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Biofuels: Subsidies

Question for Department for Business, Energy and Industrial Strategy

UIN 929, tabled on 16 October 2019

To ask the Secretary of State for Business, Energy and Industrial Strategy, whether the Government plans to (a) remove biomass subsidies and (b) increase support more sustainable, environmentally-friendly alternatives.

This answer is the replacement for a previous holding answer.

Answered on

23 October 2019

Sustainable biomass is currently eligible for support under the Contract for Difference (CFD), the Smart Export Guarantee (SEG) and the Renewable Heat Incentive (RHI).

We have announced that all support for coal to biomass conversions will end in 2027.

The consultation on ‘Renewable Heat Incentive: biomass combustion in urban areas’ included the question of excluding new biomass installations in urban areas on the gas grid. A government response will be published in due course. The RHI has funding committed until March 2021 and any further funding will be a matter for future budget-related decisions.

Sustainable biomass remains an important part of a balanced energy mix, along with other renewables such as wind or solar.

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