§ Mr. DrewTo ask the Secretary of State for Environment, Food and Rural Affairs what financial help is available to producers who wish to(a) supply and (b) use combined heat and power. [98901]
§ Mr. MorleyThe Government's draft Strategy for combined heat and power (CHP) to 2010, consulted on last year and available in the Library to the House, details the range of Government support measures currently in place for CHP. The main measures include
Climate Change Levy exemption on fuel inputs and, pending the outcome of a State Aid application, on all Good Quality CHP electricity outputs;Eligibility for Enhanced Capital Allowances;The £50 million, two-year, Community Energy grant programme; andeduction in VAT on certain grant-funded domestic micro-CHP installations.The Energy White Paper, published on 24 February, set out the following further range of measures to support CHP.
- Requirement for significant evidence that power station consent applicants have considered all economically viable options for CHP and community heating.
- Emphasise the benefits of CHP and community heating whenever planning or sustainable development guidance is introduced or reviewed.
- Work with Ofgem to ensure a level playing field under NETA for smaller generators, including CHP.
- Set targets for use of CHP in the Government Estate.
- Explore incentivising CHP within any expansion of the domestic Energy Efficiency Commitment from 2005.
- Support field trials designed to evaluate the benefits of micro-CHP.
- Invite the Energy Saving Trust and the Carbon Trust to review their current and future programmes to ensure they reinforce delivery of our CHP target.
- Work on a framework for pilot projects under the UK Emissions Trading Scheme for which CHP projects may be eligible.
Mr. Gareth ThomasTo ask the Secretary of State for Environment, Food and Rural Affairs what assessment she has made of the change in use of CHP by companies covered by climate change agreements; and if she will make a statement. [87880]
§ Mr. Meacher[pursuant to his answer, 18 December 2002, Official Report, c. 800W]: My answer was sent in error, referring to HFC as opposed to CHP. The answer below corrects the original.
666WThere has been no assessment made of the change in use of CHP by companies covered by climate change agreements. The agreements set targets for improvements in energy efficiency, which in some cases take account of the potential for CHP in the facility. In other cases, operators are required to make an assessment of the potential for CHP, which may result in a change to their targets. Operators are free to meet their targets in a range of ways.