The government would sign longer-term contracts with companies hoping to invest in low-carbon technology to give them greater certainty in their investment choices, he told MPs.
It has created a network of a dozen Chinese and U.S. companies to develop joint business ventures to build advanced, low-carbon coal technology in China and around the world.
In achieving this, we must not be over-reliant on any one technology, but build a balanced low-carbon mix and make the best use of Britain's domestic energy resources and skilled workforce.