The proposals for national policy statements on energy - Energy and Climate Change Contents


Examination of Witnesses (Questions 280 - 299)

WEDNESDAY 20 JANUARY 2010 (morning)

MR ROBERT ASQUITH, MS GAYNOR HARTNELL, MS GEMMA GRIMES AND MR PETER MADIGAN

  Q280  Chairman: How many will go to the IPC, do you think?

  Ms Grimes: There are currently five that are expressing an interest with the IPC at the moment.

  Q281  Chairman: But most onshore wind farms will be dealt with in the current planning system.

  Ms Grimes: Yes. Around 70 per cent of onshore projects in England and Wales will go to the Town and Country Planning regime.

  Q282  Sir Robert Smith: You have covered my first question, which was about the Welsh area of search and how it maybe has not made the difference, but how does your approach to areas of search compare with the Government's use of areas around the three licences for offshore wind?

  Mr Madigan: The Rowntree process is the leasing process for the seabed, so you have zones allocated to companies and consortia of companies for them to develop. They will start a process whereby those companies identify individual projects and bring those forward to the consenting system. The driver for allocating those zones was very much a commercial process. It is not an area of search approach. There is no assumption that these will be easier to consent than projects that were brought forward outside of those areas. That was not the intention. It was mainly driven by the need to have a competitive commercial approach to allocate these areas.

  Chairman: Let us return to an issue that Robert took us to right at the beginning, when I rudely cut him off: the relationship of NPSs with the existing planning system.

  Q283  Dr Whitehead: We have rehearsed some of these arguments and heard from Gemma that 70 per cent of onshore wind applications will go through the existing planning system. What do you think the relationship should be between NPS and the existing planning system? Is it a cut-off relationship or should it be a graduated relationship?

  Ms Grimes: They are legally distinct systems but there is a great deal of interconnection between the two. You may be aware of a letter from the chief planner at CLG that went to all chief planners and local authorities.

  Q284  Dr Whitehead: In November.

  Ms Grimes: Yes. That confirmed that local authorities would need to have regard to NPSs in the creation of their development plans and in the review of their development plans, and they should also have regard to NPSs when making decisions on individual projects. We very much welcome that. There are two points that we would like to be strengthened. We would like guidance to be given to local authorities as to the weight that should be accorded to NPSs when making decisions, because it is fine to have regard to them but you are having regard to so many things you want to know what things are more important than others to bring into the balance. Also, it is stated in the letter that NPSs do not form part of the local authorities' development plan, and we would like that to be reviewed because, at the moment, both the Department for Energy and the Department for Planning are very unclear. I do not think they have decided either way the relationship NPSs have to PPSs, whether they are the same weight or whether one has slightly more weight than the other. From our perspective, across both organisations, it makes no sense to have two policies that have the same weight when one is saying something slightly different potentially in emphasis to the other, and they both claim to deal with renewable energy.

  Mr Asquith: It would be very regrettable if perfectly good schemes that had gone through planning failed at legal challenge because a planning authority had inadvertently perhaps misunderstood advice, or maybe the advice had not been as clear as it might be about the relative status of these things. I believe that if the NPSs are adopted and deemed to be a good thing it should be a very strong material consideration. Indeed, I think it would be better if they were somehow accorded the status of PPSs in the planning system. That would be a quicker route than the route of then trying to modify the relevant PPSs which are not just PPPs-22 but PPPs-1, the climate change supplement. In my sector we have to deal with PPS-10, sustainable waste management, to fit with them as well. There is a danger when you have more and more policy, well-intentioned, designed to cut through the problems of the obstacles and getting schemes to go forward, that it inadvertently creates a legal quagmire. That is our greatest concern. At a practical level in terms of the non-IPC proposals, it is very worthwhile noting that these NPSs will be clearly seen as statements of government policy which will be used to make a case for, or possibly against, projects. It must be seen that whilst their principal purpose is for the IPC, they will inevitably colour and have an effect upon the Town and Country Planning system as well. That is something that needs to be very carefully thought through as the final documents are prepared.

