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1091273

registered interest
date	19/03/2019
answering body	Department for Business, Energy and Industrial Strategy
answering dept id	201
answering dept short name	Business, Energy and Industrial Strategy
answering dept sort name	Business, Energy and Industrial Strategy
hansard heading	Biofuels and Wind Power: Finance
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Business, Energy and Industrial Strategy why Contracts for Difference (CfD), for what reasons strike prices have been higher for dedicated biomass technologies than for offshore wind during CfD allocation rounds two and three.
tabling member constituency	Stirling
tabling member printed	Stephen Kerr
uin	234221
answer	answer is ministerial correction date of answer 26/03/2019 answer text <p>In CfD Allocation Round 2 dedicated biomass and offshore wind cleared at the same strike price of £74.75MWh for delivery year 2021/22.</p><p> </p><p>The Administrative Strike Prices (ASPs) set out the maximum support that the Government is willing to offer developers for each technology in a given delivery year. In setting the ASPs, the government has drawn upon the latest generation cost data, while also considering market conditions, policy considerations and other technology specific factors in order to encourage new investment whilst ensuring value for money for consumers.</p><p> </p><p>The methodology used to determine the draft ASPs for the third allocation round is published here: <a href="https://www.gov.uk/government/publications/contract-for-difference-cfd-third-allocation-round-methodology-used-to-set-administrative-strike-prices" target="_blank">https://www.gov.uk/government/publications/contract-for-difference-cfd-third-allocation-round-methodology-used-to-set-administrative-strike-prices</a></p><p> </p><p>CfDs are awarded in a series of competitive auctions, with the lowest price bids being successful as a means of driving cost reduction and project efficiencies.</p> answering member constituency Devizes answering member printed Claire Perry question first answered 26/03/2019 15:27:32 answering member 3974 label Biography information for Claire Perry
tabling member	4604 label Biography information for Stephen Kerr

1091274

registered interest
date	19/03/2019
answering body	Department for Business, Energy and Industrial Strategy
answering dept id	201
answering dept short name	Business, Energy and Industrial Strategy
answering dept sort name	Business, Energy and Industrial Strategy
hansard heading	Biofuels and Wind Power: Finance
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Business, Energy and Industrial Strategy if he will make it his policy to create parity under Contract for Difference allocation rounds two and three between dedicated biomass with CHP and offshore wind; and if he will make a statement.
tabling member constituency	Stirling
tabling member printed	Stephen Kerr
uin	234222
answer	answer is ministerial correction date of answer 26/03/2019 answer text <p>A draft budget notice was published in November 2018, which outlined the proposed Administrative Strike Prices (ASPs) for all technologies eligible to compete in the next allocation round, this notice can be found here: <a href="https://www.gov.uk/government/publications/contracts-for-difference-cfd-draft-budget-notice-for-the-third-allocation-round" target="_blank">https://www.gov.uk/government/publications/contracts-for-difference-cfd-draft-budget-notice-for-the-third-allocation-round</a></p><p> </p><p>In setting the ASPs, the government has drawn upon the latest generation cost data, while also considering market conditions, policy considerations and other technology specific factors in order to encourage new investment whilst ensuring value for money for consumers.</p><p> </p><p>The methodology used to determine the draft ASPs for the third allocation round is published here: <a href="https://www.gov.uk/government/publications/contract-for-difference-cfd-third-allocation-round-methodology-used-to-set-administrative-strike-prices" target="_blank">https://www.gov.uk/government/publications/contract-for-difference-cfd-third-allocation-round-methodology-used-to-set-administrative-strike-prices</a></p> answering member constituency Devizes answering member printed Claire Perry question first answered 26/03/2019 15:27:40 answering member 3974 label Biography information for Claire Perry
tabling member	4604 label Biography information for Stephen Kerr

