It is appropriate to make this statement prior to the Commonwealth Games this summer because it gives me an opportunity to tell a success story and move away from the tales of gloom sometimes associated with sport in Wales. Unfortunately, the public perception of Welsh sport is often based solely on the performances of our national football and rugby teams.

So are we underperforming as a sporting nation? I do no think so. Last month, at the European indoor athletic championships, Wales won gold and silver medals. This performance was better than any other nation in Europe, on a per capita basis. Last year, seven Welsh golfers were ranked in the top 100 in Europe. This was more, per head of population, than any other nation. In amateur golf, Wales has won three international prizes in the last month including the European nations team championships. Perhaps we are already beginning to see evidence of the impact of securing the Ryder Cup.

At the Sydney Paralympic Games, Wales provided 20 per cent of the Great Britain team and won 25 per cent of the medals won by British athletes—this from 5 per cent of the population. Wales won the same number of medals, per head of population, as Australia—the most successful country in the world. Last year, Wales won the European netball championship. The best singles badminton players in Britain, both male and female, are Welsh, Richard Vaughan and Kelly Morgan, as is the current number one snooker player in the world, Mark Williams. Craig Bellamy recently won the Young Footballer of the Year award and Tanni Grey-Thompson’s achievement in winning the London marathon for the sixth time so soon after the birth of her daughter was phenomenal. Joe Calzaghe has recently retained the WBO super-middleweight title for the tenth time.

Wales is performing better than ever before on the international stage in a wide range of sports. These successes are down to the hard work of athletes and coaches alike but the Sports Council for Wales’s Elite Cymru and Coach Cymru schemes have certainly made a contribution. There can be no doubt that the establishment and development of the Elite Cymru programme has contributed to this success. This lottery-funded programme—which has provided support to over 620 schemes, involving some £2.8 million since 1995—identifies and supports talented competitors. Currently, there are 150 Elite Cymru members, who are given financial support—the amounts provided depend on the sport, the competition costs and the necessary equipment—sports medical back-up; sports science support; free access to training facilities, and lifestyle management training. Past and current members include Tanni Grey-Thompson, Iwan Thomas, Jamie Baulch and Olympic sailing silver medallist, Ian Barker.

Elite Cymru is focused on supporting of individuals, but in the last year or so, the programme has also helped to establish team sport academies in netball, hockey and cricket. It is anticipated that these will make a significant difference in the next few years.

Those identified for the Elite Cymru programme can progress onto the world class performance programme, through attending Great Britain squad sessions, and through being nominated in any development plans submitted by UK governing bodies of sport to UK Sport, which administers the programme. Wales currently has 34 representatives on the world class performance plan.

The Sports Council for Wales’s Coach Cymru scheme has been designed to complement the work of Elite Cymru, and aims to develop coaches to meet the needs of sport at regional and national level, provide funding for the training, support and employment of coaches, and quality coaching for national squads. Coach Cymru is lottery funded, and allows governing bodies to employ coaches at a national and regional level. The number of coaches employed by governing bodies equates to 30 full-time posts. Prior to the introduction of lottery funding, the governing bodies in Wales employed only around five coaches. The 30 or so professional coaches support the work of over 12,000 volunteer coaches, who operate in clubs the length and breadth of Wales.

I have talked about talent and coaching. However, we also need to consider facilities and competition, if, as I do, you believe that the formula for success in elite sport is: talented competitor plus gifted coach plus access to facilities plus appropriate competition equals success.

In general terms, Wales is well provided for in national facilities for training and competition, for example, the National Watersports Centre at Plas Menai, the Bala Canoe Centre and the Welsh Institute of Sport in Cardiff. The institute is now 30 years old and the Sports Council for Wales is working on proposals for modernising the facility.

Lottery funding has also helped to establish new facilities across Wales: for cricket at Sophia Gardens; for athletics at the University of Wales Institute Cardiff; for swimming at the University of Wales, Swansea; and for cycling in Newport. Other national and regional facilities are being planned.

Currently, many individuals are provided with appropriate competition at the highest level via the Elite Cymru programme. The main issue at present lies with team sports. In general terms, domestic competition is insufficiently high to prepare individuals for international competition. This is central to the ongoing debate in Welsh rugby, but it applies equally to other team sports such as football, netball and hockey. The Sports Council for Wales believes that Wales needs to be innovative and outward looking to solve these problems, and in many instances, the solution may lie in increased cross-border competition.

Today’s statement is about elite sport and coaching, but—make no mistake—support for elite sport and support to increase participation are not mutually exclusive. Increasing the number of people playing sport at grass roots level is not only good for the wellbeing of the nation; it also increases the pool of talent from which elite performers may be drawn. In turn, the success of elite performers creates role models to increase participation. I am committed to working with the Sports Council for Wales to develop sport in Wales at all levels.

