Budget focus needs to be on sustainable energy

17/03/2009 13:02

The government has been urged to provide more funding for low-carbon industries and projects utilising sustainable energy.

According to the Environmental Audit Committee, the government needs to invest more into green energy projects than the £535 million it has already allocated

Tim Yeo, committee chairman, said: "There is clear evidence that investment in low carbon industries will lead to net job creation. The Budget should contain a much bigger and more coherent package of green fiscal stimulus."

He added: "Measures designed to pull the economy out of recession provide an invaluable opportunity for the Treasury to drive the kind of change required to build a sustainable modern economy. The upcoming Budget is a real test of the government's commitment to its own climate change policies."

A previous report from the Commons public accounts committee noted that although energy consumption in the UK dropped between 2004 and 2007, more work could be undertaken to keep up with other European countries.
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