Supporting Welsh industry with long-term plan for future
2 May 2014 10:19 AM
"Radical measures
to reduce energy costs underlines the government’s commitment to
supporting Welsh industry" Stephen Crabb
MP
Wales Office Minister Stephen
Crabb yesterday visited steel manufacturer Celsa UK as well as host the second
Energy Intensive Industries roundtable in Cardiff. Measures announced in the
Budget 2014 to tackle energy costs for sectors including steelmaking and
chemical industries are up for discussion.
Minister Crabb also visited
Cardiff Airport to discuss a UK-wide £20 million ‘Regional
Connectivity Fund’ announced in the Budget to encourage airlines to start
flying new routes from regional airports. Mr Crabb will meet Chief Executive
Jon Horne and Chair Lord Rowe Beddoe to discuss whether the airport could
benefit from the funding stream.
Speaking ahead of the Energy
Intensive Industries roundtable Minister Crabb said:
“We are determined that
this should be a sustained and balanced economic recovery. Lowering energy
costs is an important step in helping our manufacturers to compete in global
markets.
“The £7 billion
Business Energy Package announced in the Budget has accelerated efforts to make
energy prices more affordable, and to help manufacturers keep pace with
competitors. But we need to keep listening to the issues Energy Intensive
Industries face. The Welsh economy has a greater share of these companies than
any other part of the UK.”
It is the second roundtable
hosted by Minister Crabb in Cardiff. The first was held in May 2013 with the
Minister for Energy and Industry Michael Fallon MP. That meeting sought the
views of Wales’ most energy intensive sectors on how the Government could
assist with energy costs in the lead-up to the 2014 Budget.
Speaking ahead of the visit to
Celsa Steel UK Minister Crabb said:
“I am very much looking
forward to my second visit to Celsa Steel UK’s site to hear about the
benefits that the new package of support announced in the Budget can bring to
its steel manufacturing business and the wider Welsh economy.
“I am pleased progress is
being made and I remain passionate about supporting Welsh manufacturers keep
pace with their competitors around the world. But I am keen to hear what more
can be done with the challenges that Energy Intensive Industries
face.”
Mr Crabb, who last visited the
company in July 2013, will meet with General Manager Luis Sanz and James Ellis
Head of Human Resources and undertake a tour of the Melt Shop.
Commenting on the visit Celsa UK
General Manager Luis Sanz said:
“We are pleased to welcome
the Minister to our Cardiff site. We have enjoyed a good working relationship
with him in understanding the impact that rising energy costs are having on
Energy Intensive Industries in the UK.
“The announcement of
£7 billion worth of relief measures introduced by the Chancellor has been
welcomed by Celsa. It recognises the impact that energy taxation is having on
Energy Intensive Industries. We welcome steps taken to mitigate these,
particularly the Renewables Obligation and will continue to work for their
quick implementation.
“Disparity does remain
between UK and European markets’ energy prices. We look forward to
continuing to work with Minister Crabb to discuss potential impacts of the
Business Energy Package in creating a level playing field in energy pricing for
the UK manufacturing sector,” said Mr Sanz.
The measures included in the
Budget’s Business Energy Package are expected to save Welsh businesses up
to £240 million between 2016-17 and 2018-19.
Speaking ahead of the visit to
Cardiff Airport Minister Crabb said:
“Regional airports have a
strong role to play in meeting UK demand for air travel. Cardiff Airport has
seen passenger numbers rising and I am keen to discuss its potential to apply
for the UK-wide Regional Air Connectivity Fund to secure further growth. New
routes are key to the success of Cardiff Airport.”
Further
information
Budget
2014 announcements