Nicholas Soames: To ask the Secretary of State for Energy and Climate Change what steps his Department plans to take to exploit available UK coal reserves. [179268]

Michael Fallon, Minister of State for Business and Energy: Coal is a flexible and reliable source of generation that Government expects will continue to play an important role over the coming years during the transition to a low-carbon economy. In the longer term, the development of cost-competitive carbon capture and storage (CCS) should ensure coal can continue as part of a decarbonised electricity sector.

The Government has put in place a comprehensive programme of measures to bring forward a cost competitive CCS industry including a £1 billion commercialisation programme, £125 million for research and development and reform to the electricity market.

Underground coal gasification is in its infancy, but I am keen that we create the right regulatory environment for the sector.

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