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Dept of Trade and Industry

Answer

Mr. Bill O'Brien: To ask the Secretary of State for Trade and Industry if she will make a statement on the EU directive introduced on reducing further emissions of gases from coal and oil-fired power stations and the implications for electricity prices. [72349] Mr. Wilson: Among its provisions, EC Directive 2001/80/EC, otherwise known as the Large Combustion Plant Directive (LCPD), requires that so called ``existing plants'' (defined as those for which the original construction or operating licence was granted prior to 1 July 1987) comply with emission limit values (ELVs) for sulphur dioxide (SO2), nitrogen oxides (NOx) and dust, by 1 January 2008. Such limits apply to all large combustion plants with a rated thermal input of 50MW or above, not just to power stations. As an alternative to meeting ELVs, existing plants may be subject to a National Plan. Such a plan would reduce the total annual emissions of these pollutants to the levels that would have been achieved by applying the ELVs referred to above to the existing plants in operation in the year 2000, on the basis of each plant's operational performance averaged over the last five years of operation up to and including 2000. The LCPD leaves it open to Member States to decide whether, instead of pursuing the specified ELV approach, to develop a National Plan approach, which could offer some additional flexibility, while meeting the broad aims of the Directive. Existing plants may, however, as a derogation from the LCPD, opt to operate for a maximum of 20,000 hours between 1 January 2008 and 31 December 2015 during which time they may operate with less stringent emission limits. At the end of this period, existing plants opting to operate under the 20,000 hour derogation must close. We do not yet know which approach to implementing the LCPD would best suit the UK's needs. Such a decision will need to take account of the costs and benefits of each approach, as well as the UK's energy policy objectives. There will be consultations before a decision is taken. The implications for electricity prices will not be clearer until consultation and appropriate analysis of future options has been completed.

Secondary information

Type

Written question

Reference

390 c890W;390 c910W; 72349

Session

2001-02

EC documents

Dir2001/80/EC

Subjects

Coal fired power stations Electricity EU action Power stations Pollution control Prices Oil fired power stations

Link

View this Written question on www.publications.parliament.uk