BBC On The Record - Broadcast: 19.11.00

Interview: JOHN PRESCOTT, Deputy Prime Minister.

Explains the Government's strategy to reduce carbon dioxide and other emissions in response to the Kyoto Summit, and emphasises the key role of railways and other public transport.



JOHN HUMPHRYS: Most scientists seem to agree that the world is getting warmer and that it's our fault. We use too much energy and pump too much carbon dioxide and other chemicals into the atmosphere. They've been meeting in Holland this past week for another summit on global warming and the political leaders are joining them now for another week of talks. The scientists will tell them that the situation is even worse than we'd been led to believe and that the earth is likely to get a lot hotter over the next fifty years than they'd thought. Britain is the good guy in all of this. We were set a target in Kyoto two years ago for cuts in CO2 emissions but the government says we might even double that. But we've had it easy so far. We've switched from burning coal to generate electricity to burning gas and we can only do that once. And we still have nuclear power stations generating electricity, and they are going. The other big factor in all this of course is transport. We need to use our cars less and there's no sign of that happening. On the contrary. But at least WE are trying. Unlike the world's biggest polluter, the United States. The Deputy Prime Minister John Prescott is responsible for all this and he's in the Hague now. Good afternoon Mr Prescott. JOHN PRESCOTT: Good afternoon John. HUMPHRYS: We'll come back to Britain later in this chat if we may, but let's look at the world picture first, and that's fairly bleak isn't it, because without America we can't make the progress that we need. America must reduce its emissions and that it seems isn't going to happen. PRESCOTT: Well John I think everybody's got a veto here. You can be a developing country and you've got certain things that you want from it. Europe has a clearly different agenda to the American and what we call the umbrella group, so everybody could veto it, and that's precisely what was at Kyoto and I remember you and I being on the Today programme talking about whether the Americans would move from a zero cut, and you said no, they won't. Well we got seven per cent on their nineteen-ninety levels and that was an improvement and that's why we clinched the deal. So at this stage we are facing everybody putting their negotiation positions forward and the politicians now have to find an agreement. HUMPHRYS: Yes. And that was the principle, but this is now the practice isn't it, and what we want is for America to make fifty per cent of their cuts at home, actually to cut pollution as opposed to doing it in every other clever way. And there's no chance of that is there? PRESCOTT: Well you've just put a condition on that. I mean the Americans are not very happy at setting ceilings. What they say is that if we can achieve the targets that we've set for ourselves by other means, which are being discussed here, than simply domestic policies, that's not very acceptable to Europe of course, and that's one of the arguments that will take place and we'll have to find agreements about it. But you know America has already been softening its position from the last time at Kyoto. I'll wait and see what their final negotiation position is before I come to a conclusion. I do think you can get an agreement and I've started my walking and talking that I had at Kyoto. I've talked to the chairman of conference, I've talked to the Americans and I'm talking to other countries, and hopefully, by mid-week, we'll get an idea where the real difficulties lie and that we can concentrate our minds on. HUMPHRYS: And the difficulties with those other means as you sort of suggest there is that what many people believe that means is exploiting loopholes in essence. I mean for instance they're going to buy permits from places like Russia and the Ukraine which will in effect allow them to pollute, and many people say, people like Greenpeace say that's a sort of cheat's charter. PRESCOTT: Well, these are the arguments going on at the present time, but at Kyoto we were very clear. We said the use of forests, which are called sinks here, carbon sinks, would be part of it and they would be the new trees. Since then during the last two years since they've been negotiating the bits and pieces that make up these agreements they've taken it further, and said well, all trees should be involved in it, and there is an estimate made and a number of the NGO's, that's the green groups are saying, if you look at the forests America got and you take everything into account they wouldn't have to do anything in their own domestic economy, like something on cars or fuel. Now that's an argument, the Americans are strong about it, so is Europe, but these are negotiated positions at the moment and there are some signs that some give is coming in this situation. HUMPHRYS: But that's an argument that you clearly from what you're saying, are not prepared to accept. I mean they've got to make cuts haven't they? PRESCOTT: Well, I would say my main judge in this John is to say I look in the agreement for it to have any credibility whatsoever, it must reduce the greenhouse gases below the levels of nineteen-ninety by twenty-ten. Now if any agreement doesn't do that it will lose all forms of environmental credibility. Now I know the greens