HC Deb 22 October 2001 vol 373 cc59-60W
Mr. Salmond

To ask the Chancellor of the Exchequer if he will introduce relief from the Climate Change Levy for businesses which invest in processes which significantly reduce electricity consumption; and if he will make a statement.[9203]

Mr. Boateng

To protect the competitiveness of UK industry, sectors covered by the Integrated Pollution Prevention and Control Directive Parts Al and A2 are able to get 80 per cent. reductions in the Climate Change Levy in exchange for entering negotiated agreements with the Government to deliver specific energy reductions. These agreements cover the main energy intensive sectors exposed to international competition.

Any business may benefit from the levy-funded Enhanced Capital Allowances when they invest in approved energy efficient products or technologies. And they can obtain energy efficiency advice and audits through the new Carbon Trust. Businesses which reduce their energy consumption will of course pay less Climate Change Levy and reduce their level of environmental pollution.

Mr. Salmond

To ask the Chancellor of the Exchequer (1) how many businesses benefit from relief on the Climate Change Levy; and if he will make a statement;[9205]

(2) what agreements exist with industry representative bodies for relief from Climate Change Levy; and if he will make a statement.[9207]

Mr. Boateng

To protect the competitiveness of UK industry, sectors covered by the Integrated Pollution Prevention and Control Directive Parts A1 and A2 are able to get 80 per cent. reductions in the Climate Change Levy in exchange for entering negotiated agreements with the Government to deliver specific energy reductions.

There are 44 overarching agreements with representative bodies covering 39 sectors. These relate to over 5,000 firms, operating at just under 13,000 sites.

There are other reliefs available to any business, including exemptions for new forms of renewable energy and for combined heat and power systems.