Nicholas Soames: To ask the Secretary of State for Energy and Climate Change if he will make a statement on underground coal gasification technology. [155014]

Michael Fallon, Minister of State for Business and Enterprise: Underground Coal Gasification (UCG) involves the partial in-situ combustion of deep underground coal seams to produce a gas for use as an energy source. UCG is very much in its infancy at this stage, but I am keen that we play our part in creating a regulatory environment which helps rather than hinders those with ambitions in the sector. Our NDPB, the Coal Authority, is very much in the lead as the freehold owner of the coal resource and the licensing body for the exploitation of coal. The authority has to date issued some 14 conditional near offshore UCG licences to companies keen to pursue the technology further in Great Britain. These enable prospective operators to secure the rights to the coal while projects are developed but importantly do not permit UCG operations to commence until all other rights and permissions are in place.

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