Mr. Robert AinsworthTo ask the President of the Board of Trade what assessment he has made of the extent to which 8 per cent. reduction in electricity prices, announced as part of the nuclear review, affects the forecasts for energy use and CO2 emissions contained in Energy Paper 65. [24217]
§ Mr. EggarEnergy Paper 65 assumed that the nuclear component of the fossil fuel levy would cease in 1998. It is expected that the early removal of the levy will have a negligible impact on the long-run energy and CO2 projections contained in Energy Paper 65. There will, however, be a small short-run impact on energy and CO2 levels. In view of this, my right hon. Friend the Secretary of State for the Environment announced on 11 May 1995, Official Report, columns 564–65, that he would make available an additional £25 million a year to the Energy Saving Trust to promote energy efficiency measures, from 1996 until the gas and electricity markets are fully liberalised.