To ask the Secretary of State for Communities and Local Government if he will amend section 11 of the Local Government Act 1976 to permit local authorities to sell electricity other than that produced in association with heat. (323160)

I have been asked to reply.

The Government published a consultation document on proposals to allow local authorities to sell electricity they generate themselves from renewable sources on 2 March.

We believe that local authorities should play a full part in the development of renewable heat and electricity. Allowing local authorities to sell electricity generated by them from renewable sources is expected to encourage the development of local renewable electricity projects by those local authorities that are well-placed to undertake such projects either on their own or in partnerships.

The consultation document can be found at:

http://www.decc.gov.uk/en/content/cms/consultations/loc_auth_elec/loc_auth_elec.aspx

and has a closing date for responses of 2 June 2010.