Meeting of the Parliament 15 March 2016
I point out that Keith Anderson is not investing in Beatrice, which is an SSE project, not a Scottish Power project. Scottish Power is, of course, investing in renewable energy. Some of that is in Scotland and some is in England, with the benefit of contracts for difference. Keith Anderson expressed very clearly the reason why we are seeing the premature closure of Longannet. Because it operates north of the border in Scotland, rather than somewhere in England such as Surrey, it faces additional charges for the cost of transmission—to the tune, if I recollect correctly, of about £40 million. By mentioning Keith Anderson, Murdo Fraser makes it clear that he has misconceived his point. Mr Anderson has said repeatedly that there is a blockage to a new thermal plant being built in Scotland, as is indubitably the case.
Mr Anderson has also pointed out that what the UK needs in the short term to maintain security of supply is new combined-cycle gas turbines, but there is no means of incentivising that. He wrote an article in the Financial Times making that clear: I am afraid that the UK Government has not responded in any meaningful way.
Turning to the two questions, we will consider very carefully how we can use every means at our disposal to further the aims of a whole-systems approach, a managed transition and more local energy provision with community involvement. Obviously, we have to consult on that, as is right, but I have mentioned already the £300 million investment in the public estate.
I could mention the £50 million investment in the community and renewable energy scheme—CARES—over the past two years. That is more than the whole amount that was invested in community schemes south of the border. I could also refer to the continued investment of funds from the renewable energy investment fund, which have been used to good effect.
Secondly, on the unconventional gas question, the answer is exactly the same as it has been. Unlike the Conservative seats in the chamber, where they are gung-ho for fracking, or the Labour side, where somewhat belatedly and contrary to the position down south they have come out against it, we think that we should take a moderate approach based on analysing the evidence, following which we should have a debate and then come up with a conclusion, after the involvement of, and consultation of, all the people of Scotland.
If I may make one further point, I say that I suspect that quite a lot of people in our electorate—the people of Scotland—would like to know a bit more about fracking. They may not know enough about it, so providing them with evidence on it is an extremely valuable and necessary process if we wish to have a rational debate—which, of course, in Scotland we do.