HC Deb 28 November 2000 vol 357 cc549-50W
Mr. Chaytor

To ask the Secretary of State for the Environment, Transport and the Regions what surrogate price he used to reflect the value of carbon saved into the cost of fuel, within the costings included in his consultation document on proposed alterations to Part L of the Building Regulations. [133594]

Mr. Meacher

[holding answer 23 November 2000]: The proposed amendments to part L of the Building Regulations have been subject to a full economic analysis of the costs and benefits involved. However surrogate prices for the value of carbon saved have not been used in the analysis, due to the absence of a consensus on appropriate values to employ. This accords with the approach taken in evaluating the costs and benefits of other measures included within the Government's draft Climate Change Programme.

National and international studies on surrogate pricing have produced widely differing estimates of the benefits of reducing greenhouse gas emissions. Expressed in terms of dollars, these estimates range from around $10 to $200 per tonne of carbon equivalent emissions in the period 2000–10.

Our proposals cover both new construction and more types of work on existing buildings. Around half the estimated carbon reductions in 2010 of 1.33 Mtonnes would come from the existing stock. For new dwellings average energy consumption and hence carbon emissions and householders costs would be reduced by about a quarter.

We have estimated that for new build the proposals would, if implemented, add up to £1,400 to the construction cost of new dwellings dependent upon size and up to £10 per m2 for other buildings. Some of those who have responded to our consultation believe these figures are too low and have suggested the figure for dwellings could be nearer £2,000. My department is now considering the proposals in the light of the consultation response in conjunction with the Building Regulations Advisory Conunittee, and we will take these views into account. However, we shall want to know what surrogate carbon price would balance the national cost and benefit equation before making any decisions on how much and when the Building Regulations requirements should change.