To ask the Secretary of State for Business, Enterprise and Regulatory Reform pursuant to the answer of 2 April 2008, Official Report, column 1078W, on nuclear power, from which elements and components the 10 per cent. discount rate is derived; and what value is assigned to each.

The choice of a 10 per cent. discount rate was based on its use in a number of studies of costs across nuclear and other electricity generation technologies by the International Energy Agency and other organisations. The rate has not been disaggregated in any way into component parts. Sensitivity analysis was, however, carried out to observe the impact of using both higher and lower discount rates.