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TRADE AND INDUSTRY

Asbestos

Malcolm Bruce: To ask the Secretary of State for Trade and Industry if she will list the buildings occupied by her departmental staff and agency staff, which require (a) remedial work on and (b) the removal of asbestos; what that work will cost; what budgets are available for this work for (i) 2004 and (ii) 2005; and what budget is available for future asbestos surveys. [159367]

Ms Hewitt: The Department of Trade and Industry (DTI) has no buildings which currently require remedial work or removal of asbestos. There is no specific budget for asbestos surveys or any resulting remedial work and such costs are included as part of the normal operating costs associated with the DTI estate. For those agencies where the Department holds budgetary information, the position is similar.

Broadband

Mr. Stephen O'Brien: To ask the Secretary of State for Trade and Industry what assessment she has made of the benefits that could accrue from the process of local loop unbundling. [157244]

Mr. Timms: Local loop unbundling is increasingly widely used in the UK.

The Government believe the key benefit to accrue from the process of local loop unbundling is the promotion of competition.

Ofcom has proposed a local loop unbundling market review in its Annual Plan for 2004–05.

Cast Metal Industry

Mr. Bailey: To ask the Secretary of State for Trade and Industry what assessment she has made of the impact of the change in scrap metal prices on the British cast metal industry. [159027]

Jacqui Smith: I am aware of the difficulties that are being faced by UK cast metal producers as a result of rises in the world price of scrap metal and industry's concerns about the implications for competitiveness. It is widely accepted that the cause is soaring demand for steel in China and the knock-on effect on raw materials costs. We are monitoring developments and I will be meeting my hon. Friend the representatives of the cast metals industry later this month to discuss the situation further.

Combined Heat and Power

Miss McIntosh: To ask the Secretary of State for Trade and Industry what her Department's responsibilities are for meeting the Energy White Paper target of achieving 10GW of combined heat and power by 2010. [159209]

Mr. Timms: Defra take the lead on delivery of the combined heat and power (CHP) target, working closely with DTI and other departments and agencies as part of the Sustainable Energy Policy Network.

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My right hon. Friend the Secretary of State for Trade and Industry has recently issued guidance to the Gas and Electricity Markets Authority on social and environmental issues, under the terms of the Utilities Act 2000, drawing attention to the importance of Energy White Paper goals, including the 10GW CHP target.

Further information on how the Government are working towards the Energy White Paper target will be available in the CHP Strategy, due to be published after the Easter recess.

Miss McIntosh: To ask the Secretary of State for Trade and Industry what discussions her Department has had with the Department for Environment, Food and Rural Affairs concerning combined heat and power; and if she will make a statement. [159210]

Mr. Timms: The Department has regular discussions with the Department for Environment, Food and Rural Affairs about combined heat and power both in the context of implementing the Energy White Paper and preparing for debates on the Energy Bill.

Company Voluntary Agreements

Mr. Simmonds: To ask the Secretary of State for Trade and Industry if she will make a statement on the effectiveness of company voluntary agreements. [159165]

Mr. Sutcliffe: The company voluntary arrangement procedure was introduced in 1986 and allows a financially troubled company to reach a binding agreement with its creditors to pay them in full or in part over a period of time. However, the recession of the early 1990s showed it was not particularly effective for the small financially troubled company because there was no stay on creditors' actions in the period before an arrangement could be agreed. Therefore, in 2000, this Government introduced the option of a short stay on creditors' rights, into that procedure, to give the company's management a breathing space in which to put a rescue plan to creditors. Other technical amendments were also made to improve the procedure's efficiency and effectiveness.

Mr. Simmonds: To ask the Secretary of State for Trade and Industry in how many company voluntary agreements creditors received monies owed in each year since 2000. [159166]

Mr. Sutcliffe: We do not record statistical data which would provide this information.

Mr. Simmonds: To ask the Secretary of State for Trade and Industry how many company voluntary agreements were entered into in each year since 2000. [159167]

Mr. Sutcliffe: In the years 2000, 2001, 2002 and 2003 respectively 557, 597, 651 and 726 company voluntary arrangements were entered into.

Mr. Simmonds: To ask the Secretary of State for Trade and Industry how many companies have entered into company voluntary agreements and have continued trading in each year since 2000. [159168]

Mr. Sutcliffe: In the years 2000, 2001, 2002 and 2003 respectively 557, 597, 651 and 726 companies entered into voluntary arrangements but we do not record

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statistical data, which would reveal how many of them continued trading once the arrangements had been agreed.

Copyright Directive

Mr. Sheerman: To ask the Secretary of State for Trade and Industry what progress has been made with ensuring compliance with the EU Copyright Directive; and if she will make a statement. [159008]

Ms Hewitt: The Copyright and Related Rights Regulations 2003 (SI 2003 No. 2498) bringing UK law into full compliance with the EU copyright Directive came into force on 31 October 2003.

Data Protection

John Robertson: To ask the Secretary of State for Trade and Industry what assessment her Department has made of the data protection implications of the offshoring of the processing of financial details. [159125]

Ms Hewitt: Under the Data Protection Act, companies who control data remain responsible for how data are processed overseas on their behalf. They remain bound by the requirements of the Act, in particular its requirement for data to be kept secure. The method of transfer must include measures to ensure the security of the processing and security against breaches of the Act. Companies must also be open with individuals about how information they collect on them is intended to be used.

Democratic Republic of the Congo

Jeremy Corbyn: To ask the Secretary of State for Trade and Industry how much coltan was imported by the United Kingdom from the Democratic Republic of the Congo in each of the last two years; and if she will make a statement. [159242]

Mr. Mike O'Brien: According to information published by HM Customs and Excise, there were no imports of coltan from the Democratic Republic of Congo into the United Kingdom in 2002 or 2003.

