HC Deb 15 April 1999 vol 329 c332W
Mr. Stunell

To ask the Chancellor of the Exchequer what plans he has to exempt renewable energy from an energy tax levied on business. [79863]

Ms Hewitt

Customs and Excise issued a consultation document on 9 March on the design and administration issues relating to the climate change levy. The consultation document asks for views on whether and, if so, how it might be possible to offer tax relief to electricity generated from renewable sources of energy.

As made clear in the consultation document, there are a number of technical difficulties that would have to be overcome, including identifying the amount of electricity supplied from renewable sources under current electricity pool arrangements. The Government would welcome views on these issues.

As indicated in the Financial Statement and Budget Report, the Government also intend to provide an additional £50 million a year from 2001–02 for schemes aimed at promoting energy efficiency and support for renewable sources of energy, like solar and wind power.