Michael Shanks MP: speeches

Speeches

• 7 Jul 2026 · Community-owned Renewable Energy · Hansard source

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  That sounds like a great project, and I would be happy to meet my hon. Friend, as I would anyone across the House who has exciting community energy projects in their area. The local power plan partly deals with investment, but it also deals with those questions of how we get regulation right so that communities can sell power locally and make a return that they can keep in their community.

• 7 Jul 2026 · Community-owned Renewable Energy · Hansard source

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  We love community energy and we are determined to see much more of it all across the country. Through the local power plan, which we published recently, we are rolling out the biggest expansion of community energy in British history. By 2030, Great British Energy, which is delivering for the people of this country, will support over 1,000 local and community energy projects, with £1 billion of investment. Ownership matters to this Government, and we are determined to deliver it for communities across Britain.

• 7 Jul 2026 · Community-owned Renewable Energy · Hansard source

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  I love all the work that the hon. Member has been doing on community energy; I am tempted to say that we were going to do it anyway, but it was great to have the report on my bedside cabinet to read as well. Giving guidance and making reforms are exactly what we need to do; it is about making it much easier for communities to sell power to the market and hold on to the profits that they make from that. We will legislate to take that forward in the energy independence Bill. There are a number of other things that we are taking forward, but investment in those community energy projects is critical. I would encourage her to speak to the hon. Member for Horsham (John Milne) and make clear that £1 billion through GB Energy to make it happen does matter.

• 7 Jul 2026 · Point of Order · Hansard source

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  I am very happy to answer, because I responded to all the right hon. Lady’s written parliamentary questions, as I always do. In my answers, I set out very clearly that this is not a Government project so the Government do not have all the details. It is a private project, and as with any other private development going on around the country, we would not expect the Government to have an insight into all that data. The Government have not backed that project, so the answers to her questions were as I accurately gave them, and that is the case for all my written parliamentary questions.

• 7 Jul 2026 · Nuclear Energy Sites: Scotland · Hansard source

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  What I love about the shadow Minister is how every single time his face gives away the fact that he does not believe a word he is saying. However, I welcome the former Minister for consultation and his view of his nuclear ambition, which, of course, never came to fruition in the 14 years for which the Conservatives were in government. Meanwhile, the delivery to which he referred is exactly what we are getting on with in this Government. We are delivering on the Hinkley and Sizewell C nuclear reactors, delivering on a small modular reactor programme that already has an international reputation—countries around the world are interested in that technology—and building the nuclear that he only talked about.

• 7 Jul 2026 · Nuclear Energy Sites: Scotland · Hansard source

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  My hon. Friend is right. The industry estimates that more than 5,000 Scots are currently working in the nuclear industry, but not in Scotland. There is a huge potential for the expertise and experience of oil and gas workers to build the new nuclear power stations of the future, and to work in them as well. We need to capture those skills and keep them in Scotland, but because of the out-of-touch ideological approach of the SNP we will not have the opportunity to build those power stations in Scotland and those workers will have to go elsewhere, which is a great shame.

• 7 Jul 2026 · Nuclear Energy Sites: Scotland · Hansard source

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  First, the hon. Gentleman knows that in every single opinion poll a majority of Scots show that they support nuclear energy. Secondly, the hon. Gentleman knows that every single day nuclear baseload is powering Scotland, and that the last nuclear power station, Torness, is about to close with no replacement in place. Thirdly, the hon. Gentleman knows that hundreds of people—skilled workers—power those nuclear power stations, and, indeed, thousands of Scots are working in nuclear power stations in England because of his party’s opposition to nuclear. This is not a choice between nuclear and renewables; it is about both energy security and good jobs for everyone in Scotland.

