Energy Bill

I am sorry, but I need to make some progress. There are signals from other sources that the current market arrangements are insufficient. We have the European emissions trading scheme. The Environmental Audit Committee, on which I sit, commissioned—well, requested—an important report from the National Audit Office, which reported last March. It stated:""The range of uncertainties associated with Phase III"—" of the ETS—""means that no forward price for Phase III allowances has been established. It is through establishing a long-term stable carbon market with forward prices that the EU ETS should incentivise long-term investment in low carbon technologies. Until this is created the EU ETS is unlikely to be demonstrably achieving its objectives."" It concluded:""The absence of long-term carbon price signals has a particular effect on some key sectors, such as the power sector, because of the long asset lives associated with new investments."" We even have academic support.