Emissions Trading Scheme: Transport

Baroness Blackstone Excerpts
Monday 11th October 2021

(1 month, 3 weeks ago)

Lords Chamber

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Department for Business, Energy and Industrial Strategy
Lord Callanan Portrait Lord Callanan (Con)
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I recognise the points the noble Lord makes and he will be aware that, in the transport decarbonisation plan, there is a commitment to assess how economic instruments could be used to accelerate decarbonisation measures alongside all the other aspirations of the plan.

Baroness Blackstone Portrait Baroness Blackstone (Ind Lab)
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How do the Government intend to respond to the report from the Climate Crisis Advisory Group on carbon pricing, which says that emissions reductions from the advanced economies fall far short of what has been promised? I quote:

“Much stronger policy action across all sectors is needed”.

In particular, can he indicate the Government’s intention on a carbon border adjustment mechanism, and whether such a mechanism could raise nearly €10 billion a year as the Financial Times has claimed?

Lord Callanan Portrait Lord Callanan (Con)
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Of course, these matters are never as simple as the noble Baroness makes out. Building on the previous Answer from my noble friend Lord Agnew, I say that it is important to recognise that the UK is proceeding faster than any other G7 country in our decarbonisation efforts. I am aware that the EU is looking at a carbon border adjustment mechanism—we will see if it happens or not—and of course we will look at the proposal.