Oral Answers to Questions
Debate between Fiona Bruce and Chris Huhne
Chris Huhne
There is absolutely no intention, and nor would it be possible, to use the ECO to subsidise banks. I am confident about that because unlike the Warm Front scheme, which Labour championed, the green deal provisions enable residents, having had a survey, not merely to go to the provider that did the survey, but to take that survey and get one or more alternative quotations. The introduction of competition into the process will guarantee that the subsidy goes to where it is needed—towards a reduction in carbon emissions and improvements in energy efficiency—not to providers, be they people in the industry or the banks.
Fiona Bruce (Congleton) (Con)
T6. The Middlewich company, Convert2Green, in my constituency, recently won the East Cheshire chamber of commerce environmental company of the year award. It converts used cooking oil, which would otherwise go into drains or landfill, into biodiesel for use in vehicles and elsewhere. The 20p duty differential for biodiesel has helped it to develop its innovative processes. What assessment has the Department made of the contribution of the 20p duty differential to the UK’s renewable energy targets, and what are the Government’s future plans for the differential?
Chris Huhne
I join my hon. Friend in congratulating the company involved. The recent quarterly renewable transport fuel obligation report gives clear evidence on the effectiveness of the 20p duty differential for biodiesel derived from used cooking oil in assisting the Government to exceed their greenhouse gas savings target, and in increasing substantially the retrieval of waste cooking oil, which otherwise would literally be poured down the drain or go to landfill. The differential has therefore made a valuable contribution to the Government’s renewable energy targets and waste strategy, and to the growth of the low-carbon economy.
Oral Answers to Questions
Debate between Fiona Bruce and Chris Huhne
Fiona Bruce (Congleton) (Con)
1. What assessment he has made of the potential contribution of bioenergy to the Government’s objectives for energy security and climate change.
The Secretary of State for Energy and Climate Change (Chris Huhne)
The Government believe that sustainable bioenergy, such as woody biomass, bioliquids and many other bioenergy forms, could contribute up to half the UK’s target of 15% renewable energy by 2020. That would deliver a greenhouse gas saving of 20 million tonnes of carbon dioxide equivalent by 2020. It would also improve the UK’s security of supply, as bioenergy is one of the few renewables that can generate energy on demand.
Fiona Bruce
Convert2Green, a biodiesel producer in my constituency, produces sustainable transport fuels from waste cooking oil. Those fuels currently benefit from a 20p fuel duty differential which is due to be abolished in April 2012, just three months after the renewable transport fuels obligation comes into effect. Will the Secretary of State consider the merits of an extension of the differential until the RTFO has had a chance to prove itself as a suitable support mechanism for the sustainable biodiesel industry?
Chris Huhne
The Government are keen to secure a more rapid development of all bioenergies, and the use of chip fat or any other cooking oil is certainly one option. I am afraid that the specific measure that my hon. Friend wishes me to warm to falls within the responsibility of the Chancellor of the Exchequer rather than that of my Department, but I am sure that the Chancellor is as mindful as I am of our commitment to becoming the greenest Government ever.