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9 Jun 2004 : Column 411W—continued

Renewable Energy

Richard Burden: To ask the Secretary of State for Trade and Industry what steps she is taking to help United Kingdom firms supply the Chinese market for renewable energy. [173456]

Mr. Timms: The Department of Trade and Industry maintains close contact with the Chinese authorities with regard to energy matters, and including renewable energy. This contact is managed day-to-day through the commercial sections of the British diplomatic posts in China, and export and trade promoters of UK Trade and Investment and of the DTI's New and Renewable Energy Programme.

We are currently working with the Chinese to assist with their design and drafting of regulations to increase their use of renewable energy over the coming years. In close co-operation with the Renewable Energy and Energy Efficiency Partnership (REEEP), we received a delegation of Chinese law makers in March, for a programme of meetings when they were able to discuss the issues involved with UK Government Departments and with UK industry. In May we sent a specialist who works with our Distributed Generation Working Group, and a Trade Promoter of the DTI's New and Renewable Energy Programme, to Beijing to join a working group developing the drafting of these regulations, which are expected to come into force next year.

We will continue to support this initiative, and also to promote contact between companies and industry bodies of our two countries. We have commissioned the development of a website designed specifically to make available information on renewable energy capabilities and opportunities in each country. This website is nearing completion, and can now be viewed on www.ukchinarenewables.co.uk. We understand that a UK specialist wind energy company is once again going to engage in training Chinese companies in the development of wind energy, in June; at least partially as a result of our trade promotional activities. And we are preparing to sponsor a presence by UK industry at a wind energy conference and exhibition in Beijing at the end of October.

We work with the services of UK Trade and Industry, which makes available to firms a range of market information and market research, and provides assistance with participation in trade missions, exhibitions, and conferences. In addition, we make focused market information available to UK firms that are active in the supply of goods and services for renewable energy, and we lead participation in some further trade events within China, brief a number of Chinese trade delegations visiting this country, and accompany some to meet and to visit UK companies. The website mentioned above is an example of making
 
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market information more readily available to UK companies. The last trade delegation that we led to China was to exhibit at an environmental exhibition in Beijing in December. That initiative was organised in conjunction also with a JEMU environmental trade mission to three provinces, and with the UK themed workshop "Think UK", arranged by the British embassy and UK industrial sponsors. Several UK renewable energy firms participated in that workshop, and achieved prominence at a senior level as a result. The next Renewable Energy trade mission that we are planning is the Wind Energy exhibition and conference in Beijing at the end of October. Meanwhile we continue to work with individual UK companies that are developing business opportunities.

I attended and spoke at the "China Day" event at the International Renewable Energy Conference in Bonn on 2 June at the invitation of Mr. Zhang Guo Bao, the Chinese Vice Minister of the National Development and Reform Commission.

Research and Development

Mr. Norman: To ask the Secretary of State for Trade and Industry (1) how many applications for research and development grants there have been under (a) the Smart scheme, (b) the grant scheme and (c) regional competitions; [175953]

(2) what the (a) success rate for applications and (b) value of the average award are for research and development grants under (i) the Smart scheme, (ii) the grant scheme and (iii) regional competitions; [175954]

(3) what the timetable is for the next regional competitions for research and development grants; [175955]

(4) what the total value is of research and development grants paid out under (a) the Smart scheme, (b) the grant scheme and (c) regional competitions. [175956]

Jacqui Smith: The first regional competition deadline for Grant for Research and Development is 28 May 2004. The dates of further competitions will be decided subsequently. Given that we are still accepting applications within this competition round, I am unable to provide figures on the number of applications received under the competitive environment. We have yet to make any offers under the current competition round.

The following table covers the number of applications for and the number of offers made under Smart and Grant for Research and Development for the past three years.
Smart(7)
Grant for R and D(7)
Number of applications (8)Number of offers(8)Number of applicationsNumber of offers
2001–021,134777
2002–031,5561,142
2003–04651618805389


(7) Following a review of the Department's business support, Grant for Research and Development was introduced on 1 June 2003 to replace and enhance the Smart scheme. Smart remained open to applications up until 31 August 2003 to allow applicants the opportunity to adjust to the new product. Grant for Research and Development has proved just as popular as its predecessor so regional competitions for the grants have been introduced to ensure that expenditure on the product remains under control and to ensure that those research and development projects which best meet the grant selection criteria are supported.
(8) Included Technology Reviews and Studies, which closed to applications on 31 May 2003 and replaced by the Investigating an Innovative Idea pilot on 1 June 2003.



 
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The following table provides information on the average grant under the 'research' and 'development' elements of Smart and Grant for Research and Development, taken on figures from the last three years, and how this compares to the maximum grant available.
£

Feasibility/Research
Development
Average grantMaximum grantAverage grantMaximum grant
Smart41,90545,00097,359150,000
Grant for R and D62,67475,000123,550200,000

The expenditure on Smart in 2001–02, 2002–03 and 2003–04 was £23.7 million, £32.1 million and £42.8 million respectively. The expenditure on Grant for Research and Development in 2003–04 (the product was launched on 1 June 2003) was £3.1 million.

Small Businesses

Brian White: To ask the Secretary of State for Trade and Industry what steps her Department takes to help small UK businesses recover money which is owed to them by large multi-national companies. [176832]

Nigel Griffiths: Where contracts are governed by UK law, businesses may use the Late Payment of Commercial Debts legislation (as amended) to claim interest and compensation on late paid debts.

This Government have always recognised that late payment of debts can have serious effects on the cash flow of smaller companies, which is why we had a manifesto commitment to introduce a Late Payment Act to allow small businesses to:

The Government also established the Better Payment Practice Group whose website lists the payment record of companies.

The package of measures has had a positive effect on payment times. The Grant Thornton European Business Survey showed that the average time taken in the UK to settle accounts in 1997 was 49 days. By 2002 this had fallen to 41 days. By comparison, the average settlement time in our European neighbours was 50 days. A recent survey by the REL Consultancy Group looked at average days payable outstanding (DPO) and concluded that UK companies' payment performance is 33.6 days against 42.4 days for Europe as a whole.

Because of concerns that suppliers would not utilise the legislation for fear of reprisals or boycotts, I have also undertaken as Minister to write, in cases where invoices are not disputed, on behalf of small businesses to the managing directors of companies to convey their
 
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complaint and seek an explanation and appropriate action. I urge all Members of Parliament to do the same on behalf of constituents.


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