At the heart of our energy strategy is the need to encourage new investment in the UK’s energy system, so my Department will continue to take action to deliver secure, affordable and clean energy for hard-working families and businesses. This work is already under way. Since the referendum we have accepted the recommendations of the Committee on Climate Change for the level of carbon budget 5. We have published details of our upcoming capacity market auction and confirmed that our contracts for difference allocation round will go ahead later this year.
In fact, the UK Government’s failure to attract investment to the energy sector has already undermined energy security and sustainability for generations to come, and the Brexit vote has plunged the sector into further insecurity. What are the Minister’s plans to ensure the future of green energy following the leave vote?
I do not recognise at all what the hon. Lady says about our failure to attract international investment—that is clearly not the case. We are attracting a huge amount of investment in offshore wind. We have the successful turbine blade plant that is being created up in Humber by Siemens, we have DONG Energy, and we have various international developers that are putting in bids and building new offshore wind facilities in the UK. Onshore wind in the UK has been a huge success story. Some 99% of all our solar installations have taken place since 2010 and I have already cited statistics about our share of the investment going into renewables, so, I am sorry, but I do not recognise what the hon. Lady says.
I congratulate my hon. Friend on confounding the doom-mongers. Does she agree that COP 22 in Marrakesh in November will be a wonderful opportunity for the UK to showcase its world-beating edge in renewables technology and our industrial base?
I could not agree more; my hon. Friend is exactly right. The UK is leading on the deployment of renewables—we are getting down the cost of those technologies through our policies—and through our commitment to decarbonisation and tackling climate change, and to showing the rest of the world how much we want to lead in this area, which we will continue to do.
Policy favouring small modular reactor technology offers affordable innovation in low-carbon energy, which is important in these days, as well as equally important manufacturing opportunities. Trawsfynydd in my constituency offers the ideal site for SMRs and, indeed, advanced reactor technology. Does not the Minister agree that the DECC process to select an SMR technology for generic design safety assessment should move forward with greater energy and a focus on a realistic shortlist of organisations?
Yes, I agree that we need to move forward with this. The Government have recognised the potential of small modular reactors, and we have announced that we will invest at least £250 million over the next five years in an ambitious nuclear research and development programme that includes the competition the hon. Lady mentions. We have committed to publishing an SMR delivery road map in the autumn to clarify the UK’s plans for addressing the siting issues that she mentions, as well as regulatory approvals and, vitally, skills issues.