Nuclear Power

Question: Does my right hon. Friend agree that the best way to get the long-term investment that we need in both low-carbon and no-carbon energy is to set a high price on carbon? Is it his judgment that the next stage of the European emissions trading scheme will, in fact, enable that price on carbon to be set effectively?

Answer: Yes, I agree strongly with my right hon. Friend about the importance of the emissions trading scheme, and I thank her for all the work that she did when she was leading my Department. She did an excellent job. Our aim is to make the scheme the principal mechanism in helping us to meet the challenge of climate change and reduce carbon emissions. I agree with her strongly that the proof of the pudding will be in setting an effective market price for carbon—and that would certainly be higher than it is at the moment.

Secondary information