Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, if he will make an assessment of the potential impact of different rules on the eligibility of biomethane to the (a) UK and (b) EU emissions trading scheme on costs to industry.

The Government recognises biomethane as a practical and cost-effective way of contributing to net zero greenhouse gas emissions. The UK Emissions Trading Scheme (ETS) applies a zero emissions factor to combustion of biomethane where supplied directly to ETS installations. Where biomethane is injected into the gas grid, there is not currently a mechanism to ensure biomethane is accounted for separately.

The UK Government and the EU commission have committed to work towards establishing a link between carbon markets, with the details of a potential link subject to negotiations.