HC Deb 26 February 2001 vol 363 cc321-2W
Mr. Drew

To ask the Secretary of State for the Environment, Transport and the Regions what discussions he has had with other EU Environment Ministers on proposals to tax aggregates. [150842]

Ms Beverley Hughes

My right hon. Friend the Minister for Housing and Planning has not discussed the proposals to tax aggregates with other EU Environment Ministers. However, DETR officials have had contact on this and other aspects of aggregates policy with the officials of some other EU countries over the past three years.

Mr. Drew

To ask the Secretary of State for the Environment, Transport and the Regions what discussions he has had with(a) quarry operators and (b) construction companies regarding the planned aggregates tax. [150841]

Ms Beverley Hughes

My right hon. Friend the Minister for Housing and Planning and his predecessor have had a range of discussions about the proposed aggregates levy with quarry operators and construction companies.

Mr. Green

To ask the Secretary of State for the Environment, Transport and the Regions what estimate he has made of the change in the number of lorry movements required in the 12 months following the introduction of the Aggregates Levy as a result of the substitution of recycled aggregates for virgin aggregates. [150683]

Ms Beverley Hughes

There are so many variables involved in making an estimate of the change in numbers of lorry movements required in the 12 months following the introduction of an Aggregates Levy that a meaningful figure could not be produced. Aggregates, whether virgin or recycled, will need to be carried to the market so the numbers of lorry movements may be broadly similar for given quantities of each. However it is expected that the Aggregates Levy will reduce consumption of virgin aggregates as a result of increased efficiency and less wastage at the construction site. Other things being equal, this should reduce the amount of lorry movements overall.

Mr. Green

To ask the Secretary of State for the Environment, Transport and the Regions what estimate he has made of the amount of recycled aggregates that would be substituted for virgin aggregates as a result of the Aggregates Levy; and if he will make a statement. [150682]

Ms Beverley Hughes

The amount of recycled aggregates that would be substituted for virgin aggregates as a result of the Aggregates Levy cannot be predicted with certainty. The size of any change will depend on how the producers and consumers of aggregate respond to the levy and to consequent changes in prices in both the short and longer term. The Regulatory Impact Assessment that was prepared in 2000 to accompany the proposal for the levy noted that, using the short run estimate of price elasticity produced by ECOTEC for the Quarry Products Association in 1998, a best estimate of the impact of a £1.60 levy on the demand for primary aggregates would be a reduction of around 10 per cent. of production or, currently, about 24 million tonnes per year. Alternative materials, including recycled aggregate, would replace some of this reduced production, and less aggregate would be required as a result of increased efficiency and less waste of all aggregates. At any level of production, the levy should encourage a shift away from virgin aggregate towards alternative materials such as recycled aggregate.