Elexon Ltd.

Mr. Hopkins: To ask the Secretary of State for Trade and Industry what assessment she has made of whether Elexon Ltd.'s remit should be extended to electricity trading arrangements in Scotland. [159089]

Mr. Timms [holding answer 8 March 2004]: Ofgem and the Department of Trade and Industry (DTI), as part of the second consultation on the legal text of a Great Britain (GB) Balancing and Settlement Code (BSC) (June 2003), consulted on whether Elexon's remit, as the Balancing and Settlement Code Company (BSCCo), should be extended to electricity trading arrangements in Scotland. After considering responses to this consultation Ofgem and DTI concluded that Elexon should undertake the role of the GB BSCCo and that a competitive tender exercise was not necessary.

Mr. Hopkins: To ask the Secretary of State for Trade and Industry what her role is in (a) the appointment of the (i) Chairman and (ii) Board of Elexon Ltd. and (b) determining the terms and conditions of appointment of the (i) Chairman and (ii) Board. [159090]

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Mr. Timms [holding answer 8 March 2004]: My right hon. Friend the Secretary of State for Trade and Industry has no role in the appointment of the Chairman and/or Board of Elexon Ltd. The Elexon Chairman and Board are appointed in accordance with the arrangements set out in the Balancing and Settlement Code (BSC) in Section C4.1. The Chairman of the Board is the Chairman of the BSC Panel. The Chairman of the BSC Panel is appointed by the Gas and Electricity Markets Authority. Other Directors are appointed by the BSC Panel and by the Chairman.

Any change to these arrangements would require a modification proposal to be progressed through the BSC modification procedures as outlined in Section F of the BSC. This process is designed to be transparent and inclusive. Modification proposals are subjected to a series of industry consultations, and are usually assessed in detail by a group of industry experts, and then considered by the BSC Panel (which comprises five members elected by parties to the BSC, a potential 6th member drawn from licence exempt suppliers or generators, two members nominated by energywatch, two independent members, one member nominated by NGT, one representative of distribution system operators and is attended by Ofgem) before being approved or rejected by the Gas and Electricity Markets Authority.

Mr. Hopkins: To ask the Secretary of State for Trade and Industry if she will list the shareholders of Elexon Ltd.; and what assessment she has made of the board's corporate governance arrangements. [159091]

Mr. Timms [holding answer 8 March 2004]: Elexon Ltd. is the Balancing and Settlement Code Company (BSCCo) established under the provisions of the Balancing and Settlement Code (BSC). The BSC is given effect through Section C3 of National Grid Transco's (NGT) Transmission Licence.

Elexon is a wholly owned subsidiary of National Grid Transco (NGT). However, Elexon is independently governed and has a separate Board of Directors. Elexon operates outside the commercial and operational interests and control of NGT. Shareholder control by NGT can only be exerted within the limited circumstances outlined in the BSC.

Elexon's corporate governance arrangements were carefully considered and consulted on, by Ofgem and the DTI before the implementation of the New Electricity Trading Arrangements (NETA) when the BSC was designated by my right hon. Friend the Secretary of State through the authority provided in the Utilities Act 2000.

Mr. Hopkins: To ask the Secretary of State for Trade and Industry what the role of Elexon Ltd. is in the operation of the electricity market in England and Wales; if she will undertake a review of this role; and if she will make a statement. [159092]

Mr. Timms [holding answer 8 March 2004]: Elexon Ltd. is the Balancing and Settlement Code Company (BSCCo) established under the provisions of the Balancing and Settlement Code (BSC). The principal role of the BSCCo is to provide and procure facilities, resources and services (including providing or procuring resources required by the BSC Panel and BSC Panel

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Committees, and procuring services under BSC service descriptions) required for the proper, effective and efficient implementation of the BSC. The powers of the BSCCo are subject to the restrictions and limits set out in the BSC.

The systems and processes outlined in the BSC have operated effectively since the introduction of the New Electricity Trading Arrangements (NETA) on 27 March 2001. These include arrangements for the use of meter readings to allocate energy between participants, to register energy trades, to aggregate balance positions and to calculate and apply imbalance prices for each half an hour, twenty four hours a day. They underpin competition in generation and in the supply of electricity.

Extensive consultations were carried out by the DTI and Ofgem on the role of Elexon prior to the inception of the New Electricity Trading Arrangements in March 2001. Ofgem and the DTI, as part of the second consultation on the legal text of a Great Britain Balancing and Settlement Code (June 2003), also consulted on whether Elexon's remit, as the Balancing and Settlement Code Company, should be extended to electricity trading arrangements in Scotland. In addition, Ofgem keeps the operation of the BSC under constant review and considers the annual business strategy and budget documents carefully.

Mr. Hopkins: To ask the Secretary of State for Trade and Industry if she will make a statement on the application of the statutory Environmental and Social guidelines of the Gas and Electricity Markets Authority to Elexon Ltd. [159093]

Mr. Timms [holding answer 8 March 2004]: The statutory Environmental and Social guidelines to the Gas and Electricity Markets Authority do not apply to Elexon. As the Balancing and Settlement Code Company (BSCCo), Elexon has the powers and functions and responsibilities set out and assigned to it in the Balancing and Settlement Code (BSC) and, in accordance with BSC Section C 1.2.2, may not conduct business or activities not provided for in the BSC.

It should be noted, however, that the Gas and Electricity Markets Authority (the Authority) has the role of determining whether a modification to the BSC should or should not be made. In making its decision, the Authority is obliged to take into consideration its wider statutory obligations. The Authority is also obliged to carry out a Regulatory Impact Assessment in relation to any important Modification Proposal.

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