Asked by: Preet Kaur Gill (Labour (Co-op) - Birmingham, Edgbaston)
Question to the Department for Environment, Food and Rural Affairs:
To ask the Secretary of State for Environment Food and Rural Affairs, what assessment she made of the potential impact of the UK's use of grain as biofuel on global food security.
Answered by Mark Spencer - Minister of State (Department for Environment, Food and Rural Affairs)
The UK represents a very small proportion, roughly 0.5%, of global crop-based biofuel consumption and our use of crop-based feed stocks therefore has a relatively small impact on global food prices and security. The Renewable Transport Fuel Obligation, the main mechanism incentivising renewable transport fuels in the UK, includes a cap on the proportion of crop derived biofuel that can be supplied each year and provides a double reward for fuels produced from wastes and residues. Because of this, 76% of renewable fuel supplied in the UK was derived from wastes in 2021 – one of the highest proportions in Europe.
The cap on crop derived fuels reduces each year as part of a continual transition to waste-based fuels. This ambition is supported by the forthcoming sustainable aviation fuel mandate, which will not allow the use of crop-based biofuels.
Asked by: Beth Winter (Labour - Cynon Valley)
Question to the Department for Energy Security & Net Zero:
To ask the Secretary of State for Energy Security and Net Zero, whether his Department has made a recent assessment of policy solutions to local geographic price variations in retail fuel prices.
Answered by Graham Stuart
The Competition and Markets Authority (CMA) is continuing its road fuel market study. The CMA’s investigations will focus on the relationship between wholesale and retail fuel prices, factors driving local and regional variations in prices, and the role played by major supermarkets in the road fuel retail sector. The final report, including any recommendations on next steps, will be published in the Spring with the final report published before the statutory deadline of 7 July. The Government will carefully consider the recommendations, as well as looking at pro consumer options, which could give drivers better access to fuel price data.
Asked by: Liz Twist (Labour - Blaydon)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what estimate he has made of the average increase in energy costs for (a) sports and (b) community organisations using alternative fuels since 1 January 2022.
Answered by Graham Stuart
BEIS does not hold information at that level of detail for sports and community organisations.
Latest published statistics on standard grade burning oil show prices were 30.7% higher in December 2022 compared to January 2022 (with prices peaking in June 2022). The price of coal (domestic use only) increased by 29.0% in December 2022 compared to January 2022.
Notes:
1). The latest published data for standard grade burning oil and coal is up to December 2022.
2). Standard grade burning oil is sourced from BEIS Monthly and annual prices of road fuels and petroleum products (table 4.1.1).
3). BEIS figures are based on mid-monthly figures rather than first day of the month.
4). ONS data is sourced from RPI: Average price of smokeless fuel per 50kg dataset within the Consumer price inflation time series
Asked by: Lord Taylor of Warwick (Non-affiliated - Life peer)
Question to the Department for Business, Energy and Industrial Strategy:
To ask His Majesty's Government what steps they are taking to strengthen Britain’s reputation as an international partner in the energy industry.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The United Kingdom became the first major economy in the world to pass laws to end its contribution to global warming by 2050. Its Net Zero Strategy will secure 480,000 well-paid jobs and unlock £100 billion in investment in 2030. The North Sea Transition Deal sets out how the Government will partner with industry to transition the UK Continental Shelf to a net zero basin by 2050.
The UK works closely with international energy partners through the G7, G20 and International Energy Agency. The Government led the way to reduce dependence on Russian fossil fuels in order to starve Putin’s war machine, including through energy sanctions, and maintain stable energy markets and prices. The Government will also continue to support Ukraine and has committed a total of £22 million and additional guarantees to support Ukraine’s energy sector.
Asked by: Justin Madders (Labour - Ellesmere Port and Neston)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, whether he has had recent discussions with relevant stakeholders on the potential merits of providing additional support to households with renewable energy heating systems in the context of the rise in the cost of wood pellets.
Answered by Graham Stuart
The Government has doubled support to £200 for households using alternative fuels, including those using wood pellets, in recognition of the pressures caused by these rising fuel costs. The Government is committed to continued monitoring of prices over the coming months and will consider further intervention if required to protect UK households from extraordinary fuel prices.
