To ask the Chancellor of the Exchequer (1) what the value is of support through the tax system for the use of tallow in the production of biodiesel; (82874)

The use of tallow in the production of biodiesel used as road fuel is supported through a duty incentive. Fuel produced from tallow is eligible for the rate of duty for biodiesel (currently 27.10p per litre) if it meets the legal definition of biodiesel for tax purposes set out in section 2AA of the Hydrocarbon Oil Duties Act 1979. In other cases it is liable to duty at 47.10p per litre.

In addition, tallow used in power generation is not liable to any duty, while fuel oil (which is mainly used for this purpose) is liable to duty at the rate of 6.04p per litre.

We have not carried out any assessment of the impact of decisions of other European Governments to lower or remove subsidies for the burning of tallow for power or in the production of biodiesel.