HC Deb 25 March 1991 vol 188 c599
13. Mr. Pawsey

To ask the Secretary of State for Energy what is his estimate of the amount of electricity likely to be generated by independent generators by 1995.

Mr. Heathcoat-Amory

Twenty major independent generating schemes have come forward for approval. The eventual total capacity will depend on planning decisions and on the commercial decisions taken by the companies concerned.

Mr. Pawsey

I am grateful to my hon. Friend for that helpful response. Clearly, independent generators are expressing interest in sites in urban areas, such as Rugby in my constituency. Will my hon. Friend suggest to developers that they go to derelict areas rather than green-field sites? Do the planning regulations have sufficient teeth to protect the environment?

Mr. Heathcoat-Amory

My hon. Friend has written to the Department about a planning application in his constituency. I cannot comment on that, save to say that the planning conditions and requirements are as strict as ever and if a local authority objects to a proposed generating site, a public inquiry will be held.

Dr. Reid

Does the Minister share my hope that when approaching independent generators with advice, the Government will do so on the basis of more information and less stupidity than they have shown in the privatisation of the electricity industry? Will the hon. Gentleman confirm from his experience that the sulphur content of Scottish coal used in Scottish generation stations is much lower than that of coal in the rest of the United Kingdom? Will he therefore comment on the extraordinary report in this morning's newspapers that the Scottish electricity industry has been asked to bear the £300 million to £400 million costs of flue gas desulphurisation equipment to extract sulphur from coal with the lowest sulphur content in the United Kingdom? Would not that money be better spent extracting sulphur from coal with the highest sulphur content?

Mr. Heathcoat-Amory

We have a programme to retrofit 8 GW of capacity of coal-powered stations in the rest of the United Kingdom to meet our international obligations to reduce sulphur dioxide emissions.

Mr. Rost

Is my hon. Friend aware that many new power generation schemes are seriously at risk because of British Gas's overnight increase in gas prices of 35 per cent? If my hon. Friend wants genuine competition in the electricity market as against a duopoly, will he ensure that there is proper competition in the gas market by encouraging the oil industry to market gas independently of British Gas?

Mr. Heathcoat-Amory

Gas prices are a matter for discussion between the independent regulator and the firms concerned. I confirm that it is only a short-term problem and in the longer term gas reserves in the North sea and around our coastline will remain high.

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