Wales is performing better than ever across a wide range of sports. Elite Cymru and Coach Cymru are playing their part in making Wales fit for the future. To merely maintain current standards is not an option. Today’s gold medal winning performance may not be enough to reach a final tomorrow. Continued investment in our elite competitors is an absolute necessity. Currently, Wales punches above its weight in the sporting world, which brings us international profile. We must continue to support our elite athletes and coaches if we are to maintain Wales’s position on the world stage.

Weinidog, yr oedd yn galonogol i chi ein hatgoffa o lwyddiant Cymru mewn nifer o chwaraeon dros y flwyddyn ddiwethaf: golff, y gemau paralympaidd, pêl-rwyd, badminton ac ati. Cyfeiriasoch at gefnogaeth ar gyfer hyfforddwyr o safon a thimau cenedlaethol. A fyddwch felly yn cynnal trafodaethau gyda thîm pêl-fas Cymru i sicrhau ei fod yn derbyn ychydig o arian? Mae’n gwneud llawer o waith da mewn ardaloedd difreintiedig, yn sicrhau bod pobl ifanc yn chwarae pêl-fas yn hytrach na pheri problemau.

Rhoddwyd £2.8 miliwn i Elite Cymru dros saith mlynedd, sef £400,000 y flwyddyn ar gyfartaledd. Nid yw ffigurau’r gyllideb gennyf ar hyn o bryd. Beth yw’r radd gyfredol, ac a ydych yn bwriadu ychwanegu ati yn y dyfodol?

Bu ichi sôn am hyfforddi carfanau cenedlaethol. A fyddwch yn cynnal trafodaethau gydag Undeb Rygbi Cymru i weld a fydd am wneud cais am arian i wella ei hyfforddiant? Bu ichi hefyd sôn am yr her o gynnal gemau ar draws y ffin. Yr wyf yn gyfarwydd â’r ffaith bod undeb rygbi Lloegr wedi gwrthod creu cynghrair i Brydain ac Iwerddon, lle y gallai timau clybiau’r pedair gwlad chwarae yn erbyn ei gilydd yn rheolaidd. Hyderaf y byddai timau Cymru yn falch o allu chwarae fel yr oeddynt yn arfer ei wneud yn rheolaidd yn erbyn timau fel yr Harlequins.

Y broblem yn awr yw dod o hyd i’r arian. Yr wyf wedi derbyn cwynion gan nifer o bobl fod y dulliau o ddod o hyd i arian yn gymhleth. A oes modd o symleiddio’r broses o geisio am arian Elite Cymru a Coach Cymru?

I did not think that I would get a set of questions from Owen John without a reference to baseball. If the Welsh baseball team writes asking to see me, I would be pleased to talk to them.

You asked about Elite Cymru funding. This year, the Sports Council for Wales will provide £850,000 for the scheme, for approximately 150 sportsmen, sportswomen and athletes. The scheme has built up over time and is still developing.

On rugby, I am happy to talk to the Welsh Rugby Union if it wishes to see me again. It is important to clarify the level of support that rugby gets through various means. The sports council gives approximately £125,000 per year to the development of rugby, including women’s rugby and other aspects of the game. That is in addition to the £4.5 million of lottery funding that has gone to Welsh rugby clubs since the lottery began, which is a significant slice of the lottery money available for sport.

Cross-border competition must be developed with the sports council and the governing bodies concerned. The sports council is working hard on that, and you may wish to take it up with the council’s representatives when they next come to the Committee to discuss sports issues.

I am interested in your comments on the application process. Elite Cymru was the first national scheme of its kind. The UK World Class Performance Programme was developed from this. Elite Cymru has been held up as a model of excellence. If there are weaknesses in the application procedure, the sports council and I would be interested to have details of the perceived complexities. Although applying could be seen as difficult, as it involves filling in forms and so on, talented athletes are strongly encouraged and helped to make an application. As the scheme only consists of 150 people, it is possible to deal with athletes on an individual basis.

This positive statement shows that the Sports Council for Wales is doing an excellent job. The Elite Cymru scheme is the envy of the other home nations. The achievements that you listed in your statement show how successful it is. It is a shame that you did not mention crown green bowling, as Tom Middlehurst would have been interested in that. I am delighted that you mentioned sports other than male team sports.

You made the essential point that this is part of a jigsaw. We need high quality coaches. You mentioned that the sports council is working up proposals to modernise some of its facilities. We have an excellent watersports facility in north Wales, and we also have the mountain centre. However, I am concerned about the Welsh Institute of Sport in Cardiff. It has provided an amazing service over the years. However, it needs a little tender loving care. During the budget round, will you allocate money to upgrade that good facility?

Anyone who visits the institute of sport can tell its age. I have had discussions with the sports council over a long period of time, and I am strongly encouraging it to work up detailed proposals for the modernisation of the institute, which is now due. It is working on this and I expect the proposals to come to fruition in the not too distant future. At that point, it would become subject to the budget planning process. That is all I can say at the moment.

