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Dept of Trade and Industry

Answer

Mr. Bellingham: To ask the Secretary of State for Trade and Industry (1) what comparative studies her Department has undertaken with other European countries which have introduced subsidies for wood- fired power stations; what impact such subsidies have been seen to have had on the availability of wood for other purposes; and if she will make a statement; [119178] (2) what assessment her Department has made of the impact of the Government's renewable energy policy on UK wood panel manufacturers; [119179] (3) what assessment her Department has made of the impact on the availability of wood suitable for products of subsidies paid to electricity suppliers in the form of renewable obligation certificates. [119180] Mr. Timms: The Renewables Obligation is the main instrument put in place by Government to promote the development of renewable forms of energy in the UK. The obligation is intended to provide an impetus for new generating capacity that will be required to meet our current targets for renewable energy set in the Energy White Paper and as a basis for further reductions in carbon dioxide emissions under Kyoto. My officials are facilitating work between representatives of the UK wood industry and co-firing power stations to explore the opportunities offered by co-firing under the obligation for UK forestry, and, in particular, the potential for using byproducts from existing wood industries. It is hoped that this initiative, if successful, will have the dual benefit of reducing imports and making more biomass available for a larger market in the UK, thereby helping to stabilise prices. We understand from the forestry industry that it can meet demand from power generators from existing surplus forestry material. My officials are obtaining further information on the availability of forestry material used by power generators and wood panel manufacturers. In addition, we are currently reviewing the co-firing rules under the obligation with a view to encouraging stronger take-up of energy crops by farmers which should, in time, relieve any pressure on forestry material.

Secondary information

Type

Written question

Reference

407 c682-3W;407 c684-5W; 119178;119179;119180

Session

2002-03

Subjects

Biofuels EU countries Electricity generation Forestry Government assistance Power stations Renewable energy Timber Forest products Renewables obligation Woodworking

Link

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