• 7 Jul 2026 · Nuclear Energy Sites: Scotland · Hansard source

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  I echo the shadow Minister’s words about those who lost their lives on Piper Alpha 38 years ago. That event was a wake-up call in respect of safety in the industry, but, as the hon. Gentleman rightly said, it is also a reminder that there are men and women working in extremely dangerous circumstances right now in order to keep the country going. I welcome the hon. Gentleman’s support for the Government, which is actually not a first. Until he ended up on the Opposition Benches, he regularly agreed with what the Government are now doing. [Hon. Members: “He still does.”] He still does—I am convinced of it—and he is welcome any time. We will do everything we can to move forward with possible sites for new nuclear in Scotland, but the fact is that we cannot make as much progress with those sites as we would like because of the Scottish Government’s opposition through their planning regulations. I will continue to do what I can to persuade them to change their mind. There are hundreds of possible jobs, along with continued energy security in Scotland, and this is an opportunity that we should not miss.

• 7 Jul 2026 · Nuclear Energy Sites: Scotland · Hansard source

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  Ministers commissioned Great British Energy Nuclear’s study of Scotland’s potential for new nuclear last autumn. That study indicates that Scotland has land areas with high potential for future development. We remain open to discussions with the Scottish Government on opportunities for new nuclear in Scotland, and I welcome the conversations I have with the new Scottish Energy Minister on a range of topics.

• 7 Jul 2026 · Agrivoltaics · Hansard source

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  Thank you, Mr Speaker. I have always enjoyed my conversations with the right hon. Gentleman, even if we disagree on many things. First of all, it is possible for farming practices to go hand in hand with solar generation. Secondly, even if we hit our most ambitious targets, less than 0.6% of farmland will be taken up with solar. Thirdly, he is right to say that we want to see solar on as many rooftops as possible—car parks, offices and schools—and on reservoirs, but the challenge that we face as a country is such that we need both ground-mounted solar and rooftop generation. I know that we can work together on the rooftop point, and I hope I will convince him of the other.

• 7 Jul 2026 · Agrivoltaics · Hansard source

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  My hon. Friend is absolutely right, and we are in favour of innovation wherever we can deploy solar. He talks about solar on reservoirs, which is absolutely an opportunity that we want to explore, but we also want to look at how agrivoltaic technologies can be deployed, and we are supporting the University of Lancaster to work out what that model would look like. I have visited a number of solar farms where farming and solar generation go hand in hand, and we want to see much more of that. Planning policy supports that, but we want to go further.

• 7 Jul 2026 · Agrivoltaics · Hansard source

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  The Government closely follow developments in the agrivoltaics sector and support innovative technologies, for instance through initiatives funded by UK Research and Innovation. In the solar road map that we have published, the Government and industry have committed themselves to exploring future research and demonstration opportunities for agrivoltaic systems.

• 6 Jul 2026 · Draft Electricity Capacity (Amendment and Transitional Provision) Regulations 2026 · Hansard source

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  For the third time, let me welcome the hon. Member for Aberdeen South—although I think he was in a Delegated Legislation Committee in his first week in this place. I am not sure whether his SNP predecessor was ever in a Delegated Legislation Committee in all his years in this place, so the hon. Gentleman is already making progress on Stephen Flynn in that respect. First, I welcome the support for the capacity market, which was introduced by the previous Conservative Government. It has served the country well, and it continues to play an important role in bringing forward the investment needed to ensure the security of supply in the future. I want to make a couple of points clear. The T-4 auction for delivery in 2029-30 secured 40 GW of capacity at £21 per KW per year, which is above the target capacity that we set out. We work towards a range of future scenarios, which is why we have both the four-year-ahead auction and the one-year-ahead auction. As we get closer to those dates, we have a much more accurate sense of what demand will be, and we therefore procure additional capacity in the one-year-ahead auction. I would gently challenge a number of the points made by the shadow Minister. First, we are moving towards a low-carbon power system because that is what will get us off the volatility of fossil fuels. Gas will play a strategic reserve role in the system, as was highlighted in the clean action plan, which set out that 95% of our generation will come from clean sources, with the remainder coming from gas and other sources. I would also say that this is not just about gas and renewables; new technology is coming in all the time. We just saw investment into long-duration energy storage in this country for the first time in 40 years, which involves some really world-leading battery projects that will give us that additional capacity. Consumer-led flex is not about forcing consumers to do anything; it is about giving them the power to make choices that can bring down their bills, if they use technology in different ways, and it also helps the system. Consumer-led flex is a win for both consumers and the system. It is bizarre that the Opposition see it as some sort of enemy of the people, even for their race to the bottom on future technology. On the point about blackouts, I have genuinely seen an increase in the number of people from both the Conservative party and Reform peddling nonsense about blackouts in this country. We should be very careful about nonsense scaremongering that is not based in fact whatsoever. The draft regulations are about improving the already strong capacity market so that it can continue to deliver our energy security, now and into the future. It has made Britian’s energy system one of the most resilient in the world, which will continue to be the case in future with a mix of technologies. The draft regulations help to achieve that, and I commend them to the Committee. Question put and agreed to.

