Prescott: fulfilling election pledge

Prescott Urges Businesses to Save Energy

CHP is a high efficiency energy system used for producing heat and electricity at the point of use. Such systems, which operate at more than 1,200 locations throughout the UK, are typically more than 80% efficient.

The Government action has been greeted as a welcome fulfilment of a Labour election pledge.

David Green, the director of the Combined Heat and Power Association, said, "Action now to boost the take-up of CHP is essential."

"In opposition, new Labour advocated the expanded use of CHP," he added. "And, with the Government's explicit manifesto commitment to CHP, such early action sets a new tone to the partnership which is needed between the industry and Government to ensure more consumers get the benefit of CHP."