1091275

registered interest
date	19/03/2019
answering body	Department for Business, Energy and Industrial Strategy
answering dept id	201
answering dept short name	Business, Energy and Industrial Strategy
answering dept sort name	Business, Energy and Industrial Strategy
hansard heading	Biofuels: Grangemouth
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Business, Energy and Industrial, if he will provide an update on the delivery of the Grangemouth Renewable Energy Plant which was awarded a Contract for Difference in 2017 as part of CfD allocation round two.
tabling member constituency	Stirling
tabling member printed	Stephen Kerr
uin	234223
answer	answer is ministerial correction date of answer 26/03/2019 answer text <p>The Low Carbon Contracts Company (LCCC) announced on 19 October 2018 its decision to terminate the contract for difference (CfD) awarded to Grangemouth Renewable Energy Plant for failing to make sufficient progress by the Milestone Delivery Date. The press release is available on the LCCC’s web site - <a href="https://www.lowcarboncontracts.uk/" target="_blank">https://www.lowcarboncontracts.uk/</a></p><p> </p><p>CfDs are private law contracts between a generator and the LCCC, and decisions relating to whether a generator has met its milestone requirement are for the LCCC.</p> answering member constituency Devizes answering member printed Claire Perry question first answered 26/03/2019 15:27:49 answering member 3974 label Biography information for Claire Perry
tabling member	4604 label Biography information for Stephen Kerr

1091276

registered interest
date	19/03/2019
answering body	Department for Business, Energy and Industrial Strategy
answering dept id	201
answering dept short name	Business, Energy and Industrial Strategy
answering dept sort name	Business, Energy and Industrial Strategy
hansard heading	Renewable Heat Incentive Scheme: Cost Effectiveness
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the value for money of the renewable heat incentive subsidy mechanism; and if he will make a statement.
tabling member constituency	Stirling
tabling member printed	Stephen Kerr
uin	234224
answer	answer is ministerial correction date of answer 26/03/2019 answer text <p>The Renewable Heat Incentive (RHI) compares favourably to other ways of saving carbon or generating renewable energy across the economy, contributes to our renewable targets, and plays a significant role in supporting supply chains in the renewable heating industry.</p><p> </p><p>The Department for Business, Energy and Industrial Strategy (BEIS), and prior to BEIS, the Department for Energy and Climate Change (DECC) has made regular assessments of value for money in the RHI subsidy mechanism. The latest scheme Impact Assessment was made in February 2018 and is available on GOV.UK.</p><p> </p><p>The RHI was reformed in 2017 and 2018 to focus on long-term decarbonisation, improve consumer protection, support supply chain growth and improve value for money for the taxpayer. These reforms included setting maximum heat demand limits for biomass, air source and ground source heat pumps in the Domestic RHI, removing wood drying as an eligible heat use for the Non-domestic scheme and giving Ofgem greater enforcement powers.</p> answering member constituency Devizes answering member printed Claire Perry question first answered 26/03/2019 15:27:56 answering member 3974 label Biography information for Claire Perry
tabling member	4604 label Biography information for Stephen Kerr

1091280

registered interest
date	19/03/2019
answering body	Department for Business, Energy and Industrial Strategy
answering dept id	201
answering dept short name	Business, Energy and Industrial Strategy
answering dept sort name	Business, Energy and Industrial Strategy
hansard heading	Biofuels: Timber
house id	1
legislature	25259 pref label House of Commons
question text	To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will make an assessment of the potential carbon and economic value generated by restricting the amount and type of wood that biomass plants in receipt of subsidies can use as fuel; and if he will make a statement.
tabling member constituency	Stirling
tabling member printed	Stephen Kerr
uin	234228
answer	answer is ministerial correction date of answer 26/03/2019 answer text <p>Biomass plants in receipt of subsidies must comply with the UK’s sustainability criteria. Plants with a capacity of 1 megawatt and above must also prepare an annual sustainability report, compiled by a third-party auditor, which will provide assurance that the biomass is from sustainable sources.</p><p> </p><p>Wood is a globally trade commodity. Prices are influenced by global demand, currency exchange rates and weather conditions. Our Wood Fuel Disclosure Survey concluded that most of the wood fuel used for electricity generation in the UK is imported and that the volumes of UK wood used are expected to remain constant.</p><p> </p><p>Energy markets have grown in recent years and this has benefited woodland owners and contractors who have increased harvesting rates. Availability forecasts suggest there is potential to increase production further if businesses are willing to invest in the supply chain and encourage more woodland owners to enter the market.</p> answering member constituency Devizes answering member printed Claire Perry question first answered 26/03/2019 15:06:59 answering member 3974 label Biography information for Claire Perry
tabling member	4604 label Biography information for Stephen Kerr