HC Deb 05 February 2004 vol 417 cc896-7
12. Norman Lamb (North Norfolk) (LD)

If she will make a statement on progress in developing a biofuels industry. [152875]

The Minister for Rural Affairs and Local Environmental Quality (Alun Michael)

Following the reduction in the duty rate for biodiesel introduced in July 2002, around 2 million litres of biodiesel are currently sold each month in the UK. Half of that comes from U K-sourced recycled vegetable oil. The remainder comes from finished product imported from elsewhere in Europe. The construction of the Argent plant near Motherwell will add a further 50 million litres annually to UK production.

Norman Lamb

I thank the Minister for his response. In view of the fact that the duty cut on bioethanol that comes into force next January will not give rise to any domestic production of bioethanol, will he support the amendment to the Energy Bill tabled in the House of Lords, as it would introduce a clear road transport fuel obligation?

Alun Michael

A number of companies are actively considering the production of biodiesel from, for example, UK-grown oilseed rape, and the Department for Transport will shortly consult on the UK's targets for the use of biofuels under the EU biofuels directive.