HC Deb 07 May 2002 vol 385 cc52-4W
Sue Doughty

To ask the Secretary of State for Environment, Food and Rural Affairs what assessment she has made of the impact on carbon dioxide emissions of the freeze in the rate of the Climate Change Levy announced in the Budget. [53735]

Mr. Boateng

I have been asked to reply.

The environment impact of the freeze in the rates of the climate change levy is set out in table 7.2 of the Economic and Fiscal Strategy Report.

Sue Doughty

To ask the Secretary of State for Environment, Food and Rural Affairs what assessment she has made of the(a) past and (b) future impact on carbon dioxide emissions of the work of the Carbon Trust, broken down into (i) the Energy Efficiency Best Practice Programme, (ii) the Environment and Energy Helpline, (iii) Administration of the Enhanced Capital Allowance Scheme for investments in energy-saving technologies, (iv) the Low Carbon Innovation Programme and (v) other programmes or schemes. [53729]

Mr. Meacher

Previous assessments of the Energy Efficiency Best Practice programme (EEBPp) including the Energy Helpline up to 2000 have indicated that carbon savings of around 4 million tonnes of carbon per year were achieved. Work is currently being carried out to assess the impact of the scheme for the last financial year. Management of EEBPp will be transferred to the Carbon Trust.

The Enhanced Capital Allowance scheme to encourage take up of energy saving technologies was set up in April last year and it is too early to estimate the extent to which business has taken advantage of the scheme. The Carbon Trust will shortly take over the administration and promotion of the scheme and propose to carry out an impact assessment of the first year of its operation.

The Carbon Trust is developing a Low Carbon Innovation Programme (LCIP) that will support the development and commercialisation of new and emerging technologies. The Carbon Trust will put into place impact assessment measures to monitor the impact of LCIP and its other programmes.

Sue Doughty

To ask the Secretary of State for Environment, Food and Rural Affairs when her Department will consult on the treatment of waste oil used as a fuel; and if she will make a statement. [53713]

Mr. Meacher

Her Majesty's Customs and Excise will be consulting shortly on the possible ending of the excise duty exemption for waste oil used as a fuel. My officials are working closely with Customs and Treasury colleagues on this issue.

Sue Doughty

To ask the Secretary of State for Environment, Food and Rural Affairs what assessment she has made of the impact on carbon dioxide emissions of(a) an exemption from the climate change levy of fuel used in dual-use purposes and (b) extending relief to certain processes which compete with those benefiting from the dual-use or non-fuel use exemptions; and if she will make a statement. [53730]

Mr. Boateng

I have been asked to reply.

The exemption from the climate change levy for fuel used in dual-use purposes has been part of the design of the levy since it was launched in April 2001. Consequently this exemption has been taken into account in all estimates made of carbon savings from the levy.

The proposal to extend relief to certain processes which compete with those benefiting from the dual-use or non-fuel use exemptions is not expected to have a significant effect on carbon savings. Most of the processes eligible for this further relief are covered by a negotiated agreement with DEFRA, under which the operators have agreed to energy efficiency targets. However, the exemption will give a further incentive to recycling processes which are more environmentally friendly than the alternative primary production processes.

Sue Doughty

To ask the Secretary of State for Environment, Food and Rural Affairs what assessment she has made of the impact on carbon dioxide emissions of the extension of the 5 per cent. rate of VAT to apply to the grant-funded installation of(a) factory-insulated hot water tanks, (b) micro-combined heat and power and (c)renewable energy heating systems in the homes of the less well-off. [53722]

Mr. Boateng

I have been asked to reply.

As set out in table 7.2 of the Economic and Fiscal Strategy Report, the reduced rate of VAT on the installation of energy-saving materials is expected to save around 0.1 million tonnes carbon by 2010. The extension of the reduced rate in Budget 2002 will lead to further small savings of carbon. The reduced rate will enable further installations of the qualifying measures to be made under grant-funded programmes in homes of the less well-off. By improving energy efficiency, the measures will enable householders to improve comfort levels for the same expenditure on energy as well as to reduce carbon emissions.