§ Mr. ShawTo ask the Secretary of State for Trade and Industry what assessment she has made of the effect of increased gas prices on(a) the expansion of combined heat and power plants and (b) future emissions targets. [12442]
§ Mr. WilsonThe DTI's energy projections published in November 2000 included projections of CHP capacity based on assumptions about future oil and gas prices. Those assumptions are still reasonable in the longer term but the Government recognise that high gas prices this year have reduced substantially the attractiveness of investment in new CHP plant in the short term. The Government remain committed to their CHP target of at least 10,000 MWe capacity by 2010, as well as their emission targets. My right hon. Friend the Secretary of State for Environment, Food and Rural Affairs will be issuing a draft CHP strategy in the coming months that will set out how the target will be achieved.