The Minister of State, Department for Energy Security and Net Zero (Lord Hunt of Kings Heath) (Lab)

My Lords, I welcome the opportunity to discuss the new National Policy Statement for Nuclear Energy Generation EN-7, which was laid before the House on 6 February. In particular, I welcome the noble Baroness, Lady Maclean of Redditch, who is making her maiden speech. Redditch is not a million miles from Kings Heath, and it is great to welcome a fellow West Midlander to your Lordships’ House; I am sure we anticipate her contribution very much indeed. I am aware that the noble Lords, Lord Liddle and Lord Inglewood, have both withdrawn because they wish to be present for the EU-UK summit Statement, which is to be made shortly. The Secretary of State and the Government have been clear that nuclear has a crucial role to play in powering Britain’s clean energy future. We see it as making an important contribution to helping the UK become a clean energy superpower, which in turn is a core part of the Prime Minister’s plan for change. For nuclear to play that crucial role, we need to support the construction of new power stations, including by improving how the planning system deals with such proposals. We have already introduced important reforms in the Planning and Infrastructure Bill, which I understand will be before your Lordships shortly. These will help us to consent to major infrastructure projects more efficiently—for example, by streamlining consultation requirements, providing flexibility in what consenting route is used and removing unnecessary elements of the judicial review process. We are also supporting the production of a strategic spatial energy plan by the National Energy System Operator, which will assess the optimal locations and types of energy infrastructure required to meet energy demand in future. One of the most important ways we can support major infrastructure development is through national policy statements. These establish the type of infrastructure that is needed and the rules on site selection and mitigating impacts on communities and the environment. The Overarching National Policy Statement for Energy, called EN-1, makes it clear that low-carbon energy infrastructure, including nuclear, is a critical national priority. In a context where electricity demand is expected to double by 2050, even with energy efficiency, EN-1 makes clear that the planning system places no limit on the amount of generating capacity that should be built. This new national policy statement, EN-7, will complement EN-1 and enable nuclear to play its crucial role in four ways. First, EN-7 states the clear and unambiguous need for new nuclear to achieve energy security, support growth, and mitigate and adapt to climate change. Stating this fact in a national policy statement ensures that it shapes development consent decisions by the Secretary of State. Secondly, EN-7 will allow, for the first time, developers to consider deploying the full range of nuclear fission technologies at any site in England and Wales that meets its criteria. This brings nuclear into line with other energy subsectors, where businesses routinely explore new growth opportunities without being restricted by assumptions about the scale or location of deployment. This flexibility will support new uses for nuclear, such as combined heat and power, hydrogen production and direct supply to high-demand users, such as heavy industry or AI data centres. Thirdly, EN-7 imposes a single set of criteria appropriate to nuclear deployment at any scale and in any location. Infrastructure benefits everyone by providing the energy, transport connections, water and waste management capacity we need, but it can impact neighbouring communities and ecosystems. EN-7 supplements the impacts section of EN-1 with nuclear-specific detail on key areas including population density, flood protection and the use of water for cooling. Fourthly, EN-7 goes further than previous national policy statements in clarifying the development consent process beside regulatory licences. Industry tells us that it is unsure of when and how to engage the various planning bodies and regulators, and that this is driving up costs and slowing delivery. This requires a multifaceted response, but EN-7 plays its part by clarifying that, first, the Secretary of State may decide that the low-carbon energy benefits of nuclear outweigh the residual risks remaining after mitigation; and, secondly, the Secretary of State should grant development consent if they are satisfied that there is no good reason why the project will not eventually gain regulatory approval. Some of the responses have asked what EN-7 means for the sites listed in the previous national policy statement, EN-6. I want to make it clear to noble Lords that those sites will not be disadvantaged by EN-7, because both national policy statements have consistent criteria. Any of the advantages of the sites listed in EN-6 that are evident in a development consent application will be given great weight by EN-7. For example, EN-7 clearly requires a connection to the grid or end-user. This is what matters in practice when applications for development consent are being decided. Our public consultation so far has found that stake- holders agree that EN-7 is a positive step forward. We received 77 responses from across industry, local authorities, campaigners and private individuals. A clear majority agree that EN-7 is future-proofed to deal with advancements in technology, applies the criteria properly and takes a sensible, pragmatic approach to population density requirements. A majority also agree with keeping the scope of EN-7 to nuclear projects with a generating capacity of at least 50 megawatts in England or 350 megawatts in Wales. I also note that most respondents believe that we could do even more to support industry through the consenting and regulatory process. EN-7 could never solve this challenge on its own, which is why we are developing supplementary information for potential developers on the development consent process. Alongside the designation process for EN-7, we will seek input from industry and planning experts over the summer to develop it further. We are also reviewing the regulatory regime in depth through the nuclear regulatory task force. This is examining measures to better support growth and innovation, including faster approvals of new reactor technology designs; international collaboration, potentially including the recognition of designs approved by other trusted safety regimes; and improved ways of working between regulators and industry. The regulatory task force is progressing swiftly. It completed its call for evidence on Monday this week, and in October it will report to the Prime Minister, the Secretaries of State for Energy and Defence and the Chief Secretary to the Treasury. It is time limited in that respect. We have received strong support for EN-7. The question of how to site nuclear power in light of small and advanced modular reactors has been pressing for years. We have consulted extensively with industry, planning and environmental experts, as well as the public, and now is the time to implement it. In the time that I have been in this job, it has become clear that, compared with when we took the decision to go back to new nuclear in 2007, there has been a sea-change in support for nuclear. I believe there is a critical mass of support that recognises that nuclear is the essential baseload for a clean energy system and that we have a huge opportunity to grow and innovate in this country to develop a UK supply chain. I know that there is a certain frustration about a number of critical decisions that have to be made over the next few weeks. None the less, I hope that, as we go through that, we can make positive announcements that will lay the foundation for moving forward. EN-7 is clearly one of the policy statements that underpins the advances we want to make. I look forward to the contributions of Members of the Committee to this interesting debate. I beg to move.