say sometimes to me: But you know the advance isn't much John, you're not talking - five per cent's very small compared to the kind of the scale of the problem. What I would say in answer, as long as we've got a programme legally binding that will reduce it, at least we've made the start, we've changed the direction, we're going globally to deal with the global solution which has legal implications for all the developed countries signed up to it. HUMPHRYS: And that would mean that America would have to make real cuts as opposed to simply saying you know, let's exploit these loopholes? PRESCOTT: Well, I think that's what we've always said to the Americans. You know when we signed at Kyoto we made it clear that Europe was always feeling strongly that you have to take certain domestic actions and you can't solve it by these kind of mechanisms on their own. And that is the nature of the disputes at this stage between us which negotiations have to settle. You do remember John that they weren't going to make any change in their gas cuts when we started at Kyoto, and they went to a seven per cent which means effectively something like a twenty-five to thirty per cent cut in their gases in ten years' time. HUMPHRYS: Yes. The trouble with that though is the political situation has changed hasn't it. It looks as though we're going to have a President Bush. It's going to be more difficult with him isn't it? PRESCOTT: That's an interesting point John. I mean you can only have one President at one time really can't you. HUMPHRYS: At the moment.... Quite! PRESCOTT: No, no, but there's only one President at the moment, and that's President Clinton, and I just wonder - you know it was President Reagan that took American into better relations with China when you wouldn't have thought that, and Nader has made an effect in those elections that the green groups, and I disagree with what the green groups have done there, but in Florida it's shown that it was a balance that it could have been for Gore and not for Bush. Now that might change the political terrain whoever wins this presidency, but they are the difficulties we have to take into account and they are only one small part of them, there are many. HUMPHRYS: Well that's certainly true. Let's go to the United Kingdom now. We've done well, so far obviously better than pretty well anybody else, but.... PRESCOTT: ...we're leading the world... HUMPHRYS: Absolutely, but it is now going to get tougher isn't it. From here on in, it gets really tough? PRESCOTT: Well, in the sense that we have now mapped out our programme on climate change. We launched it on Friday and a lot of attention was given to it, and indeed I think the floods have concentrated people's minds on the connection between climate change and how it can affect you at home. Now we set that programme out and the commission have reviewed all that nations' contributions in the European community and we come out the best with Germany. Now I'm very proud of that, it shows that we've set a programme, we will achieve more than was actually set up under the Kyoto agreements and we've set out where they can come, and I think people have agreed it's a realistic programme and I'm proud that we're leading the way in that. It gives me a stronger negotiating hand over here to say, Listen, we led the way when we came at Kyoto. We continue to lead the way and it's not simply because the coal industry was closed down. We've made very practical promises which industry now recognise. More efficient industry is better for them, warmer houses are better for people to work in, more efficient cars, less polluting is better for everyone and even the industry accepts that so there is a major change coming about, so technology, style of living, all these will contribute to achieving our targets. HUMPHRYS: But it is going to get tougher from now on isn't it. There is more to do and it is going to get more difficult now, because we've made the great savings as it were, converting coal-fired power stations into gas. We can't keep doing that, we can only do that once, and it is going to get more difficult now isn't it? PRESCOTT: Yes, but certainly the decimation of the coal industry by the previous administration allowed you to claim you'd done something on that side, and achieved our targets that we set are real. But all the other areas now, efficiency gains, the climate change levy, all these are major contributing parts to which we have agreement with industries and sectors now to implement it, and I'm looking forward to doing that. HUMPHRYS: But the reason I say it's going to get more difficult in future, is we are going to face some sort of energy gap aren't we. By two-thousand and twenty our nuclear energy is going to drop from what it is at the moment about a quarter of our total energy supplies, electricity supplies, down to three per cent. We have to fill that gap. It's going to be terribly difficult to do that isn't it? PRESCOTT: Oh yes, there are many alternatives we can use, one of the things about Britain of course, it has had tremendous energy alternatives but it's not easy. Of course none of these programmes are easy but neither is it easy living with the fact of floods and the kind of climate change problems that are occurring in Britain as we've seen quite recently and I think that's educated quite a few of our public to say there is something wrong here, that we have to make changes. And I've got to argue those. For example, if