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Chamber and committees

Meeting of the Parliament

Meeting date: Thursday, September 26, 2024


Contents


Portfolio Question Time


Net Zero and Energy, and Transport

The Deputy Presiding Officer (Liam McArthur)

Good afternoon. The first item of business is portfolio questions, and the portfolio today is net zero and energy, and transport. I invite members who wish to ask a supplementary question to press their request-to-speak buttons during the relevant questions. I am aware of quite a bit of interest in questions, so brevity in questions and responses would be appreciated.


ScotRail (Reduced Timetable)

To ask the Scottish Government what recent discussions it has had with ScotRail regarding the operation of a reduced train timetable. (S6O-03765)

The Cabinet Secretary for Transport (Fiona Hyslop)

Transport Scotland holds regular discussions with Scottish Rail Holdings and ScotRail Trains Ltd about a number of issues, including ScotRail’s timetable. I am pleased that, like those in other rail unions, Associated Society of Locomotive Engineers and Firemen members have voted to accept ScotRail’s pay offer. ScotRail is expected to replace its current temporary timetable as soon as possible.

Marie McNair

I know that the cabinet secretary will share my and my constituents’ relief that the dispute has now been settled and that our train drivers will be getting back to providing passengers with a fuller ScotRail timetable. Will she ensure that ScotRail circulates information about reinstated services as quickly as possible, so that the travelling public are aware of how Scotland’s publicly owned railway will meet their needs?

Fiona Hyslop

I will. Obviously, ScotRail needs to do some initial planning to reintroduce the timetable. I will impress on ScotRail the desire of MSPs to understand that and to be communicated with.

I take the opportunity to remind members that I have written to every single member of the Parliament with information about their region and the new discounted fares that will start from Monday and will benefit their constituents. I ask them to help to publicise that and ScotRail’s communication of the new discounted fares, as well as the new timetable when it is released.

Graham Simpson (Central Scotland) (Con)

A Transport Focus survey shows that satisfaction with the frequency of ScotRail trains is in the bottom half of levels across the United Kingdom. I hope that that will improve. The cabinet secretary says that she wants the timetable to be reinstated “as soon as possible”. What does she mean by that? Can she be more specific?

In the next week or so.


Grangemouth (Just Transition Commission Report)

To ask the Scottish Government what its response is to the Just Transition Commission’s recent report on the future of Grangemouth. (S6O-03766)

The Acting Minister for Climate Action (Alasdair Allan)

The Scottish Government welcomes the Just Transition Commission’s report on the future of the Grangemouth industrial cluster. The acting Cabinet Secretary for Energy and Net Zero wrote to the commission’s co-chairs earlier this year to express that.

The Scottish Government considered those proposals in the drafting of the Grangemouth industrial just transition plan, which will be published for consultation in due course. I should note that some of the proposals are far reaching and will require consideration by a wider set of stakeholders regarding practical implementation, particularly across the Grangemouth future industry board. I look forward to further working with the JTC on how that can be achieved.

Stephen Kerr

I thank the minister for that reply and welcome the tone and content of what he has said. One of the key findings of the Just Transition Commission’s report is that the people of Grangemouth want more than just “warm words”. Will he elaborate on his response? The report stated that GFIB must have

“clear, actionable, measurable commitments from each party that go beyond ‘business as usual’”.

It emphasised that the credibility of the just transition plan for Grangemouth hinges on transparent accountability. Will the minister confirm that the published plan will include commitments, actions, timelines and deadlines?

Alasdair Allan

Yes—I confirm that it will. The member mentions some themes that came through in the report, which were that the plan must earn the trust of the workers, that it must be the first in a series of just transition plans for different parts of the Scottish economy and that a new intergenerational social contract is needed to ensure that Grangemouth feels the benefit, which must extend to the whole region.

Another point that I wish to make—I appreciate that the member realises this—is that that is all in addition to the more immediate interventions that are taking place in and around Grangemouth, in consultation with the UK Government.

