Written questions by Chadwick.

If he will consider bringing the Contracts for Difference Scheme under the remit of the Procurement Policy Note for Steel, and the national security clauses of the Procurement Act 2023.

As set out in the recent UK Steel Strategy, the Clean Industry Bonus element of the Contracts for Difference (CfD) scheme rewards offshore wind developers if they use UK steel in their projects. There are currently no plans to bring the CfD scheme under the remit of the Procurement policy note for steel, and the National clauses of the Procurement Act 2023. The department is committed to working closely across Government and industry stakeholders to take forward the actions needed to develop supply chains that are resilient, sustainable, innovative and secure.

Whether his Department plans to take further steps to reduce UK electricity prices compared with those in France and Germany.

The Government is actively working to lower electricity prices by addressing the root causes of high costs. We are reversing years of underinvestment and implementing the largest upgrade to Great Britain’s electricity network in decades, reducing constraint costs and making greater use of affordable renewable energy. Through our Clean Power mission, we are accelerating renewable deployment to lessen the frequency with which gas determines electricity prices. Additionally, Reformed National Pricing will reshape investment decisions and improve system operations. Altogether, these initiatives aim to create a fair, affordable, secure and efficient electricity system, ultimately driving down bills for good.

What assessment (a) his Department and (b) GB Energy has made of the capability and capacity of the UK steel industry to provide products for the UK’s renewable energy transition.

Government commissioned a report on the UK steel demand forecast to 2050, to inform the UK steel strategy. The strategy highlights the importance of steel in the clean energy transition. Great British Energy (GBE) is committed to growing the UK’s manufacturing base and delivering enduring, sovereign capabilities in the clean energy technologies of the future. The Energy, Engineered in the UK (EEUK) programme is designed to unlock industrial opportunities from the energy transition and support GBE’s overall ambition to support at least 10,000 jobs through projects funded by 2030. As part of delivering EEUK, GBE are working closely with Make UK and their membership to assess opportunities for UK steel within the energy transition and are actively engaging with the sector. This has included presenting on the EEUK programme to the UK steel committee in March. More information about future funding opportunities will be available to the market in due course.

What discussions he has had with Ofgem on the decision not to fund the HyLine Cymru project; and whether he plans to revisit that decision.

HyLine Cymru applied for development expenditure funding under Ofgem's RIIO2 reopener mechanism. Government subsequently discussed the strategic value of this project with Ofgem who decided not to fund Hyline Cymru due to its lack of large-scale geological storage, which will be needed for the development of a regional hydrogen network. Decisions regarding funding provided under RIIO2 sit with Ofgem and therefore Government does not intend to revisit this decision.

What estimate he has made of the potential economic impact of hydrogen investment in Wales, including on the level of (a) Gross Value Added and (b) job creation.

Our Hydrogen Allocation Rounds (HARs) are stimulating private investment in hydrogen projects across the UK, including in Wales. Two of the successful HAR1 projects are in Wales – the HyBont project in Bridgend and West Wales Hydrogen in Milford Haven. The latter recently announced its Final Investment Decision, which I was pleased to mark alongside the Secretary of State for Wales. This project alone represents an investment of over £50 million and is forecast to support over 60 jobs during construction and its operational phase. It will also strengthen domestic supply chains, by choosing Sheffield-based ITM Power to supply its electrolysers.

What assessment he has made of the adequacy of the regional distribution of hydrogen infrastructure funding; and what steps he is taking to help ensure Wales receives a proportionate share of funding.

In the 2025 Spending Review, Government allocated over £500m for development of the first regional hydrogen network. Government is not prescriptive regarding support provision location, and will assess transport & storage project applications on merit against strategic objectives criteria (e.g. deliverability, decarbonisation potential, and value for money), before contract negotiations with highest-scoring projects. Hydrogen Transport & Storage Business Models support recipients will have had to demonstrate ability to deliver VfM infrastructure, and agreed scope of deliverables with Government. Provided projects meet eligibility criteria, they can apply regardless of location within Great Britain. We welcome applications from Wales on launching.

What assessment he has made with the the Chancellor of the Exchequer of the equity and effectiveness of the regional distribution of public funding for hydrogen infrastructure.

Government is not prescriptive regarding the location of support provision for hydrogen infrastructure, and will assess transport & storage project applications on individual merit against criteria reflecting strategic objectives (e.g. deliverability, decarbonisation potential, and value for money), before contract negotiations with highest-scoring projects. Hydrogen Transport & Storage Business Models support recipients will have had to demonstrate ability to deliver value for money infrastructure, and will have agreed scale & cost of deliverables with Government. As long as projects meet eligibility criteria for the regional hydrogen network competition, they will be able to apply regardless of their location within Great Britain.

Whether he plans to reform Ofgem’s network investment appraisal processes to better reflect regional economic development and decarbonisation potential.

The Government supports Ofgem in ensuring through its regulation that grid investment benefits communities across Great Britain. In the next electricity distribution price control, ED3 (2028–2033), Ofgem is requiring distribution network operators to develop long term, integrated network development plans informed by Regional Energy Strategic Plans (RESPs). This will help ensure network investment appraisal better reflects regional economic development and decarbonisation potential, while continuing to protect consumers’ interests.

What assessment he has made of the potential implications for his policies of the change in the UK's position in the Global Hydrogen Potential Index since 2021; and what steps he is taking to improve the UK’s international competitiveness.

The UK’s standing as a current global leader in hydrogen is reflected in our comprehensive investible policy framework and the number of hydrogen businesses that are based in the UK and developing world-leading technologies for export.Government is delivering real projects to kickstart the UK hydrogen economy, with contract signings for successful projects from the first Hydrogen Allocation round, with £2.3bn of revenue funding confirmed and a further £500m confirmed for a hydrogen transport and storage network.The 10 Year Clean Energy Industries Sector Plan (2025) announced new investment to turbocharge growth in the sector and our renewed Hydrogen Strategy, which we plan to publish soon, will set out how we intend to work together with industry to continue to transform ambition into action.

Whether he has made an assessment of the potential role of industrial clusters in South Wales in the UK’s hydrogen economy.

Industrial clusters, such as in South Wales, can support hydrogen production and use by co-locating supply with demand, which helps reduce infrastructure costs, transport requirements, and system risks during market scaleup. Across the South Wales industrial cluster region, two hydrogen production projects, West Wales Hydrogen in Milford Haven and HyBont in Bridgend, have been awarded funding in the first Hydrogen Allocation Round. The West Wales project recently announced its Final Investment Decision. Together, they will supply local industry, supporting decarbonisation, create skilled jobs and encourage regional economic growth across the South Wales industrial cluster.

Whether he has had discussions with Ofgem on how its cost-benefit methodology accounts for regions with lower population density such as Wales.

Distribution charges - which in part make up the standing charge paid for by all consumers - are designed to be cost reflective and vary by region to reflect local factors in that area, such as geography, network topology and weather conditions. The principle of cost reflectivity is an important means by which to drive down overall system costs as it helps to guide efficient investment decisions. Government is working with Ofgem on examining how the costs of building and running the energy system are shared across consumers, aiming to find fairer, more efficient ways of charging, while supporting clean home-grown power and economic growth.

Whether the CMA has provided guidance to his Department on the regulation of pricing for heating oil and or LPG.

Following discussions with the Competition and Markets Authority, we welcome its comprehensive examination of the heating oil industry. It is vital that customers are treated fairly and any price manipulation will not be tolerated. We are working closely with the CMA to understand their findings and develop options to increase consumer protections in this sector, including potential regulatory measures. While this work is ongoing, the Chancellor has announced £53m for low-income households that heat their homes with oil. This funding is available across the UK and Northern Ireland.

What assessment he has made of the powers given to the Competitions and Marketing Authority on the adequacy of competition in the fuel market sector for rural communities consumer.

The Government provided statutory powers to the Competition and Markets Authority (CMA) to monitor the road fuel market and assess whether competition is working effectively for consumers, including those in rural communities. The CMA’s recent annual report found that fuel margins remain high and are not explained by operating costs. In line with the CMA’s recommendations, the Government has implemented the statutory Fuel Finder scheme, which requires all petrol stations in the UK to report their fuel prices within 30 minutes of a change, and is intended to improve price transparency, increase competition and lower prices across the UK including for rural consumers.

Whether he plans to take steps in response to the CMA Road Fuel Monitoring Annual report 2025.

The Government notes the Competition and Markets Authority’s (CMA) annual road fuel monitoring report, which found that competition hasn’t strengthened since the CMA’s Market Study published in July 2023, and that fuel margins remain consistently high and are not explained by operating costs. The Government has implemented the recommendations made by the CMA, including the launch of Fuel Finder, which now requires all petrol stations in the UK to report their prices within 30 minutes of a change. This scheme aims to increase price transparency and help drivers to compare prices easily and make more informed decisions on where to buy their fuel.

What representations has he made to BP over the use of British steel in the Net Zero Teesside project.

The department regularly engages with key CCUS stakeholders, including BP, to understand progress towards the industry-led, voluntary 50% local content target. The department has emphasised in discussions with industry partners the importance of supporting the UK steel sector and maximising opportunities for British businesses within the UK’s transition to net zero. There has already been extensive investment in the CCUS supply chain, with £1 bn in UK-based subcontracts already being awarded across the Net Zero Teesside project and its associated CO2 Transport and Storage Company, the Northern Endurance Partnership, both of which are BP led. This demonstrates a strong commitment to supporting domestic industry and jobs. The department will continue to explore further opportunities to maximise the role of the UK supply chain and we look forward to working closely with BP and other developers to achieve this.

How much the average household in Wales is expected to save on energy bills as a result of the Budget’s Renewables Obligation measure, compared with households in England and Scotland.

At the Budget, the Chancellor announced an average £150 of costs off people’s energy bills from April next year. £88 of that comes from the decision to fund 75% of the domestic Renewables Obligation from the Exchequer. The measures announced at Budget apply to the whole of Great Britain, and a household in Wales will see the same level of benefit as an equivalent household in England or Scotland that consumes the same levels of electricity and gas.

What assessment he has made of the potential impact of ending the Energy Company Obligation on private sector investment in home energy efficiency in Wales.

To bring energy bills down for all, the decision has been made not to continue the Energy Company Obligation when the current scheme ends. We recognise that the decision will be unwelcome news to those working within the supply chain for these schemes. The government has instead committed to additional grant funding of £1.5bn to be directed to upgrading low-income households, benefitting those in fuel poverty. Details of this will be set out in the Warm Homes Plan. We also intend to implement the manifesto commitment to increasing minimum energy efficiency standards in the private and social rented sectors.

If he will introduce a social tariff for energy to help lift people at the end of life out of fuel poverty.

We recognise that for many households energy bills remain too high. That's why on 19 June we announced that we are expanding the Warm Home Discount to around an additional 2.7 million households. This means that from this winter, around 6 million low-income households will receive the £150 support to help with their energy bill costs.

What representations he has made to the Chancellor of the Exchequer on the transfer of the British Coal Staff Superannuation Scheme’s Investment Reserve to its Welsh scheme members.

The Department is engaging with HM Treasury with a view to agreeing a way forward on the transfer of the reserve to members. The Government is aiming to reach agreement on an outcome that can be implemented later this year which will benefit scheme members. As at 30 October 2024, there were 3,650 members of the British Coal Staff Superannuation Scheme in Wales. Any transfer of the reserve would be used to enhance member benefits.

Pursuant to the Answer of 19 September 2025 to Question 76666 on British Coal Staff Superannuation Scheme, if it remains his policy to reach an outcome on the British Coal Staff Superannuation Scheme’s investment reserve that can be implemented this year.

The Government’s aim remains to reach an outcome that can be implemented this year.