Asked by: Carla Lockhart (Democratic Unionist Party - Upper Bann)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what recent assessment the Government has made of the impact of market fluctuations in the price of diesel and home heating oil on household budgets; and what steps the Government is taking to help ensure security of supply of those fuels.
Answered by Graham Stuart
The Government understands the pressures people are facing with the cost of living and fuel prices are an important component of UK households’ expenditure. The Government has set out a £37 billion package of support including the biggest ever cut to fuel duty rates – worth £5 billion. This also includes financial support for heating oil customers in the form of a £200 Alternative Fuel Payment.
In light of Putin’s invasion of Ukraine, the Government has taken steps to end all imports of Russian fossil fuels. The UK has no issues with oil supply and is not dependent on Russian energy imports.
Asked by: Lord Bishop of St Albans (Bishops - Bishops)
Question to the Department for Business, Energy and Industrial Strategy:
To ask His Majesty's Government, further to the Written Answer by Lord Callanan on 17 November (HL3214), why they have no plans for a price cap on alternative fuel.
Answered by Lord Callanan - Parliamentary Under Secretary of State (Department for Energy Security and Net Zero)
The markets for alternative fuels – including heating oil, coal, LPG, and biomass – contain a large range of suppliers not subject to the same regulation as electricity and gas suppliers. This means there is no single regulated standard price to modify by the imposition of a price cap.
The Government has doubled support to £200 for alternatively fuelled households, in recognition of the pressures caused by these rising fuel costs. The Government will continue to monitor the prices of alternative fuels and will consider further intervention if required to protect UK households from extraordinary fuel prices.
Asked by: Daisy Cooper (Liberal Democrat - St Albans)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, with reference to the Competition and Markets Authority’s road fuel review, published on 12 October 2022, what estimate he has made of time it will take to create an open data scheme through which individual forecourt prices are collected and made available.
Answered by Graham Stuart
I refer the Hon. Member to the answer I gave the Hon. Member for East Dunbartonshire on 18 November 2022 to Question 82451.
Asked by: Henry Smith (Conservative - Crawley)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps he is taking to support (a) households and (b) businesses with fuel costs in winter 2022-23.
Answered by Graham Stuart
For households, the Energy Price Guarantee limits the amount that can be charged for gas and electricity and will save a typical British household around £900 this winter. The Energy Bills Support Scheme provides households with a non-repayable £400 discount off energy bills, delivered automatically via electricity suppliers. Support is also available for households using alternative fuels and households not on standard electricity contracts.
For businesses the Energy Bill Relief scheme provides a reduction in energy prices automatically applied to eligible bills. Equivalent support will be provided for non-domestic consumers who use alternative fuels instead of gas. There will be further details to follow as soon as possible.
Asked by: Baroness Mallalieu (Labour - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what plans they have, if any, to review the prohibition of the use of red diesel for off-road purposes in relation to the equine industry.
Answered by Baroness Penn - Minister on Leave (Parliamentary Under Secretary of State)
The Government confirmed at Spring Budget 2021 that it would remove the entitlement to use red diesel from most sectors from April 2022.
The Government recognised that this would be a significant change for some businesses and ran a consultation to gather information from affected users on the expected impact of these tax changes and make sure it had not overlooked any exceptional reasons why other sectors should be allowed to continue to use red diesel beyond April 2022.
Having assessed the cases made by other sectors to retain their red diesel entitlement, the Government did not believe that they were compelling enough to outweigh the need to ensure fairness between the different users of diesel fuels, the Government’s long-term environmental objectives and the need for the tax system to incentivise the development of greener alternatives to polluting fuels.
In response to high fuel prices, the Government announced a temporary 12-month cut to the duty on petrol and diesel of 5p per litre and an equivalent percentage cut on the rates for rebated fuels. Overall, this is a tax cut for consumers, including small businesses, worth around £2.4 billion in 2022-23.
As with all taxes, the Government keeps the red diesel entitlement under review.