Climate Change Bill [HL]

My Lords, it is a great pleasure to take part in the Second Reading debate today because there is greater consensus and general agreement in your Lordships’ House than I can remember for a very long time. The first thing that I want to say is somewhat tangential to the Bill but, none the less, relevant. If we are serious in our desire to lead the world in combating climate change, we must encourage our newer, more enterprising and innovative companies. However, Richard Lambert, the current director-general of the CBI, makes it clear that the Chancellor’s recent shock announcement on changes to CGT, both on rates and taper relief, will handicap not only small and medium-sized businesses in the enterprise economy but larger businesses as well. It will have an impact on the tax bills of employees in company share-ownership schemes; it will discourage business angels and venture capital funds; and it will hurt private equity and pension funds. Promoting enterprise and risk-taking will be vital ingredients as we search for cutting-edge technologies in our effort to reduce our carbon footprint. I believe that the Chancellor really must listen to the director-general of the CBI, who said recently that the changes to the CGT regime compound this anxiety among the CBI’s members and put the Government’s 10-year effort to create a pro-enterprise agenda into reverse gear. I know that our ability to influence money matters in this House is slight indeed but I hope that the Minister will at least acknowledge that there are real concerns and convey them to the Chancellor. Coming to the Bill itself, Part 4 refers to adaptation. I agree with my noble friend Lord Waldegrave that extra powers will need to be given to the committee, or commission, to enable us to achieve some of the less palatable measures that we must take—flood protection and managing and harvesting our water supplies being just two examples. More emphasis will need to be put on recycling grey water in the future, and I also believe that every new-build home should henceforward include some form of rainwater capture, particularly as we address the building of 3 million new houses by 2020. I should now like to take up briefly an old chestnut of mine—tidal lagoons. For too long, the DTI adopted a negative stance on the introduction of such lagoons off our shores, despite the fact that we have the second highest tidal range in the world. I believe that, over time, they would be twice as efficient as tidal stream turbines and they could be built without employing any public funds. The Sustainable Development Commission’s recent report sadly failed properly to endorse this technology, so I beseech the Government to seize this opportunity to have a Damascene conversion. After all, they have nothing to lose and everything to gain. I should also mention briefly CSP—concentrated solar power. I shall not weary your Lordships too much with this detail today, as I referred to it in the energy debate on Thursday 12 July last. This technology has the potential to supply sufficient electrical power for the whole of Europe if 80-odd square miles of the Sahara desert could be utilised. The German Government commissioned a detailed study into this and was favourably impressed. Will the Minister kindly answer the question that I put to his ministerial colleague, the noble Lord, Lord Jones of Birmingham, during that debate, and to which I have so far received no reply? I asked, "““whether the Government have given proper consideration to this technology and whether there has been any exchange of views with the German Government””.—[Official Report, 12/07/07; col. 1539.]" I now ask, if not, please will they undertake to do so? Part 5 of the Bill makes provision for the introduction of waste reduction schemes. I am delighted that that is included, and hope that the Secretary of State and the Committee on Climate Change will pay close attention to the very important role that both rotating and non-rotating autoclaves can play in achieving this. These devices are capable of reducing the volume of household rubbish by up to 85 per cent. After 45 minutes’ operation at 160 degrees centigrade and five-bar pressure, the residual waste is inert, sterilised and free of all pathogens. If anaerobic digestion of the organic element is undertaken, it can provide sufficient biogas to run a CHP system, making the whole process energy positive because the waste steam from the electricity generation is sufficient to run the autoclaves. The noble Lord, Lord Oxburgh, mentioned the gasification of urban waste. I am not a sufficient authority to know whether I am stealing his clothes or whether the scheme that I have proposed is in some way different. I would welcome the opportunity to discuss this with him after the debate. Like the noble Baroness, Lady Jones of Whitchurch, who has just spoken, I believe that there is a groundswell of enthusiasm among the public for dynamic action in this area, and many householders are keen to do whatever it takes to reduce carbon emissions. The problem is that technologies are developing so fast and there is no specialist advice centre currently available to direct the public. For example, how many householders are aware that there is paint currently on the market using nanotechnology that provides phenomenal insulation and can reduce heating bills by up to 40 per cent? Geothermal heating, new generation gas condensing boilers and micro CHP plant are just a sample of the other products on the market that could help householders reduce their carbon footprint, so I hope that the Government will set up properly resourced regional advice centres where both business and the public can go and see what is currently available. The internet works for some, but for others a one-stop shop or advice centre would be immensely helpful and would really kick-start things. After all, it has often been said that if we are really serious about reducing our CO2 emissions, first we have to conserve and save what we currently waste. Finally, I want to end in a spirit of consensus. The Bill is to be welcomed; the carbon budget period should be three, not five years. I agree that the bar should be raised from a 60 per cent to an 80 per cent reduction in greenhouse gases by 2050. I agree with my noble friend Lord Taylor that the committee should be elevated to a commission and report to the Prime Minister, and I agree that we should endeavour to include aviation and marine from the outset. I look forward to the Committee stage.