BP Decarbonised Fuel Project (Scotland)

Trade and Industry written statement – made on 4th July 2005.

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Photo of Malcolm Wicks Malcolm Wicks Minister for energy, Department of Trade and Industry

The cleaner use of fossil fuels, including CO 2 capture and storage and hydrogen, offer important options for the future UK and international sustainable energy mix. The project announced by BP and its partners on 30 June is one of a number of potential innovative project opportunities that offer the prospect of demonstrating cleaner fossil fuel technologies, driving forward the next generation of plant.

The Government recognise the importance of incentives in encouraging the development of cleaner fossil fuel energy technologies. In this regard, the Government recently published their carbon abatement technologies strategy and its response to the UK hydrogen strategic framework, which involves a combined package of £40 million for funding demonstrations of emerging low-carbon technologies including carbon abatement technologies and hydrogen and fuel cells. Further, the Government are also examining how they might support the development of carbon capture and storage in the climate change programme review, including the potential for new economic incentives. The Government will in parallel continue work to resolve the regulatory and legal issues related to CO 2 capture and storage.