HC Deb 08 January 2001 vol 360 c457W
Mr. Clappison

To ask the Chancellor of the Exchequer what assessment he has made of the effect of the climate change levy on the use of liquid petroleum gas. [143945]

Mr. Timms

No such assessment has been made. In response to points raised during the consultation process, the Chancellor announced in Budget 2000 that the rate of climate change levy (CCL) on liquid petroleum gas (LPG) would be reduced by half in recognition of its use in rural areas and to discourage fuel switching from LPG to more environmentally damaging fuels.

Mr. Clappison

To ask the Chancellor of the Exchequer what proportion of combined heat and power systems, including firms using their own CHP and firms importing or exporting energy, will be exempt from the climate change levy. [144120]

Mr. Timms

Combined heat and power (CHP) generation can make a valuable contribution to achieving emissions reductions and the Chancellor therefore announced in the pre-budget report 1999 that electricity generated in "good quality" CHP plant would be exempt from the levy. The majority of CHP schemes will be exempt from all levy payments on the fuel input and on the heat supplied. Qualifying electricity generation from CHP schemes will also be exempt from the levy where that electricity is consumed on site or sold directly to another customer.

Mr. Clappison

To ask the Chancellor of the Exchequer (1) how many representations he has received concerning the effect of the climate change levy on Northern Ireland; [143947]

(2) what assessment he has made of the effect of the climate change levy on the natural gas industry in Northern Ireland. [143946]

Mr. Timms

The Government have received various representations concerning the climate change levy in Northern Ireland. The energy market in Northern Ireland differs markedly from that in Great Britain; in particular, natural gas is not widely available. In order to help the fledgling gas market to develop, the Government are proposing a temporary exemption from the climate change levy for natural gas in Northern Ireland.

Ms Walley

To ask the Chancellor of the Exchequer if he will make a statement on the timetable for implementation of the climate change levy. [144474]

Mr. Timms

The climate change levy will come into effect on 1 April 2001, as planned.

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