HC Deb 08 March 2004 vol 418 c1236W
Miss McIntosh

To ask the Secretary of State for Transport what assessment he has made of the impact of changes in grants for people to convert vehicles to run on liquefied petroleum gas. [159322]

Mr. Jamieson

Currently, grants are available for the purchase/conversion of vehicles to run on liquefied petroleum gas under the Powershift and CleanUp programmes administered by the Energy Saving Trust. In 2003–04 these two programmes provided grants for the purchase/conversion of around 3,000 vehicles. In response to this year's increase in demand for these programmes, the Trust have discussed the appropriate level of Powershift and CleanUp grants for next year with stakeholders, and estimate that a similar number of vehicles will be converted/purchased during 2004–05.

Miss McIntosh

To ask the Secretary of State for Transport what steps the Government is taking to meet its targets on use of(a) compressed natural gas and (b) hydrogen as road fuels. [159323]

Mr. Jamieson

Our plans for encouraging the promotion and use of clean, low carbon vehicles and fuels are set out in the Powering Future Vehicles Strategy, published in July 2002. The Government has no formal targets for the use of compressed natural gas (CNG) or hydrogen as road fuels. But it supports the development and use of these and other clean, low carbon fuels in a number of ways, including through fuel duty differentials and other fiscal incentives, and by means of purchase grants to offset the additional cost of vehicles operating on these fuels. The Chancellor of the Exchequer confirmed in the Pre-Budget Report in December 2003, for example, that compressed natural gas (CNG) would continue to benefit from the very low fuel duty levels it currently enjoys for at least another three years. We are also currently supporting the trials of three hydrogen-powered buses in London, and subject to the outcome of these trials the Government intends to exempt hydrogen from fuel duty for a limited period in the future to encourage further development and uptake.