Although Wales is a small nation, we produce many stars. You were right to say that we are a successful nation. However, you should always mention David Evans when you are listing Welsh stars, because of his fantastic achievements in squash. He is a brilliant sportsman. We should always try to be even more successful than we are. Today’s statement is about creating the conditions for success, and we must continue to do that. However, we must be careful not to give the impression that we want to take over a sport. I disagreed with the First Minister’s comments on rugby union last Friday, and with your association with them. That was not necessary because of the content, but because of the opportunism and the impression that it gave that you were trying to take over the management of a sport. Do you agree that the next thing that will happen is that you will want to take over the management of football? Do you accept that you must be careful not to give the impression that you or the Government want to take over the management of a sport? That would be a recipe for disaster.

Do you recognise the fantastic achievement of Glanmor Griffiths in delivering the Millennium Stadium on time and within budget? It has done as much to put Wales on the sporting map of the world and to inspire interest among young people to become involved as anything that has happened in the last 10 years. More money will probably be lost in preparing to build the national stadium in England than was spent on building our fantastic stadium in Cardiff.

I support the objectives of the Elite Cymru and Coach Cymru schemes; I cannot do otherwise. I hope that you and the First Minister will agree that producing Welsh national coaches is also important, because almost as much profile is given to coaches as to players. Finally, do you agree that we must focus more in both schemes on women’s participation? This will build on the terrific performances of the netball team, Tanni Grey-Thompson, Kelly Morgan, who you mentioned, and Nicole Cooke, the cyclist, who you did not mention.

You obviously did not read the same reports and interviews as I did. I was there when the First Minister was interviewed, and I know what was said. We made it clear that there was no question of wishing to take over a sport, although we have a perfectly legitimate interest in it, and as Minister for Culture, Sport and the Welsh Language, rugby development is within my remit. As I said earlier, we give significant amounts of money to rugby development every year, and a large slice—£4.5 million—of lottery funding has gone to rugby clubs in Wales. That is a great deal of money, and is in addition to the £46 million of Millennium Commission money that went to the Millennium Stadium. These are significant amounts of money that have been raised from the public by various means, and therefore, there is a legitimate public interest.

I believe that it would have been startling if we had not expressed an interest in the current problems. I set up the football forum, and no-one criticised that as not being a legitimate way of attempting to deal with some of the issues facing football in Wales. We have a legitimate right and interest in sport that affects our national morale, as the First Minister said on Friday. Whether I wanted to be involved or not, the question of funding for the Millennium Stadium, which is intimately linked with the Welsh Rugby Union, has been put to me on numerous occasions in public. Therefore, it is an issue with which we are associated.

I agree with you on the importance of developing the participation of women in sport. I am delighted that some of the money the Sports Council for Wales gives to rugby is for the development of women’s rugby, and the football forum has a place for a representative of women’s football. I am keen to develop, in particular, those sports that are traditionally associated with women, as well as those in which women’s participation is relatively new.

Elite Cymru is a success story, and I congratulate you, Minister, and all those involved in it. It has provided support for such athletes as Tanni Grey-Thompson and Jamie Baulch, and is now supporting the next generation of potentially outstanding Welsh athletes.

Athletics is a success story for Wales, with figures such as Colin Jackson, Christian Malcolm, and Britain’s finest female sprinter, Katharine Merry, choosing to live and train in Wales. Elite Cymru is playing a major role in securing the future of Welsh athletics.

We must also secure the future of Welsh rugby. There is much discussion on this at present, and I will add my contribution. The structure of the Welsh Rugby Union must be reformed to enable the national side to flourish again. The English Rugby Football Union has undertaken a restructuring process, and I believe that it was Will Carling who came up with a memorable expression that was used to energise some of the gentlemen there.

What was the expression?

It escapes me for the moment—

Sound fellows?

Yes, I believe that it was ‘sound fellows’.

Success is not always about winning. It is about providing access to all sport, and encouraging participation. That the fundamental point of Elite Cymru.

I have two questions on football. Will you ensure that there is an increasing commitment to funding our young disabled people to form a Welsh national team? I believe that England is ahead of us in that. Secondly, there is a problem with the UEFA rule that demands that all League of Wales teams establish a football academy for players up to the age of 16. In two years’ time, the age limit will increase to 19. This will put extra pressure on resources, pitches, training grounds and the provision of coaches. Will the Coach Cymru scheme enable League of Wales teams to get support to meet the increase in demand?

I am proud of the fact that one of the areas of sport in which we participate and are particularly successfully is disability sport. Wales’s record in disability sport is unparalleled and it should be a great source of pride to us. I knew that if I mentioned individuals, other Members would refer to other sports and individuals, as it is difficult to list everyone. In relation to the football forum, there is a representative with responsibility for football for people with disabilities. This is therefore an issue that is under discussion as part of the forum. Your question on UEFA, football academies and the role of Coach Cymru is a technical one, and it is best, therefore, if I write to you setting out the full details in order to ensure clarity.

Minister, you said that rugby falls within your remit. Do you mean both codes of rugby, because you have not mentioned rugby league? Last weekend, the successful rugby league Challenge Cup final was held in Edinburgh. It brought £10 million to the city. The event will be held in Cardiff next year. Many rugby league fans live in north Wales. Colwyn Bay rugby league—

I cannot be specific about every sport, but I am aware that rugby league is a great interest in north Wales. I often tell people, as I did in an interview this morning, that more people in Wales play and watch football than there are keen rugby fans and so we associate ourselves specifically with it.

Two of my constituents in Colwyn Bay have been invited to represent Wales in netball. Training for many sports takes place in Cardiff, but there is no assistance with travel expenses and subsistence. Will you take up this issue with the Sports Council for Wales as a matter of principle?

Assistance is available for travelling expenses. There was money in last year’s budget to enable people to represent Wales in various sports. It was intended specifically for people who need assistance with travelling expenses.

Do you agree that, in order to increase the participation of women in sport, it is important that more women are involved in the management, coaching and officiating of sports, particularly at the higher level?

I agree. One of the ways of ensuring that there is equality is to secure a good representation of women on the sports council, which we have.

Will you look at ways of supporting the contribution made by comprehensive schools, such as Hartridge Comprehensive School in my constituency, which has soccer and rugby schools of excellence, and is seeking to expand the provision to include other sports, such as golf? Will you confirm that you will not abdicate your responsibility regarding the much-needed reform of the Welsh Rugby Union and, in conjunction with the First Minister—

I am interested in school-based developments. At the weekend, while people were watching Cardiff City play football, and yet more were watching the Llanelli and Pontypridd rugby matches, I was at the Gwent under-14 rugby sevens competition in Pontypool park, watching the development of the young rugby players of the future.

A major public debate is taking place on energy, following publication of the Cabinet Office report ‘Energy 2050’. The Assembly Government has the opportunity to take part in that review and I encourage all in Wales to take the opportunity to address the big issues it raises. The Economic Development Committee has already embarked on this process with the launch of its consultation report on renewable energy last week, and I pay tribute to the Committee for that important initiative.

At this stage, I will put on record my initial reactions to the UK-wide view and identify some of the key issues and challenges for Wales, on which we need to reflect further. Dealing with human-induced global warming will be one of the world’s biggest challenges this century. Reducing the emission of greenhouse gases has a strong economic, humanitarian and moral imperative and must be the main focus of our energy policy. Action must be world-wide, but each country must play its part. Wales’s geography, climate and manufacturing base, combined with the Assembly’s sustainable development duty, provides us with the opportunity to play a full part. Our economic development strategy, ‘A Winning Wales’, shows the way forward against the background of our plan for Wales and its showcase global clean energy ambitions.

Looking at the way forward, I will first consider the opportunities presented by energy efficiency. If we are to achieve significant targets such as those suggested by ‘Energy 2050’, that is, a 20 per cent improvement in energy efficiency by 2010, and a further 20 per cent improvement by 2020, we need a step change in the initiatives aimed at increasing awareness of the importance of energy efficiency in all sectors of our society. There are also long-term opportunities for the large-scale commercial development of a wide range of domestic level technologies, such as micro-generation, combined heat and power, and photovoltaic solar energy systems, which will enable us to replace our central heating boilers and produce electricity in our own homes.

There are, however, complicated institutional, commercial, cultural and technological issues involved. As a first step, we need to consider urgently the value of establishing, perhaps with structural funds support, a ‘low carbon technology’ internet portal, which will help act as a focal point for debate in Wales. In addition, we will continue to work closely with local authorities and other partners in our efforts to improve the energy efficiency of our housing stock. That can be done through programmes such as the home energy efficiency scheme and the achievement of the housing quality standard for social housing by 2012.

Secondly, we need to develop a clear framework for taking sensible decisions on further investment in renewable energy, recognising that balances need to be struck and that difficult decisions must be taken once we are confident that the framework is a robust one. Given global warming, we cannot avoid our sustainable development duties. I am conscious that, of all the forms of renewable energy, wind power is commercially viable but can have a visual impact on our high quality landscape. Currently we have around 350 wind turbines and 12 major windfarms. We are therefore already punching well above our weight, with about 40 per cent of UK installed capacity located in Wales.

As I said when we debated wind energy in the short debate in February, we must proceed sensitively with on-shore developments in the least problematic locations, preferably with strong community support. I would also like the possibility of repowering our existing windfarms with the latest, largest turbines to be extensively explored; we shall shortly be commissioning work to consider this further. On off-shore wind installations, we welcome the progress that is being made on proposals in Wales. We must work with the Department of Trade and Industry to provide a favourable development framework.

Biomass is, potentially, of particular interest to Wales. However, the way forward is not clear agriculturally, technologically or commercially. That is why my colleague Carwyn Jones, the Minister for Rural Affairs and Assembly Business, has set up the woodland development and biomass strategy group. The group is due to report in early summer and we look forward to it identifying beneficial and feasible ways of developing this sector for the benefit of Welsh rural economies.

Our extensive coastline and estuaries have a wealth of potential for tidal stream, tidal barrage and possibly wave power technologies to be developed, though at a price. If the global need to bring these schemes on-stream develops, then Wales can provide the locations for them. That includes, in theory, the River Severn, which has the potential to produce up to 8,000 MW of electricity, were a major barrage thought desirable. However, we recognise that a great deal of in-depth reflection and consideration of environmental and other major ramifications are associated with such a significant project. As you are aware, we have held discussions with the Department of Trade and Industry on the possibility of transferring the legal power to consent large power stations of above 50 MW to the Assembly. These discussions are continuing, but it is too early to give any indication of progress.

Thirdly, we need to give serious weight to the views of our communities and to community solutions for generating clean energy on a human scale. Our new planning policies and associated guidance reflect the importance of minimising global warming and other environmental consequences. However, it must also enable the generation of clean energy in a way that is acceptable to the communities where the plants are located.

Sue Essex is conscious of the importance of this issue. She attaches particular importance to developing an integrated policy approach and gaining the benefits from better relationships between developers, local authorities, community groups and our economic development and environmental agencies. The redrafting group for the technical guidance note on renewable energies—TAN8—is already demonstrating the greater willingness of these parties to engage in a stronger policy dialogue.

More needs to be done under our structural funds programmes to ensure that strong clean energy projects get the support that they deserve. I also look forward to the new experimental European innovative actions structural fund programme in Wales, providing considerable insight into new ways forward.

Finally, while the energy policy will include a focus on efficiency improvements, in stimulating more combined heat and power systems and developing the renewables option, we must not forget that now and for some considerable time, our main electricity needs will be supplied from gas, coal and nuclear power stations. At present renewable sources only supply around 2.5 per cent of the electricity used in Wales. Even if, for example, we had a further 1000 MW of intermittent renewables capacity in Wales, that is only equivalent to replacing a 300 or 400 MW conventional power station that operates continuously.

We have an installed capacity of around 1500 MW of coal, 1000 MW of nuclear, 2500 MW of gas plants as well as major pumped storage stations capable of 2000 MW of rapid power production at Dinorwic and Ffestiniog. All these operations play an important part in our economy, as do the two oil refineries in Milford Haven in respect of conventional transport fuels. Therefore, we must ensure that our short and medium-term policies reflect the importance of this level of conventional baseload provision.

We consume around 50 terawatt hours per year of gas. We have initiatives, such as Baglan Energy Park, which is beginning to demonstrate the positive interaction between the world’s highest efficiency gas power station and a dynamic industrial and business park. A gas transmission infrastructure covering the whole of Wales is increasing in importance. I want more attention to be paid to the possibilities of using Objective 1 funding to extend the current network. At the UK level, there is a growing need for alternative means of importing gas other than by pipeline. In particular, liquefied natural gas terminals seem to have good prospects. In Milford Haven, we have one of the UK’s best sites for such a project.

Security of supply is essential, and in the medium term, we could be at risk from an over-dependence on gas. Coal is still an important part of the south Wales economy. However, if it is to play a significant part in our energy future, we must move to cleaner ways of using this resource. There would be global advantages to establishing clean coal technologies in Wales.

In the short term, coal-burning power stations, such as Aberthaw, should consider investing in emissions-reducing technologies, such as flue gas desulphurisation, and super-critical steam turbine equipment. These technologies would also provide improved prospects for our coal extraction industry, including Tower Colliery, which is one of our entrepreneurial flagships.

In the longer term, our history reminds us that we sit on enormous reserves of coal, and trapped within that resource, copious quantities of methane. Much more should be done to exploit disused coalmine methane, and I expect that in the longer term, underground coal seam gasification could be a possibility. All coal projects, whether operating current stations, building new gasification stations or exploiting in-situ reserves, need to be taken forward in a way that takes account of the long-term possibility of underground carbon dioxide sequestration. However, much more research must be undertaken to properly assess the long-term consequences of sequestration.

On nuclear energy, ‘Energy 2050’ suggests that the option for expanding electricity production from these sources should be kept open in case the renewables do not live up to their potential. However, the report does not recommend any major new initiatives at this time other than to start an informed public debate on these important issues, which includes the important and crucial, but difficult, issue of handling radioactive waste materials and maintaining our skills base. The Assembly must participate fully in this debate, which the Economic Development Committee has already initiated, starting with the consultation paper on radioactive waste management.

On transport, I echo the report’s call for stepped changes on vehicle efficiency with targets for 20 per cent improvement by 2010 and a further 20 per cent the following decade. The transport sector is likely to remain oil-based until at least 2020, though prospective advances in vehicle technology offer the possibility of significant reductions in fuel use. The potential long-term requirement for significant reductions in carbon dioxide emissions by the transport sector, combined with the possibility that oil will become scarcer, raises the need to develop alternative fuels. The UK Government’s consultation paper, ‘Powering Future Vehicles’, sets out the issues well. We are contributing directly to this debate to ensure that Welsh interests are reflected. Our transport and economic development policies will need to take account of the importance of transport fuel switching. In the medium to long term, there will be good prospects for hybrid and fuel cell vehicles, although the costs are currently high. In Wales, we want to play our part by supporting local demonstration and development projects as we are already doing with initiatives such as PowerShift in Gwynedd with liquefied petroleum gas stations.

In conclusion, the importance of energy to our way of life cannot be overstated. My Cabinet colleagues and I are determined that the Assembly Government and its agencies will play their full part in rising to the challenge of a clean energy future by finding innovative means to promote energy efficiency or working in partnership with all parties; maximising acceptable on and off-shore windfarm developments; fully exploiting biomass opportunities for the benefit of our rural economies; ensuring that we become a world leader in marine and fuel cell energy technologies with long-term potential; and seizing mainstream gas and coal opportunities. I urge us all to engage constructively in the massive consultation that will be underway shortly, and ensure that Wales’s voice is heard. I am certain that the Economic Development Committee’s review of energy policy will help my Cabinet colleagues and me to contribute effectively to this debate.

I agree with your emphasis on the importance of energy, but your statement raises several questions. First, to improve energy efficiency, what plans does the Government have to provide a greatly increased budget for research and development, sufficient extra funding for local authorities and housing associations to boost the energy efficiency scheme, and to establish Building Research Establishment environmental assessment method excellence standards for all new public buildings, including schools and hospitals?

Secondly, in planning for renewable energy, the UK target is 10 per cent of electricity to come from renewable resources by 2010. Do you accept that, to meet this UK target, Wales must produce more than 10 per cent of our electricity consumption through renewable energy—perhaps 10 per cent of our total production—to compensate for areas such as London and Birmingham? Is the Government of Wales negotiating with the UK to ensure that, were we to produce a larger percentage of renewable energy to meet the UK target, we would receive a corresponding economic benefit, especially in rural areas such as Pembrokeshire, where today’s news on job losses is so dreadful? Will you also ensure that, were we to take a bigger share, we would acquire total planning control over large power stations, including nuclear power stations?

Thirdly, do you accept that, at present, the main obstacle to renewable energy, especially wind and biomass, is the number of projects called in by the Government that still await a decision? Yet another delay in publishing the revised technical advice note 8 is causing much frustration for our vibrant renewable energy industry, as reflected in the discussions of the National Assembly sustainable energy group, which is one of the most successful of the Assembly’s all-party groups.

Finally, you refer to Objective 1 funding. Will you explain why, for almost two years, the Government of Wales rejected Plaid Cymru’s proposal for an energy partnership to implement a regional plan so that, in Objective 1’s third year, the large sums of money available for clean energy and energy infrastructure are mostly uncommitted? These delays in renewable energy policy implementation belie the welcome emphasis in your statement. Will you promise that, in my last year as an AM, I will see real progress in the cause that first brought me here?

We probably share the same commitments to a much stronger emphasis on the use of renewable energy sources. It is not only environmentally beneficial, but also makes economic sense, particularly where we have the expertise to develop those technologies.

On Objective 1, that is a new issue for me as a Minister and I will need to consider it in more detail and examine the background to this matter.

On your third point you mentioned that many proposals have been called in. I said in my statement that considerations for alternative sources of energy production must be constantly balanced with community use. We have seen that most contentiously in the case of windfarms. As I said in my statement, we must always keep a balanced view, particularly with regard to our commitment to sustainable development and energy. Today, I am laying down some broad principles. However, we must consider the Economic Development Committee’s consultation, which will inform our own policy as well helping to inform our response to the Performance and Innovation Unit’s report. Therefore, at present, the statement draws no firm conclusions; it just lays down broad principles. However, we must balance many considerations.

On hitting the target of 10 per cent by 2010, that will mean greater use of renewable energy in Wales. In terms of the relationship with the UK Government, we must work with it in the meantime, particularly on that broad policy agenda. On the more specific questions about increasing research and development into energy efficiency, that is something that I will look at with the Minister for Finance, Local Government and Communities. We want to increase the number of buildings in Wales that comply with BREEAM standards. The innovative building at Baglan Energy Park is a great example of how to incorporate high quality building standards into buildings that have low energy consumption and high-energy conservation. However, many of your points, Phil, will come out of the Economic Development Committee’s consultation, which will inform our policy. It is a consultation and we are just establishing broad principles.

Thank you for your statement. Do you agree that, to maximise our energy efficiency potential, we must capture the hearts and minds of energy consumers in Wales, particularly business? Will you join with me in congratulating Arena Network in Treforest, which I visited this morning in my capacity as chair of the Objective 1 Programme Monitoring Committee? Arena Network has secured £1.5 million of Objective 1 funding for its environmental, innovation and competitiveness project, which will be used to support 300 businesses to work towards incrementally improving their environmental performance. It was good to hear how much progress is being made in getting businesses on board. This is mainly due to the Assembly’s collaborative work. We have collaborated with the WDA, Groundwork Trust, and a range of other organisations.

I join you in congratulating Arena Network on its achievements. When businesses consider energy conservation, they always look is reduce their costs. Energy for many companies is a major element of their cost profile. Therefore, it is in their own interests to reduce their use of energy. As you have pointed out, it is a wide issue, but one where we need to engage with the private sector, the Confederation of British Industry, employers’ organisations, and the construction industry—particularly when constructing new buildings. We also need to look at our own public bodies—the WDA and the other quangos and ASPBs—and how we can work together to reduce energy consumption and improve energy efficiency. The more we can do to highlight the achievements of organisations such as Arena Network, the better. We need to highlight those as well as good practice, and try to generalise that wherever we can.

I am perplexed by the purpose of today’s statement on energy policy. The Economic Development Committee, as the Minister rightly highlights in his statement, is conducting an energy policy review. We are about to embark on the second stage of that energy review. I would have thought that the most constructive way that the Minister could have played a part, rather than coming in the full glare of the television cameras to make a statement, would have been in that Committee, by contributing positively and constructively and seeking to influence the Committee’s policy-making role. Would it not have been more sensible for the Minister to make a statement after the Committee had completed its consultation and made its general recommendations? That would have recognised the Committee’s policy-making role, rather than sidelining the Economic Development Committee’s work, as this does. Will the Minister respond to that point?

This statement is premature. There is no action plan in it. It mentions a range of issues. It lists them threefold, then mentions discussions and so on with other Ministers and Cabinet colleagues. That is welcome and needs to happen. However, there is little in here to do with an action plan, and, particularly bearing in mind that the portfolio is economic development, the focus and support that there should be with business efficiency, as well as domestic efficiency, which Phil Williams has already highlighted. There is little direction in that.

On the positive side, I welcome Christine Chapman’s comments on Arena Network. That is great—positive news is being presented. However, we discussed this sort of issue in the Economic Development Committee even before the single programming document was completed. Manweb came to give evidence along those lines. Why has it taken so long to get this initiative up and running? Why is it so far into the Objective 1 programme? It is better late than never, but is a shame that the influence on that area of policy will be limited before the next Assembly elections. We will let businesses and the electorate decide on that.

There is little in here about the renewable energy obligation. That is a real problem for companies that have little choice in where they receive their energy from. Will the Minister undertake to discuss with the Department of Trade and Industry and the Treasury the impact of the renewable energy obligation? Energy generators may well have to pass that on to those companies that do not have a wide range of choice as to from where they source their energy because of geographic difficulties or difficulties in terms of electricity generators. They might well be limited, by statute or otherwise, as to how they can generate electricity and in terms of diversifying to more renewable means of energy production.

A Severn barrage was briefly mentioned. We look forward to that debate because of the huge negative environmental impact that it would have, as well as the enormous costs of such an initiative. I remind the Minister and the Assembly that Associated British Ports visited the Economic Development Committee a short while ago. As soon as a Severn barrage was mentioned, it was aghast. In terms of its plans to expand ports, to underline their role and for the Minister to recognise the role of ports in terms of the economic development regeneration, that was a surprise. ABP was surprised by the announcement of such a consideration and I ask the Minister to reflect on that.

Thank you, Alun, for your warm welcome of my statement. I sometimes feel that I am damned if I do and damned if I do not. The statement is responding to ‘Energy 2050’ by the Cabinet Office Performance and Innovation Unit. I did not commit the Government or the Assembly to any action. I mentioned the Economic Development Committee on several occasions in my statement and have mentioned it again in many of my responses. The statement was not intended to pre-empt the Economic Development Committee’s consultation or deliberation on the report. I look forward with interest to its conclusions. My statement was given largely to establish our initial response to the PIU report without pre-empting the Economic Development Committee’s or the Government’s response. It was about establishing broad principles. The PIU report also covers transport, which the Economic Development Committee was not going to consider initially, although there may have been a movement towards that at the last Economic Development Committee meeting on this issue.

Most Assembly Members have probably received representations from companies in their constituencies on the renewables energy obligation and will have made appropriate representations, as the Assembly Government has, to the Department of Trade and Industry where they felt that certain issues should be discussed by central Government. I also noticed ABP’s surprise at hearing about the proposals for a Severn barrage. However, at this stage, the issue needs to be discussed. The capital costs alone for constructing such a major development would be significant. It would also have an environmental impact and an impact on many towns, ports, and companies such as ABP. We are considering the potential of a barrage at present. It is a consultation and we should deal with it in that context.

The issue of global warming is coming centre stage. We hope that the missionary work undertaken by Mick Bates and Phil Williams will come to fruition and that the people who have taken this issue forward over time, and were often viewed as enthusiasts without purpose, are now being seen as central to the purpose.

I raise several questions. First, is the timescale for the PIU’s response. Your statement is aimed at the response to the Cabinet paper. Will you indicate whether the Assembly’s response to the ongoing review will be included in the timescale at some point in order to take forward some of the issues that have already been raised by colleagues in the Chamber?

You have not included the issue of waste to energy in your statement. Will you give us any information that you have about that? This issue also presents a challenge to the public sector. It was suggested that public bodies should report on their use of renewables in their annual reports so that we can see whether they are assisting the progress of the use of renewable energy.

An important issue from an economic development perspective is the use of Government mechanisms to support industries and innovators in Wales who can contribute to new technologies. Converting the good ideas that are in place into viable, marketable and sustainable businesses in the full context is a large problem that we face with regard to renewable energy. Will you comment on the way in which you would support innovation across the board?

Colleagues have raised the question of whether this is only an issue for the Economic Development Committee. If you consider local government, building regulations, environmental health departments and the planning sector, it is clear that this issue, including training and awareness, encompasses a great deal of our involvement with public life in Wales. How do you propose to take this forward with Cabinet colleagues to ensure that these issues are picked up and treated across the board by all Cabinet Ministers?

Finally, the Severn barrage issue has been on the agenda for several years. I was pleased to note that Phil said in his contribution to the Economic Development Committee’s debate, that this issue has survived his business in this area, so I feel like a youngster in the matter. However, this issue has been on people’s agendas since the early 1970s at least. We have not yet got to grips with how we take this major issue forward. Three-quarters of the impact will be in England. Will you tell us what discussion you have had with the Government in England to take this debate forward so that we can have that discussion?

The technology has moved on over those decades and the issue of simply using tidal energy on the surface has now perhaps been replaced by using tidal energy on the seabed. Will you outline your views on this matter and tell us whether you intend to take this issue forward? Will you indicate whether you are prepared to draw together the interested parties around the Severn estuary in the south-west of England and in the west Midlands, which covers Gloucestershire, as well as the National Assembly, to see if there is some consensus on how we take this proposal forward? In the words of Sir John Bourne, tidal power could satisfy a great deal of our need to reduce carbon dioxide emissions, but it may not be in the way that was originally proposal suggested.

There are few policy issues that fall entirely within one portfolio. Health is a classic example, where health relates to people’s prosperity or poverty levels and housing, as well as a range of other issues. Energy is similar in that regard. I have responsibility for energy policy within the Cabinet, but there are major planning implications, for which Sue Essex is responsible. On your question about how we identify business opportunities, Sue Essex and I have discussed this recently and have been considering where we can maximise business opportunities for companies in Wales. We have also been discussing how we can make the most of people’s ideas and innovation, but also support and nurture existing business in this area. Those discussions are at an early stage, but we are both committed to this issue. Wales has a unique selling point in terms of economic development. We have huge areas of expertise, which we have already seen in submissions for the Economic Development Committee review. In terms of the timescale of the response to the PIU report, we hope that the Economic Development Committee’s deliberations will help inform our response to the PIU report. That would be helpful.

You are correct that there is no reference to waste in the statement. However, we are limited to 1,000 words per statement. I am sure that the Presiding Officer is pleased that we try to stick to that. There are many issues that were not included in my statement because I wanted to limit it to broad principles and raise questions in areas that needed to be addressed. You made the point about ASPBs and how we can get the public sector in general to sign up to this huge agenda and crucial priorities. We will be discussing with ASPBs how to take that forward in the most effective way. This is an initial statement in response to the Performance and Innovation Unit’s report. A more detailed response will follow the Economic Development Committee’s deliberations, and further developments in this area.

I feel that I must give something of a welcome to this because the Minister has given us a statement, which, for once, does not include an irrelevant diatribe about the economic policies of the Conservative Government in the 1980s.

Why is there nothing here on solar power, which has proved to be much more efficient than wind power? Why is there more discussion of a Severn barrage, which will fuel the concerns of many of businesses in the River Severn area? Finally, why is this a concern for the Economic Development Committee? Energy is clearly an environmental matter, and should therefore be dealt with by the Environment, Planning and Transport Committee.

If David Davies wants me to indulge in a diatribe against the former Conservative Government, I am more than happy to do so.

It is a matter for each Committee to decide on its agenda. I welcome the Economic Development Committee’s decision to consider this important issue, and I hope to play a full part in its final report. As I was on Alun Cairns’s question, I am bewildered by the thrust of David’s approach. It is a matter for the Committee to decide what it studies.

Issues such as converting sunlight into electricity need to be considered, as has been done by the Economic Development Committee. There are clearly problems in using solar power as a reliable source of energy in the UK, compared with Mediterranean countries, but, like other renewable sources, it has its part to play.

A allwch gadarnhau bod eich Llywodraeth yn gofyn i’r Adran Masnach a Diwydiant drosglwyddo’r holl bwerau mewn perthynas â gorsafoedd ynni dros 50 MW i’r Cynulliad Cenedlaethol, ac y byddai hynny’n cynnwys nid yn unig ffermydd gwynt ond gorsafoedd niwclear hefyd?

As I indicated to Nick Bourne in his short debate, we have been in discussions with the Government, and with the DTI in particular, about the transfer of powers for planning consent for power stations of over 50 MW. It is early days, and we are still in the process of negotiating, and, as I said in my statement, it would be premature to comment any further on those discussions and negotiations.