I say why is it certain towns didn't build their flood defences when the money was there and those that did were protected. I think you have to convince the electorate and I have to argue the case, trying to argue to use public transport more than your private car I'm bound to say has not been an easy argument John as you know, on your Today programme. But I argue it and we are going in the right direction and we are leading the world in making a change. Yes, it's a global problem and it needs a global solution, that's why I'm here in the Hague. But it also needs a transport solution, that's why I've given a hundred and eighty billion pounds to the whole business of transport, far more than has ever been given to the transport industry before. HUMPHRYS: Come to transport in a second but as far as that energy gap that I was talking about is concerned, we are not going to be able to plug that gap are we. It's a very big gap, we are not going to be able to plug it with what they call renewal sources of energy, wind power and all the rest of it... PRESCOTT: ...that's under par... HUMPHRYS: ..but only ten per cent by two thousand and twenty, that's not going to be enough to fill it, is it. So I'm not quite sure how we are going to plug that gap. PRESCOTT: We have spelt out in a number of our programmes where we think the demands for energy can be met but of course the increasing demand for energy and any modern economy continues to increase, but one of the things we want to do, we don't use energy efficiently enough. You know, as an example, when I came in in nineteen ninety seven, we were leaking so much water I called the water companies and said I'm not going to agree reservoirs, stop the leaks. Nearly a quarter of the leaks actually were reduced, that's enough water to keep London for a year. We are changing and that's the same with fuel, cars will not use as much fuel, they were be much more efficient, different types of technology. So it is a challenge and that's what the Climate Levy is about, getting people to use energy much more effectively. HUMPHRYS: But are we changing fast enough. Germany for instance, tells... PRESCOTT: ...I'll be there chasing... HUMPHRYS: I'm sure you will, but I mean here's one you can chase, Germany says look you've got to treble gaze your house, saves a lot of energy. Are we prepared to say to people you've got to treble gaze your house, or triple gaze it, whatever you call it. PRESCOTT: We have got programmes for improving energy. I'm actually putting quite a lot of money into housing to achieve that, that's one of our measures we announced on Friday... HUMPHRYS: ...making them do it is... PRESCOTT: ..pardon? HUMPHRYS: Making them do it is the thing. PRESCOTT: But we are doing it John. HUMPHRYS: I'm sorry if you've got a problem there - what I am saying is that we don't actually insist upon it, do we, we don't say to people, you know this is how it has to be with new houses in future. PRESCOTT: Perhaps we don't give the instructions in the same way the Germans do, what we say to the Local Authorities is here is the programme, here's the money, we want you to do it and we are already beginning to see it happen. We also want new rules and regulations about the design and quality of houses which we are changing. And all that we set out in Friday's programme and that programme has been accepted as the most realistic and acceptable by the commission and most of the observers note that it's a good programme and one that this party..this government has put in to achieve in the long term. HUMPHRYS: Let's look at transport now then. This is terribly difficult isn't it. Your own projections tell us that carbon dioxide.... PRESCOTT: ..you can say that again... HUMPHRYS: ..carbon dioxide emissions from all road transport, including lorries and all the rest of it are going to increase by fifteen per cent by two thousand and ten, thirty per cent by two thousand and twenty and we are actually, there are no signs at all of us using our cars less. So how on earth do you square this circle? PRESCOTT: Well first of all there's a technological advance and what the Europeans have done and this is where the European card is quite important, they have negotiated with all the motor car manufacturers who want to sell cars in Europe, massive increase in the efficiency of the motor vehicle itself, the reduction of CO2 gases. And I think even the Tories argue that's all you have to do. But let me just say, that is an important step forward and on the alternatives, are the public transport. Where we have things like in Manchester, where you have got for example light railway systems, where the very convenient and good alternative transport show that people leave their cars at home on a number of occasions and use the public transport. In Europe they have more cars per head than we have but they use public transport more and the basic reason is we allowed public transport to run down. I've got to provide better choices, better quality, more reliable. And as you can see, and everyday on the television that is not easy to do, but I've found the resources, I've found the legislation, now it's the timetable to reverse all the dis-investment that has taken place in our transport and forced people to use their cars more because they couldn't rely on the public transport system. HUMPHRYS: Exactly, but you talk about forcing people. I mean there do have to be sticks as well as carrots doesn't there and Gordon... PRESCOTT: ..I'm not forcing people... HUMPHRYS: ..some people of course that you should. But let me just look at what Gordon Brown did, well alright, but let's look at what Gordon Brown did in his mini-Budget, he cut the price of fuel. Well now that's not exactly a disincentive to using cars is it, Imperial College reckons that that adds 1.5 per cent to car journeys. So he didn't help you very much there did he? PRESCOTT: Well John, I've got to say that that's part of a kind of disingenuous argument that's going on at the moment. If the argument is that the cost of fuel, however it is made up, its world price and its tax, has an effect on reducing the vehicle..use of vehicles right, and you can argue about that, if that is the argument, then I'm bound to say it has increased despite whatever tax has gone because fuel prices internationally have gone up. So that has not changed in regard to that, all that's changed is the refusal to continue the Fuel Duty Escalator. HUMPHRYS: But I mean you're not suggesting are you, that the price of fuel is not a considerable factor in the extent to which we use our cars? - fuel is more expensive we use less. PRESCOTT: It is one of the main reasons but if I look at the costs of cars, whether it's the RAC or the AA surveys, it's a lot cheaper to run a car now because the level of efficiencies and technologies have made private transport still much cheaper again because of that. And people will just judge the car on the fuel price, I understand it but it's not the total price, but I have to live with what they think. But we are back to the same point, fuel is still costing you more than it did twelve months ago and that's nothing to do with our tax policy. HUMPHRYS: Yes, but Gordon Brown cut the price of fuel in his last Budget and Imperial College calculated... PRESCOTT: ...environmental, yes to reduce the amount of gases and make our air cleaner with the sulphur proposal and that is one step towards getting even better fuels to be used in other different cars in the future. And it's a step in the right direction but it's still got a carbon... HUMPHRYS: ...doesn't help the CO2.. PRESCOTT: ..well it has that problem I agree but there are a number of changes coming and as I understand it in the new technologies coming in the cars and new fuels, you need to make that step to improve it first. But all in all, John, it is advance in the right direction, it is putting environment at the top of the list and making sure we get it at the top of the list, keep it at the top of the list and begin to get the kind of changes in public opinion that we are beginning to see.. HUMPHRYS: The trouble is, even with all of those things, and I've got your great big DETR, your department's document in front of me, Climate Change the UK Programme. Even allowing for all of that there is going to be a big increase in the amount of CO2 that we emit from road transport over the next ten and then, over the next twenty years. This is a very serious problem for us, we'll have to something more than we've done, in other words. PRESCOTT: Well, I think there are lots of things and indeed trying to get a public transport in a decent state like they have in Europe is one thing that I am trying to do. And planning our estates so you don't have to get in a car to go to a hospital or schools, the new millennium estate that I've developed up on, in Greenwich, means that you can have a lot of these facilities near to where people live without having to get in the car to go to them. Now you have got to change a whole kind of life-style, the way we plan our houses, the way we meet the services people require, the new Urban White Paper, which I've just launched is partly about that, there's the Rural Paper in the next or so. All these are changes. I can find the framework, but governments can't do it on their own. It's about how we get people to recognise, do you still want to have the kind of extreme weathers we have, with the consequences we've seen with floods, or do we want to make a change? HUMPHRYS: Well... PRESCOTT: It was a man-made solution, let's find a man-made solution to solve that difficulty of climate change. HUMPHRYS: And they might well say we'd love to use public transport. We'd like to use the railways, but look at the state of them, there is a crisis of confidence in the railways at the moment, you... PRESCOTT: ....massive dis-investment over a long time... HUMPHRYS: ...absolutely, and you've acknowledged that, but then over the last few months we have seen that crisis of confidence increase. People have lost confidence entirely. Do you, yourself, feel that Railtrack, the people who are after all responsible for the railways, the railway infrastructure, do you think they've let you down? PRESCOTT: Well first of all, John, people travelling by rail has gone up by eighteen per cent over these last two or three years ... HUMPHRYS: ...starting to fall now, though isn't it?... PRESCOTT: ...so they have been using the rail. But there's an increase, before it was a decline, now we've seen an increase. But your point generally about have we got the organisation on the railways right - well I've always thought we haven't, that's why I was bringing legislation in for a strategic rail authority, that's why I've got a massive amount of money for rail investment, the huge amount that everybody says has never been there before, sixty billion pounds, so I've got the legislation, I've got the resources, what I want is