Climate Change — House of Lords, 2020-02-06
Topic: Energy
Daniel Mosley (Crossbench, Unknown): My Lords, I thank the noble Lord, Lord Browne, for tabling this important and timely debate. I declare my interests as an engineer in the energy industry, specialising in nuclear, and a director of the cross-party group Peers for the Planet I am a techno-optimist, unlike the noble Baroness, Lady Bennett. Maybe it is inherent in being an engineer. Oscar Wilde said: "The basis of optimism is sheer terror", which feels appropriate in the context of the climate crisis. Although I believe the report’s approach is correct in looking at currently available technologies, there are two key omissions: first, viewing carbon capture and storage as a breakthrough rather than an incremental technology; and secondly, the nature of the absolute zero target due to the perceived lack of negative emissions options First, although the report is correct that carbon capture and storage technology is not yet being deployed at a meaningful scale, it is mature. I apologise for getting into the nuts and bolts somewhat, but a recent report from the Royal Society of Chemistry assessed the capture and transmission elements of CCS as being at a technology readiness level of 9, the highest available. The challenges are in the integration and scaling up of the technology It is quite common in these discussions to quote the glacial pace of previous energy transitions, a point made by the noble Lord, Lord Browne, as a reason that CCS cannot contribute to net zero, but in fact the current energy transition is proceeding at breakneck speed and will continue to do so. For example, gas went from a tiny fraction of our electricity generation mix to around 40% in less than 10 years. Wind got going only in the late 1990s, and look at where we are with that now. There is no reason why CCS cannot follow a similar path if the political will is there to do it. It is an oven-ready technology, as the Prime Minister might say Following on from CCS, bioenergy CCS is a negative emissions option currently being scaled up by industry, for example in the pilot at Drax power station. As with CCS, the key challenges are in the integration and scaling up of the technology. The Committee on Climate Change has done a lot of good work on bioenergy CCS. In its 2050 net-zero scenario, it estimates that bioenergy CCS could sequester around 35 megatonnes of CO2 per year, enough to counter the residual effects of the aviation industry. Afforestation can play a big part there as well. The effect of these two technologies could really change the 2050 picture completely. The effects of cement and steel production would be mitigated because the emissions from those industries can be captured. Shipping and air travel could continue because their residual remissions can be offset by, for example, bioenergy CCS. Electricity production can increase through the use of CCS generation and an increase in the use of nuclear power, as the noble Lord, Lord Broers, mentioned. But that is not to underestimate the challenge. The Government need to move quickly by investing in CCS and getting pilot projects moving to define the commercial approach I turn now to talk briefly about the policy implications of CCS. Along with other firm power generation methods such as nuclear, which are needed for a least-cost electricity system, it suffers from being compared on a levelised cost of electricity basis with intermittent renewables, in terms of pounds per megawatt hour. The levelised cost of energy calculation is done at the point of generation, not at the point of use, so it does not take into account the system integration costs of intermittent generators, which are significant. The Committee on Climate Change estimates that these could be up to £20 per megawatt hour for high penetrations of renewables. Perhaps the Minister could comment on how the Government intend to address the shortcomings of levelised cost of energy metrics and move towards a level playing field for generation, because it is absolutely vital to recognise that not all generation technologies provide the same services to the system.