Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to prevent tax avoidance by participants in the Contracts for Difference scheme.

The Contracts for Difference (CfD) scheme is the Government’s main mechanism for supporting low carbon electricity generation. The Low Carbon Contracts Company (LCCC) works with CfD generators to ensure that they deliver on their contractual commitments to build and operate low-carbon electricity generating stations. The LCCC pays CfD generators for the low-carbon electricity that they produce. As with any other commercial undertaking operating within the UK, it is for each electricity generator supported by the CfD scheme to pay its taxes in accordance with UK tax rules.