Question to the Department for Transport:

To ask the Secretary of State for Transport, what assessment he has made of the potential merits of introducing an effective minimum price for Renewable Transport Fuel to help ensure the value of (a) biomethane and (b) other low-carbon fuels.

A market for low carbon fuels used in transport, including biomethane, is promoted by the Renewable Transport Fuel Obligation (RTFO) certificate trading scheme. Under the scheme the minimum value of renewable transport fuel certificates (RTFCs), which can be rewarded to a range of low carbon fuels, is not fixed but is determined by the market. One of the benefits of the RTFO market-based scheme is in providing flexibility to suppliers in meeting their obligation thereby ensuring costs passed on to consumers are minimised.

The Department continually keeps the support schemes applicable to low carbon fuels used in transport under review to ensure these deliver cost effective reductions in emissions in line with UK Carbon budgets.