David Torrance (Kirkcaldy) (SNP)

Our thoughts are with the workforce and their families during what is such a worrying time, and it is welcome that the Scottish and United Kingdom Governments have since announced a further £20 million, in addition to the £80 million joint-funded Falkirk and Grangemouth growth deal. Will the minister say more about the plans for that funding and the opportunities that it will create?

Alasdair Allan

I echo David Torrance’s concerns for the workforce and families at Grangemouth. We are supportive of the UK Government matching our long-standing commitment to Grangemouth through its recent announcement of £10 million of additional funding for the Falkirk and Grangemouth growth deal. That releases £100 million of combined Government investment over the next 10 years, and it will enhance and protect Grangemouth’s manufacturing and petrochemical cluster to ensure that it continues to be of strategic importance.

Projects such as the Grangemouth sustainable manufacturing campus will aid Grangemouth’s transition to net zero, while the greener Grangemouth programme will deliver activity that is focused on regeneration and community wealth building, alongside skills investment. We are working alongside the UK Government, which has yet to outline the specific focus of its additional funding. We will continue to press it to support fuel security and sustainability.

Mark Ruskell (Mid Scotland and Fife) (Green)

The Just Transition Commission’s report advised that the process of developing just transition plans for other industrial sites that are linked to Grangemouth, such as Mossmorran, should begin urgently. I will be hosting a worker-led summit with unions, operators and decision makers in December to start a meaningful conversation on the development of a worker-led just transition plan for Mossmorran. I invite the minister and the cabinet secretary to join me and all those stakeholders in a vital conversation at the summit later this year.

Alasdair Allan

I thank the member for his contribution and his helpful point about Mossmorran. The Government is very much cognisant of the role of Mossmorran and its need to have its own just transition plan and its own specific engagement. That engagement is already under way.


Onshore Wind Turbines (Review of Noise Guidance)

3. Alexander Burnett (Aberdeenshire West) (Con)

I refer members to my entry in the register of members’ interests regarding onshore wind.

To ask the Scottish Government when it last engaged with the four nations steering group on the review of noise guidance for onshore wind turbines as it applies to Scotland. (S6O-03767)

The Acting Cabinet Secretary for Net Zero and Energy (Gillian Martin)

Scottish Government officials continue to engage on a regular basis in the United Kingdom Government-led process to update the ETSU-R-97 noise guidance, with the latest engagement having been in August this year.

Alexander Burnett

Regarding the review of the ETSU-R-97 noise guidance, my constituent asked the Department for Energy Security and Net Zero how authorities should act with regard to evidence that will form part of that review when determining applications before the review process is complete. The UK Government’s response made it clear that decision makers can consider other relevant evidence and may depart from existing policy and guidance if there is a rational justification for doing so. Will the acting cabinet secretary confirm today that she will recognise the recommendations in the WSP report and act accordingly in making determinations?

Gillian Martin

Of course, any noise complaints can be reported to the relevant local authority and can be investigated under the Environmental Protection Act 1990. There are also provisions under the Town and Country Planning (Scotland) Act 1997, and any breach of consent conditions on noise can be investigated under that act. However, I will take on board Mr Burnett’s comments.

Bob Doris (Glasgow Maryhill and Springburn) (SNP)

We clearly need to work alongside communities to protect our natural environment, as well as driving forward decarbonisation and green economic growth. If Scotland and the UK are to comply with the independent Climate Change Committee’s advice that electricity supply from onshore wind must double by 2030 to meet net zero targets, how does the Scottish Government seek to strike the correct balance on that vital endeavour?

Gillian Martin

As Mr Doris says, Scotland’s potential for renewable energy generation is one of our greatest environmental and economic opportunities. In the recent programme for government, we set out our ambition to double renewable electricity capacity, with actions to deliver on our clean energy pipeline and its many benefits. As part of our just transition, we will prioritise community benefits, skills, supply chains, energy efficiency and decarbonisation projects. I was pleased recently to launch, alongside the Deputy First Minister, the green industrial strategy, which focuses specifically on seizing the economic opportunities of the global transition to net zero.


Energy Price Cap

4. Clare Adamson (Motherwell and Wishaw) (SNP)

To ask the Scottish Government what engagement it has had with the United Kingdom Government regarding action to address the impact in Scotland of the rising energy price cap, which will increase by 10 per cent in October. (S6O-03768)

The Acting Cabinet Secretary for Net Zero and Energy (Gillian Martin)

The news that energy prices are to rise by 10 per cent next month is of deep concern. Following its extremely disappointing cut to the winter fuel payment, we encourage the new UK Government to do more to increase take-up of pension credit and we will engage with it again ahead of the budget. Meanwhile, we are forming a working group with key energy suppliers, which is aimed at co-designing a social energy tariff that would provide more affordable energy tariffs to those who are in most need. We continue to urge the UK Government to introduce such a mechanism.

Clare Adamson

I am very concerned for my constituents in Motherwell and Wishaw, many of whom are the most vulnerable customers, who suffer from higher tariffs and practices that penalise the most vulnerable in our constituencies, such as debt being put on the meters. I welcome the working group and look forward to further detail on it. Will the minister join me in reminding people to submit or photograph their meter readings before 1 October, so that they will not be unduly penalised by “mistakes” from fuel companies?

Gillian Martin

I am happy to echo the important reminder that Clare Adamson has just given about meter readings and to take on board the other points that she has made. The increased bills demonstrate why the UK Government must urgently agree to deliver a social tariff. We are already committed to working with the UK Government to make that a reality.

The core purpose of our working group is to enable industry and Government to develop a shared understanding, beyond the broad principles of how to deliver this crucial policy. Clare Adamson can join me in saying to anyone who has any pressing concerns about their energy bill that help is available if they contact the Scottish Government-funded Advice Direct Scotland.


Ports (Infrastructure Upgrading)

To ask the Scottish Government what its policy is on upgrading the infrastructure of ports. (S6O-03769)

The Cabinet Secretary for Transport (Fiona Hyslop)

We recognise how crucial the Scottish ports sector is to our economy and in supporting lifeline ferry services. Scottish ports are mostly independent statutory bodies and, hence, are deemed independent commercial entities. The Scottish Government has no role in their day-to-day operations or in business decisions, such as the upgrading of infrastructure.

Exceptionally, the Scottish Government provides grants towards significant upgrades at ports that ferry services under the Clyde and Hebrides and Northern Isles contracts use, which ensures that those ports remain safe and operable for contracted ferry services, can accommodate increasing traffic and become more accessible to a range of vessels.

Annabelle Ewing

The cabinet secretary will be aware of the on-going discussions about the re-establishment of a freight and passenger ferry from the port of Rosyth to Dunkirk, which is the third-largest port in France. Will the cabinet secretary agree to meet representatives of DFDS Seaways to discuss the current status of that exciting project? In light of that project, will she consider what upgrades to port infrastructure might be required—leaving to one side who would be doing them—in order to boost exports and tourism through direct maritime links with the European Union?

Fiona Hyslop

I am aware of the proposal to explore the viability of a Rosyth to Dunkirk ferry service, and I have already met individuals who are promoting it. Transport Scotland officials have continued that dialogue. If the Scottish Government can assist with any new specific developments, a meeting might be appropriate.

Of course, Forth Ports is a private port operator, and any decision to invest in its infrastructure is for it to make, in liaison with its commercial shipping partners. I suggest including DFDS in scoping what would be required for business and exports, with consideration of the potential return on investment from which it would benefit.

The Scottish Government and the United Kingdom Government have supported Forth Ports through the creation of the Forth green freeport site, which includes Rosyth. That support includes seed capital funding and the ability for businesses located within the tax site to access a package of devolved and reserved tax incentives, which should assist the port of Rosyth in continuing to be an attractive place for any future developments, such as those in relation to DFDS.

Jamie Greene (West Scotland) (Con)

It has been seven months since I first raised the issue of the Irish berth at Ardrossan harbour going offline for safety reasons. That is the principal reason why the MV Alfred is now operating out of Troon and not out of Ardrossan, as it should be. It has been seven years since the Scottish National Party Government promised action on the port infrastructure at Ardrossan—seven whole years, and a decision has yet to be made. My question is simple: when will a decision be made on the vital upgrade to Ardrossan harbour? By when, I mean by which date.

Fiona Hyslop

I know that the member wants a date—I would like a date—but we need to ensure that we have a robust business plan that addresses critical legal and financial issues, which have changed recently, and that are not the responsibility of the Scottish Government. Jamie Greene referred to the Irish berth. He will also know—as I referred to it in my initial answer to Annabelle Ewing—that ports are, by and large, privately owned and are independent. Peel Ports has the responsibility for Ardrossan harbour and for keeping the Irish berth in the state that it is required to be. That is a material factor in anticipating what work needs to be done. Peel Ports is part of the task force and is taking part in the discussions. The solution to the situation at Ardrossan harbour needs to be one that can be depended on. That will require the co-operation of the current partners. Should the situation change any time soon, I will let Jamie Greene know. However, I appreciate his frustration, which I, as the Cabinet Secretary for Transport, share.


Energy Price Cap (Heat Networks)

6. Ben Macpherson (Edinburgh Northern and Leith) (SNP)

To ask the Scottish Government, regarding the implementation of its heat in buildings strategy, what discussions it has had with the United Kingdom Government on consumer protection, in the light of reported concerns that customers currently using heat networks are not protected by the Office of Gas and Electricity Markets’ price cap. (S6O-03770)

The Acting Minister for Climate Action (Alasdair Allan)

Although heat networks are devolved to the Scottish Parliament, consumer protection remains a reserved matter and, therefore, we are reliant on the UK Government enacting the consumer protection provisions that are contained in the Energy Act 2023. We await the new UK Government’s next steps on that. The Scottish Government continues to work closely with the UK and Welsh Governments and Ofgem on the implementation of consumer standards, and is participating in a quadripartite group that is overseeing the implementation of the legislation.

Ben Macpherson

I welcome the Scottish Government’s proactive work on that. Constituents have written to me and to other MSPs explaining that they are currently facing increases of upwards of 500 per cent in their district heating costs by their property factors. The lack of consumer protection in that area leaves customers vulnerable to market forces. My constituents are worried about their ability to pay their energy bills this winter. Sadly, as has been set out, the Parliament lacks the legislative power to change energy policy in that area. Considering that the Scottish Parliament is unable to take that action, will the Scottish Government continue to press the UK Government to take action as soon as possible? Can any pressure be applied to property factors to engage with parliamentarians so that, together, we can help our constituents who are affected?

Alasdair Allan

I hear Ben Macpherson’s concerns, and I think that I may know the area of Edinburgh that he is referring to. As he has mentioned, the Parliament lacks the legislative power to change energy policy in that respect. It is disappointing that the UK Government has not taken quicker action to protect consumers who are reliant on heat networks for heating and hot water. I will raise the issue as a matter of urgency with my counterparts in the UK Government, and will certainly correspond with the member on some of the issues that he raises.

Brian Whittle (South Scotland) (Con)

Mr Macpherson raises important points about consumer protection in relation to the implementation of the Scottish Government’s heat and buildings strategy. Industry leaders have expressed concerns that the current differing patchwork of quality assurance and consumer protection schemes makes it unclear what accreditation is needed for Government energy efficiency funding. Will the Government introduce mandatory quality assurance accreditation in the proposed heat in buildings bill, and will sufficient time be allowed in order to allow industry to adjust and obtain those accreditations?

Alasdair Allan

The member would not expect me to pre-empt any announcement about what might be in future legislation in any detail. However, we are continuing to implement the Heat Networks (Scotland) Act 2021, and we have passed the Heat Networks (Heat Network Zones and Building Assessment Reports) (Scotland) Regulations 2023, which will help local authorities and the Scottish Government to identify opportunities for heat network developments across Scotland. We will shortly consult on proposals to introduce a proportionate licensing and consenting system for Scotland, which I hope will address some of the issues that the member raises.


Proposed Heat in Buildings Bill

To ask the Scottish Government what financial impact its proposed heat in buildings bill will have on home owners. (S6O-03771)

The Acting Minister for Climate Action (Alasdair Allan)

This year’s programme for government committed to the introduction of a heat in buildings bill, which will be accompanied by a financial memorandum and all other relevant impact assessments. We intend that to be deliverable and affordable for households and businesses. We continue to offer the most generous package of funding in the United Kingdom for households to transition to clean heating, with various schemes to support those who have difficulty in paying their fuel bills. However, we also need action from the new UK Government to rebalance gas and electricity prices, which is an essential part of making the transition more affordable.

Sue Webber

The reality is that for thousands of Victorian tenements in densely populated parts of our cities, such as Leith and Partick, and in cottages and homes across the country, the costs of meeting the standards that are outlined in the bill are not deliverable or affordable; they are of a scale that neither the individual nor the Scottish Government can ever dream of affording. Owners could, in effect, be blocked from selling their homes, which would have a catastrophic impact on the property market and on the lives of those who would be trapped in homes that they cannot sell.

Does the minister accept that the proposal would aggravate Scotland’s housing crisis? Will he commit to introducing an appropriate exemption to the proposed scheme?

Alasdair Allan

I thank the member for the points that she makes. She rightly says that not all costs that are associated with our transition to a clean future can ever be met entirely by Government. However, I would add that the member and her party often come to the Parliament asking what more Scotland, and our Government, can do to meet our ambitious targets on decarbonising the country. A total of 20 per cent of the carbon emissions from Scotland come from houses, so I hope that she will not oppose every measure that is brought to Parliament to try to address the problem.

Bill Kidd (Glasgow Anniesland) (SNP)

The proposed heat in buildings bill will be vital in helping us to meet our climate goals, providing energy-efficient insulation solutions and clean, green heat. Can the minister say any more about what assessment the Scottish Government has made of how that will reduce emissions and heating bills?

Alasdair Allan

Our recent consultation highlighted the potential of a switch to clean heating and more energy efficient homes to reduce our exposure to the spikes in fossil fuel prices that have driven the recent surge in energy costs. Any bill that we bring forward will be accompanied by a financial memorandum and all other relevant impact assessments, which will consider those issues and impacts in more detail.


Green Hydrogen Sector

To ask the Scottish Government whether it will provide an update on its efforts to develop a world-leading green hydrogen sector. (S6O-03772)

The Acting Minister for Climate Action (Alasdair Allan)

Hydrogen is a key part of our net zero journey, and we remain committed to developing a world-leading green hydrogen sector in Scotland. We continue to engage with hydrogen projects across Scotland, working with them to develop their production, offtake and export capabilities. The levers that are available to the United Kingdom Government, in particular with regard to production, regulation and trade, are critical to ensuring that Scottish companies benefit from domestic and global market opportunities. We continue to work with UK counterparts to ensure that the Scottish hydrogen sector is best positioned to take forward that critical work to support meeting our net zero targets.

Gordon MacDonald

Given that a successful transition to a green hydrogen economy would be transformative in the race to net zero, does the minister agree that, in order to meet the costs of that transition, the Labour Government must reverse its abandonment of the £28 billion green investment pledge and step up to meet its ambitions for the sector?

Alasdair Allan

In Scotland, we are creating the right conditions to realise the opportunities that the just transition to net zero presents for our workers and for our economy. Our “Green Industrial Strategy”, which was published earlier this month, sets out how we are creating an environment that encourages such investment, including in hydrogen. As the member suggests, we are limited in the fiscal levers that we are able to deploy to support those ambitions in Scotland, and we would absolutely welcome further investment by the UK Government.

What plans are there to use hydrogen in the rail network?

Alasdair Allan

I am not in a position to talk in detail about future legislation, nor am I in a position to talk knowledgeably about the issue that the member raises, but I will correspond with him.

 

 

That concludes portfolio questions on net zero, energy and transport. There will be a brief pause before we move on to the next item of business, to allow front-bench teams to change positions.