Renew able Transport Fuel Obligation: consultation 2 0 0 7 Rupert - - PowerPoint PPT Presentation

renew able transport fuel obligation consultation 2 0 0 7
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Renew able Transport Fuel Obligation: consultation 2 0 0 7 Rupert - - PowerPoint PPT Presentation

Renew able Transport Fuel Obligation: consultation 2 0 0 7 Rupert Furness, Department for Transport Rupert Furness, Department for Transport March 2007 March 2007 Background RTFO due to start in April 2008 RTFO due to start in April


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SLIDE 1

Renew able Transport Fuel Obligation: consultation 2 0 0 7

Rupert Furness, Department for Transport March 2007 Rupert Furness, Department for Transport March 2007

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SLIDE 2

Background

  • RTFO due to start in April 2008
  • Energy Act 2004 contained broad enabling powers, but all detail

to be set out in secondary legislation (ie the RTFO Order 2007)

  • Consultation seeks views on
  • detail of RTFO Order, ie how the scheme will operate from

April 2008; and

  • long-term evolution of RTFO
  • RTFO due to start in April 2008
  • Energy Act 2004 contained broad enabling powers, but all detail

to be set out in secondary legislation (ie the RTFO Order 2007)

  • Consultation seeks views on
  • detail of RTFO Order, ie how the scheme will operate from

April 2008; and

  • long-term evolution of RTFO
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SLIDE 3

RTFO consultation pack

  • Three main sections:
  • Covering consultation paper seeking views on:
  • Detailed design of scheme
  • Longer term evolution of RTFO
  • Partial Regulatory Impact Assessment
  • Draft RTFO Order
  • Deadline for comments 17 May 2007, but earlier responses

welcomed and proactive engagement with stakeholders throughout consultation period.

  • Three main sections:
  • Covering consultation paper seeking views on:
  • Detailed design of scheme
  • Longer term evolution of RTFO
  • Partial Regulatory Impact Assessment
  • Draft RTFO Order
  • Deadline for comments 17 May 2007, but earlier responses

welcomed and proactive engagement with stakeholders throughout consultation period.

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SLIDE 4

Schem e design – som e key issues

  • Definition of obligated supplier
  • Plan A versus Plan B – preference for plan B, but issue finely

balanced and still open to arguments

  • Level of Obligation
  • Set as percentage of fossil fuel sales – which leads to

levels of 2.5641%, 3.8961% and 5.2632% in first three years

  • Definition of obligated supplier
  • Plan A versus Plan B – preference for plan B, but issue finely

balanced and still open to arguments

  • Level of Obligation
  • Set as percentage of fossil fuel sales – which leads to

levels of 2.5641%, 3.8961% and 5.2632% in first three years

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SLIDE 5

Schem e design – som e key issues

  • Monthly and annual reporting requirements, both on fossil fuels

and on biofuels

  • Data requirement from obligated and non-obligated

companies

  • Compliance costs
  • Whether HMG could do more to ensure sustainability of

biofuels

  • Monthly and annual reporting requirements, both on fossil fuels

and on biofuels

  • Data requirement from obligated and non-obligated

companies

  • Compliance costs
  • Whether HMG could do more to ensure sustainability of

biofuels

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SLIDE 6

Long term future: key issues

  • Linking RTF certificates to carbon saving and/or minimum

sustainability standards: how and when?

  • Future RTFO targets: nature, level and timing
  • Impacts of RTFO on other sectors (food, oleochemicals)
  • What more might/should HMG do to support “advanced”

biofuels and/or use of high blend biofuels (E85 etc)?

  • Linking RTF certificates to carbon saving and/or minimum

sustainability standards: how and when?

  • Future RTFO targets: nature, level and timing
  • Impacts of RTFO on other sectors (food, oleochemicals)
  • What more might/should HMG do to support “advanced”

biofuels and/or use of high blend biofuels (E85 etc)?

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SLIDE 7

Next steps

  • Will be discussing key issues with stakeholders between

now and May 17.

  • Stakeholder workshops at DfT on 21 and 22 March will

focus on part 1 of the consultation (ie detailed scheme design)

  • Further stakeholder workshop to consider broader issues

raised by part 2 of the consultation on Tuesday 24 April

  • Will be discussing key issues with stakeholders between

now and May 17.

  • Stakeholder workshops at DfT on 21 and 22 March will

focus on part 1 of the consultation (ie detailed scheme design)

  • Further stakeholder workshop to consider broader issues

raised by part 2 of the consultation on Tuesday 24 April

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SLIDE 8

Next steps ( cont)

  • After May 17, will make any necessary amendments to

RTFO Order and get final draft to the various Parliamentary scrutiny Committees.

  • Ministers may also make an announcement on long-term

nature of RTFO

  • RTFO Order to be laid in Parliament and debated in

Commons and Lords in autumn.

  • After May 17, will make any necessary amendments to

RTFO Order and get final draft to the various Parliamentary scrutiny Committees.

  • Ministers may also make an announcement on long-term

nature of RTFO

  • RTFO Order to be laid in Parliament and debated in

Commons and Lords in autumn.

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SLIDE 9

Conclusions

  • Interested to hear initial views today on any of the issues

raised in the consultation paper and/or the process.

  • Strongly encourage LowCVP members to submit formal

written responses to consultation as soon as possible, by email to rtfo.consultation@dft.gsi.gov.uk.

  • Also encourage LowCVP members to visit our website

(http://www.dft.gov.uk/roads/rtfo ) and subscribe to our newsletters.

  • Interested to hear initial views today on any of the issues

raised in the consultation paper and/or the process.

  • Strongly encourage LowCVP members to submit formal

written responses to consultation as soon as possible, by email to rtfo.consultation@dft.gsi.gov.uk.

  • Also encourage LowCVP members to visit our website

(http://www.dft.gov.uk/roads/rtfo ) and subscribe to our newsletters.