To ask the Scottish Executive whether it will support the reintroduction of an LPG grant scheme to help reduce the burden of escalating fuel costs.
The previous LPG grant scheme was introduced as a means of reducing CO
2 emissions from cars. The scheme was set up to contribute towards the cost of converting vehicles to enable the use of LPG, at a time when LPG offered clear CO
2 reductions in comparison with conventional fuel. However, the scheme ceased in 2006 and we now know that as a result of improvements in the efficiency of conventional engine technology, LPG no longer offers CO
2 reduction benefits on the same scale.
While the price of LPG may seem attractive in light of increases in the cost of fuel, LPG is a less efficient fuel and LPG vehicles use more litres of fuel per kilometre and depending on a range of other factors e.g. driving style, may offer little benefit. This is reflected in the fact that no manufacturer now produces LPG vehicles. In terms of conversion, estimated costs range from c£1,800 to £3,400, depending on engine size and the type of tanks fitted. It is therefore unlikely that the benefits of a new LPG grant scheme would outweigh the cost and in addition, any such scheme would be subject to state aid rules.
However, individual drivers can make use of a zero-cost means of increasing the fuel efficiency of their vehicles. Eco-driving techniques can demonstrate savings of around 15% per year. Advice on this can be found on the Energy Saving Trust website:
http://www.energysavingtrust.org.uk/what_can_i_do_today/smarter_driving.
Finally, Scottish Government remains concerned about recent rise in fuel prices and recognises the impact this has across the economy and on individuals. As a result, we have held discussions with the energy supply companies urging them to give the maximum assistance to those in fuel poverty and called for a delay in the planned rise in fuel duty in October, which has since been announced. We have also announced additional help such as the development of an action plan for the fishing industry to adapt to rising fuel prices, and will continue to act where necessary.