Monday 31 January 2011

Cable to answer questions on Green Bank

Vince Cable will be giving evidence to the Environment Audit Committee this Wednesday about the Green Investment Bank. The Business Secretary will be answering questions from MPs and giving oral evidence a fortnight after the same committee heard from suppliers.

Two weeks ago representatives from Scottish Power and EDF told the committee the GIB would be vital if the electricity sector is to raise the £200 billion needed to decarbonise the market by 2020. Among them was Paul Spence Director of Strategy for EDF.

He told the committee the GIB would be vital to encourage investment in the UK: "We've argued for a floor price for carbon and we believe if we want to decarbonise we have to put a value on that. The role of the Green Investment Bank is to make sure there's enough capital to drive this investment."

Mr Cable is expected to tell MPs about how the bank will operate and whether it will take on responsibility for setting the price of Carbon.