  Q285  Dr Whitehead: The REA has suggested that local authorities and the rest of the planning system should be required to follow NPSs rather than have regard to them.

  Mr Asquith: That would be our preferred approach. That would obviously require some form of modification to primary legislation about the planning system to be affording that status. If that is not possible, the weight that should be given to them should be very clear—if you like, "very material consideration" or something like that.

  Q286  Dr Whitehead: Do you think it is possible to get to that position without perhaps entering into a greater potential quagmire of legal challenge, a "paradise for lawyers," shall we say, than is the case at present? Presumably your preferred outcome would create a hierarchy of regard, and under those circumstances the extent to which any sort of local decision-making might then be overridden by requiring to stand in line with an NPS would appear to undermine the status of PPSs and therefore a lot of the rest of the planning system.

  Mr Asquith: That hierarchy of regard, as you put it, is already there. One sees with new PPSs, as they are issued, almost universally a statement that where there is conflict between the policy and this PPS and existing policies in others and in development plans, then this PPS must have precedence, but that statement clearly tells the reader and the decision-maker what the hierarchy of regard is. With safeguards like that, it could overcome the kind of problem you are talking about.

  Q287  Dr Whitehead: The distinction at the moment in terms of NPSs as they relate to IPC is that the NPS produces the general statement of policy, within which an inquiry might be frameworked through the IPC. If one puts that as a parallel issue as far as local planning authorities are concerned, it is not easy at first sight to see how the planning system could easily "tuck in" to that arrangement as far as the IPC is concerned. Are there ways in which you think that could be clarified?

  Ms Grimes: It comes back to the point that the NPSs are designed to be, and we believe them to be, a restatement of existing government policy. Existing government policy should already be fully taken into account by planning officers under the Town and Country Planning regime but, as I said earlier, because this government policy is so widely dispersed and because current PPSs on renewable energy and climate change were relatively out of date, this NPS is a consolidated summary of government thinking on energy and climate change. We feel that that should be a significant material consideration within the TCPA regime.

  Ms Hartnell: Coming back to what I was saying earlier about what we would ideally have liked this NPS to have done, in an ideal world it would have been great had this statement been the kind of be-all and end-all of government policy on various different issues, so that time need not be wasted in the local decision-making process on, say, spurious claims that really opponents of schemes only need to air the risk of the lights going out because this wind farm is intermittent, to sow a seed of scepticism among members of the committee. It would be nice if the NPS were to set out non-issues as well, so that one could say, "Look, this is a non-issue. We shouldn't be discussing it in this planning committee." Furthermore, if a developer could see this non-issue being discussed, there would be some means of recourse where they could say, "We don't want to be dealing with this. This shouldn't be on the agenda." This is something the Environment Agency should deal with. It is not something for the planning committee to be worrying about in an ideal world.

  Q288  Dr Whitehead: In a sense, part of the design of NPSs, as far as what would be considerations on major proposals or major national infrastructure proposals is that certainly a fairly explicit aim is that the percentage of time that is taken up in inquiry by those sorts of issues, as opposed to location specific and design and arrangement specific issues taking up the minority of the time, would be reversed. The NPS is to some extent, as it were, a myth-busting device, and the rest of the inquiry then takes place with those out of the way prior to the inquiry taking place. What I cannot quite see is whether that model could easily be replicated as far as local planning authorities are concerned and how PPSs fit into that process, and whether requiring an NPS to be, as it were, the trump document as far as those other issues are concerned would so far undermine the local planning system with a number of other considerations that you might end up having far more legal challenges than you think you might overcome as a result of the non-issues being determined in the way that Gaynor has suggested.

  Ms Hartnell: I will leave the detail to my colleagues who know far more about this than me, but I would point out that in the fewer larger projects one could perhaps afford a little bit more time to discuss these things. When they are being discussed across the country in hundreds and hundreds of small, local decision-making meetings, it is all the more important that they are more efficient.

