New legislation on the horizon
New Parliamentary report recommends that the Government enact legislation equivalent to our Local Electricity Bill.
In June, the Parliamentary Energy Security and Net Zero (ESNZ) Committee published a new report called ‘Get connected: How community energy can turbocharge the transition’.
This cross-party group of MPs are responsible for making policy recommendations to the Government on critical issues like clean energy. ‘Get connected’ follows the Committee’s public inquiry into scaling up community-led energy and one of its leading recommendations is the exact reform we seek.
The report recommends that “the Government should bring forward legislation equivalent to the Local Electricity Bill” and goes further, recommending this happen, “within six months.”
The Bill, which we drafted and are campaigning for, would empower community-run renewable energy projects to sell the power they generate directly to homes and businesses in their neighbourhoods.
Last year, we submitted written and oral evidence to the Committee showing that this is the single most effective way to unlock community energy’s growth and highlighting the fact that Ministers gave their support for this policy when they were in opposition.
It is excellent that our recommendations were taken on board and it is particularly encouraging to see the Committee advise that the Government take action promptly.
They join the 121 MPs who, in response to our collective efforts, signed parliamentary Early Day Motion 2151 ‘Buying community energy locally’ which calls for the needed reform to be made swiftly.
Will Andy Burnham’s new Government carry out the reform that Energy Ministers have been promising for over a year?
The new Prime Minister, Andy Burnham, and the new Secretary of State for Energy Security and Net Zero, Miatta Fahnbullah, as Labour and Cooperative MPs, have a shared history advocating to give people and places more power. [1]
Earlier this year, while serving as the Mayor of Greater Manchester, Andy Burnham backed the Government’s new national strategy to expand community energy generation across the UK. The Local Power Plan included welcome statements that the Government would “make it easier for communities to sell their power”.
Andy Burnham said that,
“By backing locally owned renewable energy, we can cut bills, strengthen energy resilience, and keep the benefits of clean power in our neighbourhoods.”
Furthermore, Michael Shanks MP remains in his position as Energy Minister and is joined by the former Under-Secretary for Energy Security and Net Zero, Katie White MP.
In recent months, they continued to give encouraging responses to MPs who have supported our campaign in Parliament.
On 2nd June, Sir Desmond Swayne, Conservative MP for New Forest West, asked,
“Does the Minister plan to allow clean community energy companies to sell power directly to households and businesses?”
Katie White MP, in her role as an Energy Minister, responded,
“We are pursuing that through the Local Power Plan, and we intend for that to happen.”
Then, on 7th July, Michael Shanks MP, in his role as an Energy Minister, responded to a question from Joe Morris, Labour MP for Hexham, saying,
“The Local Power Plan partly deals with investment, but it also deals with those questions of how we get regulation right so that communities can sell power locally and make a return that they can keep in their community.”
It is not yet clear whether the new Government will walk the talk.
New legislation is now on the horizon
In May, the Government announced that they would bring forward an Energy Independence Bill to scale-up homegrown renewable energy.
This Bill, as far as is known, will still be put forward. If this happens then it is an opportunity for Burnham’s Government to show that they are serious about giving power back to communities. If it does not include the changes we seek, we plan to organise cross-party amendments to it.
Currently, we do not know when the Government’s new Bill will be put before Parliament and the recent political instability may cause delay.
We are therefore planning to re-introduce our Local Electricity Bill into Parliament.
What will ultimately win this is mass public advocacy, organised and co-ordinated at the right Parliamentary moments. Together we can do this – what’s needed is for even more people to come on board.
If you have not already signed up for updates and calls to take action, please do so here. The coming months are likely to be critical.
[1] Labour and Cooperative MPs stand as joint candidates representing both the Labour Party and the Co-operative Party. The Co-operative Party is part of the wider co-operative movement, championing democratic ownership and local devolution.