The hon. Gentleman speaks with a great deal of knowledge, and he raises an interesting point. I think the understanding is that we cannot ever compete with the Koreans or others in the far east, because they will do the work cheaper. He knows as well as I do that the country that is doing more retrofitting than anywhere else is Norway. Let us be honest: Norway is not paying poverty wages to its workforce, and it has different overheads from other countries, so if Norway can do it, we can do it, but we need a strategy for that. I will come to green shipping in a minute, but the hon. Gentleman is right to say that there is a huge market. New green technology will come in, but a lot of it will be retrofitted to existing vessels.
That brings me to research and development. What we need from the Department for Business, Energy and Industrial Strategy is an R&D fund that is ringfenced for the industry, because that would ensure that we got the innovation we need. One area that I have spoken to several Members about is hydrogen, which will need a large amount of R&D. Some good companies are already doing that type of work, but we perhaps need to provide them with Government assistance and access to capital.
We have some great brains thinking about green technology in shipping, but I fear that we will get foreign investment coming in to buy out some of those companies and to provide the capital, but they will then take all that abroad. What we need to do—it can be done by the Government—is give support to the new technology here in the UK, so that we can retain not just the technology, but the jobs that will be done now and in the future in a host of areas in green shipping, as well as the new technologies that will come through. I accept that some of those might not work, but we should be brave enough to invest. It is not a great scandal if, at the end of the day, something does not work. It is important that that is done, which is why marine research and innovation need to be at the forefront of any initiative we undertake.
We have the maritime enterprise working group, but it remains on a non-permanent basis. I do not wish to criticise the Minister, because he is passionate about the sector, and about aviation as well. If I remember correctly, he is a bit of a plane spotter when it comes to knowing different types of aircraft. He announced the £20 million investment in the clean maritime demonstration competition, which he described as a turning point. That was welcome, and it is great that he did it, but he must get more money out of the Treasury for the sector. If we do not get more money to the sector, we will be at a disadvantage.
The opportunities are there. We talk about the carbon targets that we want to meet, which are good. If we do this right, however, we can get jobs out of it as well, so it is important that we invest now and that we ensure that the talk about net zero and so forth has some real teeth. It would be sad if we had new and innovative companies working in the sector, but the technology went abroad, and we ended up importing it or allowing other countries to develop it. That technology will be very important.
Within this new agenda, we must take a legislative stance as well. We are a world leader in working with the International Maritime Organisation and others on standards and regulations for the future. Those will be new concepts, so ensuring that we have regulations and international governance that are in our favour, not that of the Chinese and others, will be important. I do not underestimate the Chinese in particular, in terms of their wanting to have international rules that favour their industries rather than ours, so it is important that we play a key part in that process.
I will finish where I started. This is an industry of the future. We need to talk more about it, and we need to invest in it. Yes, the private sector involvement is hugely important, but if Government money and strategies can be put in place at the key point, they could be huge levers, not only to lever in more private sector capital, but to grow the sector. Perhaps we just need to say to people, “Just think when you are ordering things—how do they get to your doorstep?” That is the basis of it.
I am a passionate advocate for the sector. It is not yesterday’s industry; this is the industry of tomorrow. What it needs is a direct and clear strategy, and money behind it. Now is the time to provide those things.
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