§ Mr. Teddy TaylorTo ask the Secretary of State for Energy what estimate he has made of the likely increase in the price of electricity in consequence of the decision of the Council of Ministers on 17 June in relation to curbing acid rain emissions; and if he will make a statement.
§ Mr. Michael SpicerThe CEGB was already planning to fit flue gas desulphurisation (FGD) equipment to 6000MW of existing capacity, the equivalent of three large coal-fired power stations, and to fit new coal-fired power stations with this equipment. The recent decision of the Council of Ministers could require the retrofit of a further three existing coal-fired stations. Much uncertainty surrounds the costing of FGD technology which has not been used before in the United Kingdom on the scale now contemplated. The CEGB estimated the effect of its original programme of FGD retrofits as possibly requiring an increase in electricity prices of around 1.5 per cent. by the year 2000. My Department estimates, on the basis of present knowledge, that the effect of the further work needed to fulfil the Council decision should be broadly similar.