a Brexit deal they disagree with or plunging into a post-EU abyss. 

4. The government still plans to trigger Article 50 in March

With German and French elections planned for 2017, Labour MP Geraint Davies asked if there was any point triggering Article 50 before the autumn. 

But Davis said there were 15 elections scheduled during the negotiation process, so such kind of delay was “simply not possible”. 

5. Themed debates are a clue to Brexit priorities

One way to get a measure of the government’s priorities is the themed debates it is holding on various areas covered by EU law, including two already held on workers’ rights and transport.  

Davis mentioned themed debates as a key way his department would be held to account. 

It's not exactly disclosure, but it is one step better than relying on a camera man papping advisers as they walk into No.10 with their notes on show. 

6. The immigration policy is likely to focus on unskilled migrants

At the Tory party conference, Theresa May hinted at a draconian immigration policy that had little time for “citizens of the world”, while Davis said the “clear message” from the Brexit vote was “control immigration”.

He struck a softer tone in the debate, saying: “Free movement of people cannot continue as it is now, but this will not mean pulling up the drawbridge.”

The government would try to win “the global battle for talent”, he added. If the government intends to stick to its migration target and, as this suggests, will keep the criteria for skilled immigrants flexible, the main target for a clampdown is clearly unskilled labour.  

7. The government is still trying to stay in the customs union

Pressed about the customs union by Anna Soubry, the outspoken Tory backbencher, Davis said the government is looking at “several options”. This includes Norway, which is in the single market but not the customs union, and Switzerland, which is in neither but has a customs agreement. 

(For what it's worth, the EU describes this as "a series of bilateral agreements where Switzerland has agreed to take on certain aspects of EU legislation in exchange for accessing the EU's single market". It also notes that Swiss exports to the EU are focused on a few sectors, like chemicals, machinery and, yes, watches.)

8. The government wants the status quo on security

Davis said that on security and law enforcement “our aim is to preserve the current relationship as best we can”. 

He said there is a “clear mutual interest in continued co-operation” and signalled a willingness for the UK to pitch in to ensure Europe is secure across borders. 

One of the big tests for this commitment will be if the government opts into Europol legislation which comes into force next year.

9. The Chancellor is wooing industries

Robin Walker, the under-secretary for Brexit, said Philip Hammond and Brexit ministers were meeting organisations in the City, and had also met representatives from the aerospace, energy, farming, chemicals, car manufacturing and tourism industries. 

However, Labour has already attacked the government for playing favourites with its secretive Nissan deal. Brexit ministers have a fine line to walk between diplomacy and what looks like a bribe. 

10. Devolved administrations are causing trouble

A meeting with leaders of Scotland, Wales and Northern Ireland ended badly, with the First Minister of Scotland Nicola Sturgeon publicly declaring it “deeply frustrating”. The Scottish government has since ramped up its attempts to block Brexit in the courts. 

Walker took a more conciliatory tone, saying that the PM was “committed to full engagement with the devolved administrations” and said he undertook the task of “listening to the concerns” of their representatives. 

11. Remain MPs may have just voted for a trap

Those MPs backing Remain were divided on whether to back the debate with the government’s amendment, with the Green co-leader Caroline Lucas calling it “the Tories’ trap”.

She argued that it meant signing up to invoking Article 50 by March, and imposing a “tight timetable” and “arbitrary deadline”, all for a vaguely-worded Brexit plan. In the end, Lucas was one of the Remainers who voted against the motion, along with the SNP. 

George agrees – you can read his analysis of the Brexit trap here

Julia Rampen is the editor of The Staggers, The New Statesman's online rolling politics blog. She was previously deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines.