Chamber
Meeting of the Parliament 18 June 2013
18 Jun 2013 · S4 · Meeting of the Parliament
Item of business
Hydro Power
I will make some progress, but will come back to Mr McMillan, if I can.
There seems to be a case for looking again at how degression will apply in relation to hydro power. As RWE states in its briefing, and as Ken Macintosh set out clearly, given that a rush is anticipated for pre-accreditation in 2013, the full 20 per cent degression could be triggered, which has the potential to delay or render uneconomic other schemes in 2014 and beyond.
To gain pre-accreditation, schemes need planning consent, a water licence and a grid connection, but having those things does not mean that schemes will progress. Although access to funding, grid constraints or other issues might undermine them, they could still be taken into account when degression levels are set. Degression has always been seen as part of the FIT process, but the way in which it interacts with hydro appears to be problematic. I would welcome some comment from the minister on the discussions that he has had with the Department for Energy and Climate Change, and I would be happy to help by supporting such representations, if I can.
No debate on renewables would be complete without a reference to the grid. Scottish Renewables is right to call for network operators to make the case for strategic investment, for spare grid capacity to be released where possible, and for more active network-management solutions to be explored. Over the years, the RPZ—the registered power zone—in Orkney has proved to be successful in allowing developments to connect, but we should be clear: those are temporary fixes, which should not be seen as a reason to put off indefinitely making the investment that is necessary to allow our hydro and other renewables potential to be fully realised.
As RWE makes clear, the Scottish Government must play its part, too. It confirms that business rate increases in 2013 could make some small-scale projects economically unviable. There also seems to be some confusion over the full implications of recent statements and policy with regard to wild land. It is essential that we have the right projects in the right places, but I understand that impacts on wild land already form part of environmental impact assessments. It would be useful to hear from the minister what additional constraint will be placed on developers.
Likewise, RWE expresses concern that hydro power interests have been overlooked in the river basin management plan process. Ensuring that there is proper protection of the water environment is essential, but it would be helpful if the minister could reassure us that different views—and, perhaps, competing interests—are being adequately reflected in the advisory groups and the development of plans.
Across the chamber, there is a shared pride in what has been achieved over the past 70 years in the development of hydro power. The task for us now is to ensure that we can look forward to the next 70 years and beyond, confident that our potential as hydro communities—and as a hydro nation—will be fully achieved.
15:34
There seems to be a case for looking again at how degression will apply in relation to hydro power. As RWE states in its briefing, and as Ken Macintosh set out clearly, given that a rush is anticipated for pre-accreditation in 2013, the full 20 per cent degression could be triggered, which has the potential to delay or render uneconomic other schemes in 2014 and beyond.
To gain pre-accreditation, schemes need planning consent, a water licence and a grid connection, but having those things does not mean that schemes will progress. Although access to funding, grid constraints or other issues might undermine them, they could still be taken into account when degression levels are set. Degression has always been seen as part of the FIT process, but the way in which it interacts with hydro appears to be problematic. I would welcome some comment from the minister on the discussions that he has had with the Department for Energy and Climate Change, and I would be happy to help by supporting such representations, if I can.
No debate on renewables would be complete without a reference to the grid. Scottish Renewables is right to call for network operators to make the case for strategic investment, for spare grid capacity to be released where possible, and for more active network-management solutions to be explored. Over the years, the RPZ—the registered power zone—in Orkney has proved to be successful in allowing developments to connect, but we should be clear: those are temporary fixes, which should not be seen as a reason to put off indefinitely making the investment that is necessary to allow our hydro and other renewables potential to be fully realised.
As RWE makes clear, the Scottish Government must play its part, too. It confirms that business rate increases in 2013 could make some small-scale projects economically unviable. There also seems to be some confusion over the full implications of recent statements and policy with regard to wild land. It is essential that we have the right projects in the right places, but I understand that impacts on wild land already form part of environmental impact assessments. It would be useful to hear from the minister what additional constraint will be placed on developers.
Likewise, RWE expresses concern that hydro power interests have been overlooked in the river basin management plan process. Ensuring that there is proper protection of the water environment is essential, but it would be helpful if the minister could reassure us that different views—and, perhaps, competing interests—are being adequately reflected in the advisory groups and the development of plans.
Across the chamber, there is a shared pride in what has been achieved over the past 70 years in the development of hydro power. The task for us now is to ensure that we can look forward to the next 70 years and beyond, confident that our potential as hydro communities—and as a hydro nation—will be fully achieved.
15:34
In the same item of business
The Deputy Presiding Officer (John Scott)
Con
The next item of business is a debate on motion S4M-07024, in the name of Fergus Ewing, on hydro power in Scotland.You have a generous 14 minutes, minister.1...
The Minister for Energy, Enterprise and Tourism (Fergus Ewing)
SNP
Thank you, Presiding Officer. I will revert from fortissimo to pianoforte in my tone.I very much welcome the opportunity to discuss the development of hydro ...
Mary Scanlon (Highlands and Islands) (Con)
Con
I fully support the expansion of hydro schemes. Hydro is a wonderful industrial success. Will the minister ensure that it is also an environmental success, i...
Fergus Ewing
SNP
I agree that environmental issues are important and must be more seriously taken into account.Mary Scanlon has somewhat spoiled my peroration, such as it was...
The Deputy Presiding Officer
Con
I call Ken Macintosh, who has a very generous 11 minutes.14:29
Ken Macintosh (Eastwood) (Lab)
Lab
Including the minister’s four unused minutes, Presiding Officer?I suspect that many members feel, as I do, a sense of pride and achievement in Scotland’s hyd...
The Deputy Presiding Officer
Con
I call Mary Scanlon, who has a generous seven minutes.14:40
Mary Scanlon (Highlands and Islands) (Con)
Con
We are delighted to contribute to this debate on hydro power in Scotland in recognition of the celebration of the 70th anniversary of the Hydro-Electric Deve...
Richard Lyle (Central Scotland) (SNP)
SNP
Hear, hear.
Mary Scanlon
Con
I thank Richard Lyle for his comments. He was very supportive in my recent members’ business debate on the subject.For all that—and all that—two contractors ...
Mike MacKenzie (Highlands and Islands) (SNP)
SNP
Hydro power is perhaps the least contentious of our renewables technologies, and the lack of amendments to the motion might be evidence of that. However, tha...
Murdo Fraser (Mid Scotland and Fife) (Con)
Con
Does Mr MacKenzie remember those days?
Mike MacKenzie
SNP
I am grateful to Mr Fraser for introducing a note of humour into the debate.It is hard now to relate to those concerns of more than a century ago, and it is ...
Margaret McDougall (West Scotland) (Lab)
Lab
I have to say that until now I have enjoyed the history lesson that has been part of the debate.It is right that we celebrate all that has been achieved in g...
Mike MacKenzie
SNP
Does the member accept that it is the UK Government’s failure to upgrade our grid quickly enough that is limiting our ability to decarbonise the energy suppl...
Margaret McDougall
Lab
No. I will not turn around and blame the UK Government; there are things that we can do in Scotland.Supplying 100 per cent of Scotland’s energy from renewabl...
Fergus Ewing
SNP
I agree with much of what the member has said. She said that she would like the Scottish Government to do more to strengthen the grid. Given that there are p...
Margaret McDougall
Lab
Perhaps I can explain that as I go on.I fully appreciate that the Scottish Government is not solely responsible for the implementation of new hydro power sta...
Rob Gibson (Caithness, Sutherland and Ross) (SNP)
SNP
Tom Johnston brought about his hydro power revolution as a result of the particular conditions of total war, when landlord opposition could be waved aside in...
Claire Baker (Mid Scotland and Fife) (Lab)
Lab
I am pleased to take part in the debate. Hydro power provides energy and jobs to many rural communities, and it can also play a significant part in Scotland ...
Fergus Ewing
SNP
I entirely agree that we want to do everything practical and sensible that we can to encourage communities to develop their own schemes and, when possible, t...
Claire Baker
Lab
Those are welcome comments from the minister.When I speak to people in the sector, the feeling seems to be that there is quite a gap between a community that...
Stuart McMillan (West Scotland) (SNP)
SNP
This is a timely debate that examines the past, present and future of one of Scotland’s most valuable assets—a source of renewable energy that can help to co...
Liam McArthur (Orkney Islands) (LD)
LD
As Margaret McDougall rightly said, we have already had a historical tour de force. I particularly commend Rob Gibson’s speech, in that respect.On the 70th a...
Mike MacKenzie
SNP
As the member for Orkney, surely Mr McArthur is frustrated with the UK Government for not getting on and putting in place the interconnector to Orkney so tha...
Liam McArthur
LD
I certainly share the frustrations of those who are looking to get on and deliver renewables, not just in Orkney but in the other island groups, but I do not...
Stuart McMillan
SNP
Will Liam McArthur give way?
Liam McArthur
LD
I will make some progress, but will come back to Mr McMillan, if I can.There seems to be a case for looking again at how degression will apply in relation to...
Stewart Stevenson (Banffshire and Buchan Coast) (SNP)
SNP
Water is important to us. That is a self-evident truth, not least because each and every one of us is made up of about 80 per cent water. Without water, ther...
The Deputy Presiding Officer (Elaine Smith)
Lab
Mr Stevenson, will you begin to conclude, please?