HC Deb 05 May 2000 vol 349 c251W
Mr. Welsh

To ask the Minister of Agriculture, Fisheries and Food what assessment he has made of the impact of the climate change levy on the fish-processing sector; what compliance costs the sector will face; what assistance will be offered to this sector; and what derogations are(a) in place and (b) under negotiation. [120245]

Ms Quin

The impact of the climate change levy on a sector or an individual firm will depend upon future energy use, employment trends and take up of the incentives to improve energy efficiency.

Compliance costs relating to the administration of the scheme will fall mainly on the energy suppliers. More information is contained in the Regulatory Impact Assessment prepared by Customs and Excise.

As the fish processing industry falls within the scope of the Integrated Pollution Prevention Control Directive, it can participate in the energy agreement to receive an 80 per cent. levy discount if agreed energy efficiency targets are met, which is being negotiated with the Food and Drink Federation.

Mr. Welsh

To ask the Minister of Agriculture, Fisheries and Food what assessment he has made of the impact of the climate change levy on each sector of the agriculture industry. [120278]

Ms Quin

The Government have sought to design the climate change levy in a way that maximises its environmental effectiveness while taking account of the competitiveness of UK firms. The impact of the climate change levy on individual sectors of the agricultural industry will depend, among other things, on each sector's future energy use, employment trends and take-up of the various incentives offered under the levy to improve energy efficiency. Further, reductions in the rate of levy are available to the energy-intensive sectors of pigs and poultry in return for reaching agreed energy targets and, subject to approval under state aid rules, a 50 per cent. reduction to horticulture.