a proper organisation that can deliver it, and I want it to be safe. that's why I've looked at the Cullen Report, to give me a report on the safety in the industry. Now the Opposition have said, that the fragmented kind of organisation they've given us was wrong, that the privatisation solution didn't work. What I have to do is to make changes. And that's why I brought in the strategic rail authority to begin to see, with the regulator, to get a kind of railway that is safe, modern and got the investments and that's what we have now on the table. HUMPHRYS: And what you're going to start this week, we understand, using the strategic rail authority and all the rest of it, is to take a very hard look at Railtrack, and perhaps to clip their wings, to take some of the responsibilities from them, that they have at the moment and there is in other words, going to be a fundamental review. Is that right? Fundamental review? PRESCOTT: Well, I don't ... no I hear tales, what's said in the press today, let me just say what the facts are. When Mr Corbett said that he believed that the actual railways had a conflict between safety, punctuality and reliability, you'll remember he said that. I said well, I don't see that so, but I'm prepared to listen to anything that threatens safety on the railways, so I asked um, Alastair um... HUMPHRYS: ...Morton PRESCOTT: ...Alastair Morton, to go in and discuss with them what this kind of reorganisation that he was calling for. He set up five working groups and they've been working for the last couple of weeks. When he announced his resignation, I then asked Sir Alastair that would he meet the new Board and find exactly where we lay, where they lie now in delivering on a programme that was given to us, a recovery programme, and what their views were in the reorganisation of Railtrack. HUMPHRYS: And now he's going to do that. PRESCOTT: That was two weeks ago. HUMPHRYS: Right, right. And where has that got then. I mean, what's the conclusion of that? Or have you not got anywhere with it yet? PRESCOTT: I don't know because he hasn't reported back to me and he was discussing with Gerald Corbett then of course, 'cos he was the person who'd made those points, made similar points about safety should be different inside the Cullen Report, but he has now left and clearly, Alastair Morton has to ask the Board, since they've had a change, and a possible change in a Chairman, how does the Board's policy now relate to the promises they've made, that's quite proper to do so. Do remember, I have the obligation under legislation to see there's a safe railway, and I'm advised on that by the Health and Safety Executive, so I have a direct statutory responsibility, to be assured about that. HUMPHRYS: Indeed, and you weren't sorry, as we understand it, to see Gerald Corbett go, for a variety of reasons. You're now talking through.... PRESCOTT: ....John, don't just make that assumption. If you say... HUMPHRYS: ...well, did you beg him to stay? PRESCOTT: ...well, it's not up for me to say who the Chief Officer should be of Railtrack. My obligation is to see that Railtrack, whoever's the Chief Executive, or Chair, carry out their obligations that they have on a licence to run the railway from the Regulator, and in regards to safety, from me as the Secretary of State. Who they choose to have to run it is their decision. What they do, and how they do it, I have some responsibility for. HUMPHRYS: Well indeed and it's possible for you to offer a bit of support one way or the other if you want somebody to stay. PRESCOTT: No, I think it would be quite wrong. Let me give you an example John. I think it was..was it your Ed Stourton on your programme having a go whether I support or didn't support - could you imagine if I said, yes I did support - you'd have come on to me saying, do you think it's right to sack him when you said you supported him. It's not for me to make that decision. It's a decision for the Board. If it was a nationalised industry it would be a proper one for me... HUMPHRYS: ...alright, let me just ask you a straight-forward question then, do you have confidence in the existing Board, given that it's now got a new Chief Executive, who's an accountant, and not a railway man, do you have, do you have - hope you can hear me alright - do you have confidence in the existing Board of Railtrack to do what is needed in the time that it is needed in? PRESCOTT: Well I've asked Sir Alastair to go in and talk to them about their ideas they want for change. Now I would certainly want to hear what's said about that before whether I've got an agreement with the Railtrack Board. Let me give you an example. The Railtrack Board under Sir Gerald Corbett, went to, Gerald Corbett, went to the Cullen Enquiry and said they want to keep completely safety in their hands. I disagree with that. There's got to be some independent safety authority in this. It's a matter of debate. Now I don't know whether the Board still agrees with that statement that was made there. I'm entitled to ask, and when I get the reply back from Sir Alastair and other discussions I'll give you an answer to that judgement, to that question. HUMPHRYS: John Prescott, many thanks. PRESCOTT: Thank you.
NB. This transcript was typed from a transcription unit recording and not copied from an original script. Because of the possibility of mis-hearing and the difficulty, in some cases, of identifying individual speakers, the BBC cannot vouch for its accuracy.