• 6 Jul 2026 · Draft Electricity Capacity (Amendment and Transitional Provision) Regulations 2026 · Hansard source

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  I beg to move, That the Committee has considered the draft Electricity Capacity (Amendment and Transitional Provision) Regulations 2026. It is a pleasure to serve under your chairship, Mrs Harris. Laid before the House on 14 May, this statutory instrument seeks to make technical improvements and changes to the capacity market, which is the Government’s main tool for ensuring security of electricity supply in Great Britain. Before outlining the specific provisions in the instrument, I will briefly provide some context. The capacity market was introduced in 2014 and is designed to maintain the security of electricity supply by ensuring that sufficient capacity is available to meet future demand predictions. Through auctions held one year and four years ahead of delivery, the capacity needed to meet future peak demand under a range of scenarios is secured, based on advice from the National Energy System Operator. Through those auctions, participants secure agreements requiring them to make capacity available at times of system stress. It is a technology-neutral scheme that pays providers for making capacity available when needed, covering generation, storage, consumer-led flexibility and interconnection. Since its introduction, the capacity market has contributed to investment in about 20 GW of new capacity needed to replace older and less efficient plants as we transition towards the clean power 2030 target. To ensure that the capacity market continues to function effectively, we regularly amend the implementing legislation, based on what is required to best ensure continued security of supply. Let me now turn to the detail of this instrument. It amends 11 regulations in, and introduces one new regulation into, the Electricity Capacity Regulations 2014, it amends two regulations in the Electricity Capacity (Supplier Payment etc.) Regulations 2014, and it revokes one chapter of the Electricity Capacity (No. 1) Regulations 2019. First, this instrument will ensure that assets awarded a contract for difference following a direction from the Secretary of State will be allowed to participate in the capacity market until the start of the asset’s CfD support. That will better align the capacity market with the clean power ambition and ensure a smooth transition from payments under the capacity market to a CfD. Secondly, the instrument will strengthen delivery assurance by increasing termination fees and credit cover to restore their value broadly in line with 2016 levels in real terms. Thirdly, it makes several amendments and a revocation to ensure that the legislation delivers on the policy intent. It gives the Secretary of State and NESO the powers to extend the prequalification deadline for an auction following a major IT outage. It will align the capacity market timetable with the ongoing market-wide half-hourly settlement reforms, and it will remove obsolete provisions. Two public consultations in relation to the measures in this instrument were conducted towards the end of 2025. Respondents were broadly supportive of the measures that clarified regulations or enabled participants with a direct-award CfD to manage their transition off the capacity market. Responses to the delivery assurance reforms were more mixed. Having carefully considered those responses, the Government have proceeded on the basis that these increases are necessary to realign delivery incentives and strengthen delivery assurance. The changes are proportionate, aligning fees with their real-terms-equivalent values in 2016, and will apply only to participants entering the scheme after the instrument comes into force. We have also made several technical amendments to the capacity market rules, which support the regulations. The Capacity Market (Amendment) (No. 2) Rules 2026, which were laid before the House on 14 May, alongside these regulations, and the Capacity Market (Amendment) (No. 4) Rules 2026, which will be laid in due course, will come into force alongside this instrument. In conclusion, the instrument enables the continued efficient operation of the capacity market so that it can deliver on its objectives. It will improve delivery assurance and ensure that the legislation is as clear as possible for all participants. I commend the regulations to the Committee.