HL Deb 16 July 2002 vol 637 cc129-30WA
Lord Carter

asked Her Majesty's Government:

What is the level of fuel duty rebate in price per litre equivalent for LPG (liquid petroleum gas); CNG (compressed natural gas); LNG (liquid natural gas); biodiesel; and bioethanol; and [HL5237]

What steps they are taking to evaluate the relative environmental and economic merits of biofuels and road gas fuels in relation to current fuel duty rebates. [HL5238]

Lord McIntosh of Haringey

The current duty rates are 9p. per kilogram for gas used as road fuel (including liquefied petroleum gas, compressed natural gas and liquid natural gas). Biodiesel and bioethanol are currently taxed at the rate of 45.82p. per litre but we shall shortly be introducing a new, lower rate of duty on biodiesel of 25.82p. per litre. We have also given a commitment that duty on road fuel gases will be frozen in real terms until at least 2004.

Taxation of road fuel, including biofuels and road fuel gases, is reviewed Budget by Budget. In making his judgement, the Chancellor of the Exchequer takes into account a range of economic, social and environmental factors.