Melanie Onn

I am pleased to support the Sustainable Aviation Fuel Bill and the Lords amendments. The Bill is about backing a world-class aviation sector and supporting its growth in a way that meets our decarbonisation responsibilities. The fact that SAF could contribute to the 65% reduction in emissions needed by aviation to meet net zero by 2050 is a useful reminder that technological development can ensure a future for higher carbon emitters while improving our environment. That is policy in action, and it will reduce disruption to consumers—something that we also have to bear in mind. SAF matters not just for its decarbonisation credentials, but for its clear potential to support job creation and economic growth. As my hon. Friend the Member for Doncaster East and the Isle of Axholme (Lee Pitcher) said, it will bring into existence a circular economy, including flooding alleviation and the development of feedstocks. That would perhaps alleviate some of the concerns raised by my hon. Friend the Member for Chesterfield (Mr Perkins) about the source of feedstocks. Increasing home-grown SAF production can position the UK as a leading destination in this new market. Low-carbon fuels can support up to 15,000 jobs and contribute up to £5 billion to the economy by 2050. That is not an abstract prospect for those of us who represent communities built on industry and energy. In northern Lincolnshire, we already see what that can mean. Phillips 66’s Humber refinery in Immingham—in my neighbouring constituency—is the UK’s first and largest commercial scale producer of SAF. I was pleased to discuss the potential for the expansion of SAF operations with P66, especially given its recent acquisition of the Lindsey oil refinery site, which has a uniquely placed direct pipeline to London Heathrow. It is of the utmost importance that UK refineries such as P66’s Humber refinery play a crucial role in the transition to and upscaling of cleaner fuel sources. That would retain the domestic skills base and supply chains that communities such as mine depend on. That is why I particularly welcome Lords amendments 1 to 3, which will ensure that the Secretary of State can enter revenue certainty contracts only where the supported SAF is produced in the UK. That is a crucial step in protecting domestic industrial growth. Given recent global events that other colleagues have referred to, the amendments present straightforward, sensible safeguards that help the UK to build fuel capability and resilience in an ever volatile global fuel supply chain. For SAF to be a success, and as we build the market, we must get the wider policy framework right, including carbon pricing and the UK emissions trading scheme. The ETS can support sustainable aviation fuel investment, but it needs to be negotiated with care so that British industry has the clarity and confidence it needs to invest for the long term. It must not face uncertainty or any unintended disadvantages. I support the Bill and welcome the Lords amendments. I look forward to working with the Government to strengthen the link between ambition and real industrial opportunity here at home, creating jobs and career opportunities in communities such as Great Grimsby and Cleethorpes.