§ Mr. LidingtonTo ask the Secretary of State for Environment, Food and Rural Affairs what assessment she has made of the consequences for the Government's policy on bio-fuels of the collapse of ARBRE Energy. [76842]
§ Margaret BeckettThe Government take the future of energy from biomass very seriously and considers that energy crops have the potential to make a significant contribution to renewable energy and climate change targets. We are providing support to develop the sector through the Bio-energy Capital Grants Scheme and the Energy Crops Scheme. The funding available from the Bio-energy Capital Grants Scheme could deliver about 100MW of generating capacity. Discussions are continuing on the future of ARBRE and there are a number of lessons from the project that can be applied to future high efficiency biomass plants. The project has shown that short rotation coppice can be established and grown at the scale required to form an important element of the fuel supply. Useful information has been learned on improving yields, the use of varieties to minimise pest and disease impact and on harvesting technology.
§ Mr. Laurence RobertsonTo ask the Secretary of State for Environment, Food and Rural Affairs what recent discussions she has had with the Chancellor of the Exchequer about increasing the tax incentives offered to producers of bio-fuels; and if she will make a statement. [79235]
§ Mr. Meacher[holding answer 4 November 2002]: I am in regular contact with Treasury Ministers to discuss a whole range of matters related to energy and environmental policy. In addition, my right hon. Friend the Secretary of State meets regularly with the Chancellor of the Exchequer on a wide range of matters that affect the business of the Department. As with all tax matters, decisions on tax incentives rest with the Chancellor of the Exchequer.