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Our housingdiscussion document, Firm Foundations: The Future of Housing in Scotland, setsout our proposals to challenge local authorities, developers and builders toincrease the rate of new housing supply to at least 35,000 per year by themiddle of the next decade. This increase in supply would apply to all tenures,both market and affordable housing and would require all new homes to be builtby the high environmental standards set by the relevant planning requirementsand building standards applicable at that time.

Revised energystandards were introduced on 1 May 2007, for all new buildingsand those which are converted, extended or altered. These measures are the bestin the UK and are expected to save around 6,000 tonnes of carbon per year, onthe basis of 35,000 new houses per year, which is an 18-25% saving comparedwith 2005. The energystandards required to be met by new houses are the functional standards for Section6: Energy in the Building (Scotland)Regulations 2004 asamended in 2006 and 2007.

Scottish ministers appointed an Expert Panel whichmet in September 2007 to advise on a Low Carbon Buildings Standards Strategyfor Scotland. The report of the panel is likely to set out anumber of workstreams on a wide range of energy efficiency and performancemeasures specific to buildings, including the use of low carbon equipment. Thepanel’s report is due before the end of the year.

The requirementsof Scottish Planning Policy 6: Renewable Energy for the use of onsitezero and low carbon equipment to contribute to a reduction in carbon emissionswill operate alongside, and in addition to, the requirements set out inbuilding standards.

The LIFTinitiative – our Low-cost Initiative for First-Time buyers – is a key part of the package of measures to revitalise Scotland’s housingset out in the Firm Foundations discussion document published on 31 October 2007.

LIFT currently includes a mix of government grantsand shared equity schemes. However, through the Firm Foundations consultationprocess, we are seeking views on other potential measures which could beincorporated within LIFT. The number of households who will be eligible toapply for support through LIFT will therefore depend on LIFT’s futurecomposition.

Through LIFT weaim to assist at least 1,800 households into home ownership this year. Asignificant number of these households is expected to be located in the Edinburgh area.

I refer themember to the answer to question S3W-6028 on 14 November 2007. All answers to written parliamentary questions areavailable on the Parliament's website, the search facility for which can befound at http://www.scottish.parliament.uk/webapp/wa.search.

The City of Edinburgh Council, as strategic housing authority for Edinburgh, is responsible for determining housing needs withinthe City of Edinburgh area.

The figure of12,000 new affordable houses required to be built over the next ten years wasderived from evidence contained in the Lothian Housing Needs and Market Studyundertaken in 2005.

In our discussiondocument Firm Foundations: the Future of Housing in Scotland, the Scottish Government has set out our proposals for improving the supply andchoice of affordable housing nationally. These include challenging Scotland’slocal authorities, developers and builders to increase the rate of new housingsupply to at least 35,000 houses a year by the middle of the next decade;increasing the role of local authorities as landlords by offering themfinancial incentives to build new council houses; ending the right to buy onnew social housing, and reforming the regime for subsidising social housing, sothat it support the largest possible programme of new social housing.

Although we have nocurrent plans to consult rural communities, we will await the outcome of thefoot-and-mouth disease review. While the location of any new abattoirs is a commercialmatter for individual operators, our draft Scotland Rural Development Programmedoes includes measures offering support for new rural abattoirs.

The Scottish Governmentwill continue to treat documents received from the UK Government in accordance withthe principles outlined in the Memorandum of Understanding.

A copy of the Memorandumof Understanding is lodged with the Scottish Parliament Information Centre.

While we have considerablesympathy with the case put forward by NFU Scotland requesting funding for Scottishfarmers following the recent outbreaks of foot-and-mouth disease, it does not fullyreflect recent developments (such as the reopening of export markets and availabilityof Private Storage Aids for pig meat). We discussed the matter of compensation withthe NFU Scotland and the wider industry, taking into account NFU Scotland estimatesof need. We also took account of funding available to the Scottish Government. Thepackage of measures that I announced on 24 October 2007 provides immediate relief to those most hard pressedas a result of foot-and-mouth disease while supporting the long term viability of the industry.

We expect paymentsunder the Scottish Ewe Scheme to be made to around 11,600 eligible producers bymid November.

The Cabinet Secretaryfor Finance and Sustainable Growth wrote to the Chief Secretary to the Treasuryon 24 October 2007 seeking reimbursement of £25 million, whichwe estimate to be the cost of the support package that I announced on that day.The package includes the cost of the Sheep Welfare Scheme. We still await a formalresponse.

The Scottish Governmentfully expects to continue having a positive working relationship with the Departmentfor Environment, Food and Rural Affairs.