Written question asked by Martyn Jones (Labour) on Wednesday, 16 June 1999, in the House of Commons. It was due for an answer on Thursday, 24 June 1999. It was answered by Patricia Hewitt (Labour) on Thursday, 24 June 1999 on behalf of the Treasury.

Treasury

Question: To ask Mr Chancellor of the Exchequer, for what reasons the climate change levy is to be imposed on combined heat and power schemes.

Answer: Mr. Martyn Jones: To ask the Chancellor of the Exchequer for what reasons the climate change levy is to be imposed on combined heat and power schemes. [87681] Ms Hewitt: It is the intention that climate change levy should be charged on industrial and commercial use of electricity. The levy will be charged at the point of supply to the final consumer which means that the input to generation will be exempt. Combined Heat and Power (CHP) schemes are a form of electricity generation. The Customs and Excise consultation document asked for views on whether they should be treated as conventional generators, by relieving their input fuels and applying the levy to their outputs, or afforded special treatment whereby their input fuels are subject to the levy and the electricity they produced relieved. Officials are currently analysing responses to this exercise.

Secondary information

Type: Written question
Reference: 333 c462W; 87681
Session: 1998-99
Subjects: Climate Combined heat and power Climate change levy Energy Electricity generation Pollution control Taxation