  Mr Asquith: It is important to distinguish the scope for legal challenge from the scope, if you like, of planning appeal-type challenge to a decision which is taken locally. My concern is that a planning authority might inadvertently rely on something and give it a greater status than it should have done. That is why the status should be clarified for the NPSs. When it comes to these, as Gaynor says, non-issues, which are the old chestnuts of our business, it is helpful. Those are specific planning matters. It might be a planning appeal or a re-invite in some way, but they are not really legal issues for challenge of planning decision-making.

  Q289  Charles Hendry: Is there not a danger that you will be perceived as wanting a mighty sledge-hammer of a planning system to force through applications where there is very little public support in that locality, when you should also be looking at other ways of getting public engagement? There are some major wind farm applications where there is no local public support for them because those communities cannot see the benefit which they are going to get. There are others where the local community is actively supporting the application because of part-ownership schemes and aspects like that and they can see a very real benefit to their local community from doing it. Should that not be the area where you are focusing rather than on the legal challenges?

  Mr Asquith: I cannot really speak for the wind sector per se, but really issues of how one handles public engagement, part public ownership, for example, are not planning issues. Indeed, those are more powerful tools to use than perhaps some of the spatial policies which were being referred to previously. In my search of renewable business, we are finding that we are not as inherently objectionable, and therefore the kinds of issues we are dealing with are the lack of understanding of what it is we are doing, which is reflected partly in the drafting of the renewables document.

  Ms Hartnell: Yes, that is an area we would work on in parallel. The Conservative Party proposal to allow local communities to keep a proportion of the business rates for wind farms, and wind farms alone, for a period of time is good, but I would suggest that it should not just be for wind developments, it should be for all renewable projects. That is the sort of thing that we think is extremely helpful. We would push for that approach to be adopted. There are all sorts of ways in which local communities can be rewarded.

  Mr Asquith: I was at a public engagement event only this last weekend and the inevitable question came up, "Why can't we get cheap electricity from you locally?" There are all sorts of reasons why we cannot do that and it would be wrong and foolish of me to promise to do that, but the kind of solution to which Gaynor alluded is an answer which is currently not available to us but, ultimately, is nothing to do with planning.

  Q290  Charles Hendry: We seem to have gone through a process of saying, "This is good for you. You should have these locally," and that did not really work in terms of getting consent, and then saying, "It would be really bad and irresponsible if you try to oppose these," and that has not really worked. It seems that the way forward needs to be of much more active engagement, of winning hearts and minds, with people really seeing that there is a benefit for their community for hosting a facility, and then you move them from being active opponents to active supporters. That could be business rates, it could be local community ownership, it could be cheaper electricity. In a way, that is going to be the area where you win people over rather than by saying, "Even if you might not want this, we want a system which will force this through against your wishes."

  Ms Grimes: I fully agree with all those points and I agree with you that there is certainly more that could be done by the industry, but there is also more that government could do in informing, genuinely informing, the public as to the climate change problem and the means by which we can genuinely address it, and address it in the most timely and cost-effective manner. I do feel there is more work that needs to be done on that, because, however much work we do: we would say that, would we not, because we are the industry.

  Charles Hendry: Challenge understood.

  Chairman: One of the big objections to wind farms in particular are environmental objections, landscape objections. Let us talk about that a bit.

  Q291  Dr Turner: We have agreed that, if successful, the NPSs can be very useful in eliminating time-wasting by, for instance, need as established by the NPS, and one would hope that that would equally rub off on local planning decisions as well. There is nothing that local planning committees love more than reinventing the wheel. This also happens with environmental impact assessment. The same, often generic issues, can be chewed over at vast length and expense time and time again, when in fact virtually all of the evidence contained is virtually identical. If then NPSs are successful in dealing with this matter, they should resolve a lot of environmental impact considerations, saving time, saving cost, which again could hopefully rub over into local decisions. Do you think that the statements do that satisfactorily?

  Mr Madigan: You are absolutely right that one of the major benefits of the NPSs is, as Dr Whitehead said, the myth-busting aspect and focusing on the really sensitive issues that need to be debated in detail. We have some minor drafting points that we would like to bring forward in our written response to the consultation about some aspects of that, just to refine those points and add clarity. It is a balance. In some areas there is a need for specific detailed advice on the issues at hand; in other cases it would be a judgment based on the evidence. In those cases, the IPC needs to understand the drivers behind the evidence that is coming forward so that it can make an informed judgment. There are some points on that, but generally the approach we think is very good and we are supportive of it.

  Q292  Dr Turner: If it is successful, the NPS should deal with the generic issues so that you are left purely with site-specific issues for any given application.

  Mr Asquith: One of the points about environmental impact assessment is that it driven by yet another Directive, in that case the European Directive and it is a separate process which in the UK is largely done through the planning system, in this case the IPC system. One of the things that could achieve the result that you are referring to is a very specific and tightly-run scoping process for environmental impact assessments under the IPC. I did not see anything specifically about that in the drafts. When one scopes the EIA with the local authority, often you end up dealing with issues which you should not really deal with but you do anyway because you realise that that is the reality of how it should be handled locally. With this kind of process, a real tight drafting of the scope of EIAs, would help so that we could eliminate all the areas which are in that particular case not relevant or are of very limited concern.

  Q293  Dr Turner: You think that with a little tweaking the policy statements do that.

  Mr Asquith: I think they could do with a bit of a tweaking, but yes.

  Dr Turner: If you would like to give us your tweaks in writing, that might be helpful.

  Chairman: Our final area is to talk about different technologies. Gaynor, you mentioned that very early on.

  Q294  Mr Weir: Do you feel that draft NPSs deal adequately with the generation of energy from biomass and waste as an option?

  Mr Asquith: Certainly one of the things I have found a little frustrating about the draft of renewable energy is the point I made earlier about the speed at which technology moves. We are promoting schemes for biomass and biomass from waste projects, and a description of what an energy from waste project or a biomass project looks like in the draft is in many ways quite different from what we are proposing, even when we are proposing things above the 50 megawatts. At that level, I feel it illustrates a general concern of the pace of technology and a danger of being too specific in these documents about what the issues will be. That is one area of concern I had. Another area of concern with biomass and energy from waste is that we are ultimately talking about something, whether it be the original fuel or the secondary fuel, being burned, combusted, and that raises the issue of air emissions. The section on air emissions I think could be tighter and clearer and refer more strongly to the role of the Environment Agency in regulating proposals under the environmental permitting regime, such that, put crudely, projects simply will not come forward if there is any scope for them to exacerbate air pollution concerns at all, including effects on nature conservation, which is, in fact, one of the main areas that we do look at.

  Q295  Mr Weir: Some of our witnesses have also expressed concern about the source of the biomass or waste for these and taking into account the carbon emissions of that. What is your view on that aspect?

  Ms Hartnell: I know that is sometimes an issue if biomass is being imported, for example. We have put in a bit of information in our evidence that the emissions associated with ocean transport of biomass are incredibly low, some 36 grams per kilowatt hour of electricity produced, whereas coal will emit something like 800 or 900 grams per kilowatt hour. It is a very small additional contribution in terms of carbon from this overseas transport. Distance alone is not the important thing; it is the means of transport that is important. The Government did look at this in a lot of detail when it was considering whether to keep going on coal-firing back in the 2005 review of the Renewables Obligation. It commissioned quite a lot of environmental assessment of this and concluded that it should be a longer-term option because the carbon savings were significant from imported biomass.

  Q296  Mr Weir: What about the other aspect of waste? One of the other issues was that if we start burning lots of waste, then perhaps that would impact on recycling and in effect add to emissions. Do you have a view on that?

  Mr Asquith: Yes, I do. There are a couple of points I would like to make there, one of which is the relatively recent PPS-1 climate change supplement refers to renewable and low carbon energy. That is an important consideration, in that there are some forms of energy which, whilst they are not renewable, in that they are using short-cycle carbon, are still better outcomes for material than the alternatives, be they landfill or whatever. That is an important mindset to have when considering the carbon footprint, if you like, of a generation proposal. Indeed, we routinely do carbon footprinting analysis to answer the specific questions you have on specific projects. In terms of setting back recycling, I can only speak for the projects we are doing. We are looking at material which would be biomass. Some of it, yes, would have been paper and card in its prior life to becoming a fuel feedstock, but we are looking at material which could never be recycled as paper and card because it is of a low quality. It is important to examine the diminishing returns of recycling more and more of a relatively poor quality resource versus the energy benefits. At some point between those two is a cut-off. I do not think that we are generally at or approaching that cut-off yet, with recycling rates in most parts of the country now around 50 per cent. There is still a way we could go to achieve more good quality recycling and I do not think that should be seen as preventing energy projects which ultimately are there to replace landfill.

  Ms Hartnell: Just to observe that those countries in Europe which are generally associated with being the greenest in Europe have the highest recycling rates and the highest rates of energy recovery from waste. The two things go perfectly comfortably hand-in-hand.

  Q297  Mr Weir: Do you think the NPS has excluded consideration of wave and tidal power, hydro-power, and why do you feel they have excluded that from their guidance?

  Mr Madigan: From the point of view of the BWEA there is currently no wave and tidal projects coming forward that are over 100 MW. However, we do see them coming forward in a reasonably short space of time. We are quite comfortable that wave and tidal has been excluded from this NPS. However, through the provision process, or at the behest of the Secretary of State, there does need to be added a section on wave and tidal at an appropriate time.

  Q298  Dr Turner: Do you think it is necessary that the NPSs should exclude, for instance, wave and tide? Why can it not become a more generic requirement expressing the need for renewable energy?

  Ms Grimes: Wave and tidal are referred to in EN-1 under that guise, demonstrating the types of technologies that are likely to come forward to produce renewable energy and other types of energy.

  Ms Hartnell: I do not think this guidance sufficiently deals with wave and tidal. It is making clear it will come later, but why is it excluded? It does need to be clarified on that. Notwithstanding the general points we would want to make about this guidance being wider across the board, it is dealt with poorly, and I think the intention was that it should have been there, but it was a question of time and resource.

  Ms Grimes: From our understanding of talking with the Department for Energy, it was the intention that it would not be dealt with in detail in EN-3 at the moment, and we understand that and accept that with the knowledge that it will be brought forward at a later stage when wave and tidal is closer to market at that kind of generation capacity. Perhaps there is a need for further clarification within the wording of the NPSs because we are in dialogue with the Department for Energy directly; perhaps there are things we understand from them that are likely to come forward but are not expressed in detail in the documents themselves.

  Sir Robert Smith: Surely, given the great potential in the long run, wave and tidal must have nothing that holds it up any more and treats it as a Cinderella; so we should be getting on making sure there are going to be no barriers to wave and tidal as it comes through.

  Q299  Dr Turner: It should be easy enough to produce a catch-all provision that will cover it!

  Mr Madigan: It is also worth pointing out, in parallel we have seen the development of the Marine Coastal Access Act as it is implemented, and you have the Marine Management Organisation, which will be consenting projects under 100 MW. From our point of view we want to see absolute consistency between the approaches of both the MMO and the IPC so that you have a complete, smooth delivery system and smooth process, and that will greatly help delivery of wave and tidal projects.

  Ms Hartnell: I think it is very important. Environmental consenting is one of the things that has the potential to really stifle the development of wave and tidal renewables, and it really could do with beefing up in that respect, we think, on this guidance.

  Chairman: That is a strong point to finish on. Robert, Gaynor, Peter, Gemma, that was really crisp evidence, with a good bit of disagreement at times, which is always very helpful. Thank you all very much.





 
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