Department for Business, Energy and Industrial Strategy written question – answered on 19th November 2018
Judith Cummins Labour, Bradford South
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to support the UK chemical industry with energy costs.
Richard Harrington Parliamentary Under-Secretary (Department for Business, Energy and Industrial Strategy)
In the Chemistry Council Strategy the sector has welcomed the UK Clean Growth Strategy and its cost-effective approach to decarbonisation, including a joint Chemical Sector Roadmap Action Plan, with its focus on low carbon opportunities while ensuring affordable and internationally competitive energy.
Since 2013 chemical sector businesses have received have received more than £160 million under the EU’s Emmisions Trading Scheme, Carbon Price Support, Renewables Obligation and Feed-In-Tariffs.
The chemical industry will have the opportunity to benefit from the new Industrial Energy Transformation Fund announced in the Budget. This will help businesses, including those in the chemical sector, that use large amounts of energy to transition to using less.
We anticipate that funding will be available for energy efficiency investments for a range of technologies relevant to the chemical industry, including more efficient compressors and pumps and transformative decarbonisation investments.
Funding, backed by £315 million new money, will be available from 2020/2021, providing the Government time to consult on how the Fund should be implemented and providing businesses, including those in the chemical sector, with the time to prepare proposals.