HL Deb 29 October 2002 vol 640 cc17-8WA
Lord Palmer

asked Her Majesty's Government:

What is the level of fuel duty in pence per litre equivalent for liquid petroleum gas, compressed natural gas, liquid natural gas, biodiesel and bioethanol. [HL6218]

Lord McIntosh of Haringey:

I very much regret that incorrect figures were inadvertently included in my previous Answers to the noble Lord (HL5721) and to Lord Carter (HL5237 and HL5238) on this subject. The formulae used for converting the rate of duty for road fuel gases from kilogrammes to an equivalent rate per litre were calculated wrongly.

The current duty rate for gas used as road fuel, including liquefied petroleum gas (LPG), compressed natural gas (CNG) and liquid natural gas (LNG), is 9p per kilogramme. The petrol equivalent measured in pence per litre for these gas fuels is listed below.

Duty rate Duty rate for gas calculated on equivalent basis to petrol
Type of fuel (pence per KG) (pence per litre)
CNG 9 6.1
LPG 9 5.4
LNG 9 6.1

The figures showing the duty in pence per litre are calculated by comparing the units of energy of each gas and its petrol equivalent. This calculation takes into account the energy value and engine efficiency of the different fuels and therefore gives the most accurate comparison between one fuel and another.

The rate of duty for biodiesel is 25.82p per litre and for bioethanol it is 45.82p per litre.