Lord Campbell of Croyasked Her Majesty's Government:
Whether they intend to exempt combined heat and power (CHP) plant from the proposed climate change levy in order to reduce the amount of carbon dioxide emitted from sources in the United Kingdom and so help to reach the targets to which they are internationally committed. [HL 4207]
§ Lord McIntosh of HaringeyCombined heat and power (CHP) schemes are a form of electricity generation. The Customs and Excise consultation document asked for views on whether they should be treated as conventional generators by relieving their input fuels and applying the levy to their outputs or afforded special treatment whereby their input fuels are subject to the levy and the electricity they produced relieved. Officials are currently analysing responses to this excercise.