HC Deb 01 August 1939 vol 350 cc2167-71
Mr. Greenwood (by Private Notice)

asked the Secretary for Mines whether he can make a statement regarding the arrangements for the maintenance of petrol and oil supplies in war time?

The Secretary for Mines (Mr. Geoffrey Lloyd)

Yes, Sir. In view of the vital importance of petrol and other petroleum products in war time comprehensive plans have been prepared for the maintenance of supplies, the accumulation of reserves, the organisation of sea transport and inland distribution, and for the control of price. The reserves of petroleum products in this country have been greatly increased. Schemes have been prepared to co-ordinate distribution and to ensure the most economical and efficient use of the road and rail tank vehicles. Investigations into the possibility of a wider use of substitute fuels in war time are in progress. Special arrangements are being made for meeting the requirements of fire brigades, ambulances and A.R.P. services.

To provide for these and other essential needs and to ensure that the paramount demands of the Fighting Services are met in all circumstances, it will be important to regulate the use of petrol, diesel oil and other petroleum products. Goods and passenger vehicles will therefore be rationed through the medium of the organisation set up by the Minister of Transport to regulate the use of such vehicles in war time and, after due notice has been given, a rationing scheme will be introduced for all private cars. In the case of petroleum products other than motor fuels supplies to industrial users will be regulated by a priority system. The requisite staff has been appointed and the schemes could if necessary be brought into immediate operation.

For the convenience of hon. Members I propose to circulate a fuller statement in the OFFICIAL REPORT.

Mr. Greenwood

With regard to the reference to an investigation being made into the wider use of substitute fuels can the Minister give the House an assurance that those investigations are in an advanced stage now, and whether it would be possible, in the event of supplies being needed, for him to inform the House that those supplies would become an important contributory factor in the supply of petrol and other fuels at home?

Mr. Lloyd

Yes, Sir. It would not be in the public interest to go into details in this matter, but I can say that good progress is being made. The investigations are proceeding along a number of different channels and we hope these supplies would make a substantial contribution to the petroleum requirements in wartime.

Mr. Shinwell

Does the scheme provide for the installation of plant to produce oil from coal?

Mr. Lloyd

No, Sir, not in addition to the existing plants.

Mr. Boothby

Have the Government completed sufficient purchases of oil to give them the reserve which they think is necessary at the present time?

Mr. Lloyd

It would not be in the public interest to go into details, but I have said that the reserve stocks have been greatly increased.

Captain P. Macdonald

May I ask that in drawing up the scheme for the rationing and distribution of oil supplies in the event of war, the interest of the independent importers and distributors, as well as of the major companies, will not be overlooked and that they shall be brought into any scheme?

Mr. Lloyd

Yes, Sir, these plans have been made in consultation with the oil industry, and I can assure the hon. and gallant Member that the interest of that section of the industry will not be overlooked.

Mr. James Griffiths

Can the Minister give some indication of the cost to the State of making all these arrangements and providing all this storage, and will he give some indication of what is the difference between the cost to the State of subsidising the storage of petrol and subsidising the production of petrol from coal? Further, may I ask whether he is making any plans to develop producer-gas?

Mr. Lloyd

In reply to the first question, that particular matter was very fully investigated by the Falmouth Committee before they came to their conclusions, which were adopted by His Majesty's Government. With regard to the second question, I can say that producer-gas vehicles are one of the subjects which are being investigated.

Mr. G. Nicholson

Has the Minister considered the desirability of building up a reserve of producer-gas vehicles or vehicles adapted to producer-gas?

Mr. Lloyd

All those matters are under consideration.

Mr. Batey

What justification can there be for rationing the supply of petrol when petral can be produced if only the plant is set up and idle miners are employed?

Mr. Lloyd

That is a matter which was considered very carefully by the Falmouth Committee.

Following is the statement:

Organisation for the Control of Petroleum Supplies in War-time.

A standing sub-committee of the Committee of Imperial Defence has kept under constant review the position of supplies for the Fighting Services, Mercantile Marine, industrial and other civil requirements; and among the matters dealt with by this sub-committee have been the reserves necessary to be built up and maintained in peace time to meet war demands, the security of fuel supplies, the provision and allocation of tanker tonnage, and the control of distribution and consumption in time of war.

The Petroleum Department, which is part of the Mines Department, will be the Executive Department for general control of the supply and distribution of petroleum products in war time, and the necessary plans have been made in collaboration with the oil industry in this country, whose help I am glad to acknowledge. Similarly the Board of Trade will be the Executive Department for the control of tanker tonnage.

Imports and Distribution.

At the unloading ports special officers have been appointed whose duties will be to see that the best use is made of the available facilities for discharging oil products in order to secure the rapid release of the tankers and the movement of the oil to its inland destinations.

Schemes have been prepared to ensure the most economical and efficient use of the road and rail tank vehicles used for the internal distribution of oil and of the storage tanks dispersed throughout the country.

Regulation of Supplies.

Special arrangements are being made for meeting the requirements of fire brigades, ambulances and A.R.P. services. In order to meet these and other essential requirements, and to provide in all circumstances for the paramount demands of the Navy, Army and Air Force, it will be important to prevent the unnecessary use of petrol, diesel oil and other petroleum products. Their use will, therefore, be regulated.

Petrol Rationing.

Goods and passenger vehicles will be rationed through the medium of the organisation which has been set up by the Minister of Transport to regulate the use of such vehicles in war time.

After due notice has been given, a rationing scheme will be introduced for all private cars. Under this scheme such cars will be given a ration related to the horse-power of the car and provision is made for owners who consider the ration insufficient for essential needs to state their case to the Divisional Petroleum Officer, who will be empowered to grant an additional allowance where he is satisfied that this is justifiable.

Other Petroleum Products.

In the case of petroleum products other than motor fuels, supplies to industrial users will be regulated by a priority system designed to ensure that, in the event of a temporary shortage, available supplies will be directed to those firms whose activities in war time are of greatest importance to the nation.

Control of Prices.

Statutory powers for the control of supplies and prices will be available for use if voluntary arrangements fail.

Petroleum Reserves.

The reserves of petroleum products in this country, both for the Fighting Services and for civil purposes, have been greatly increased, while special steps have "been taken to secure the safety of storage plants. Investigations into the possibility of a wider use of substitute fuels in war time are in progress.

General.

The staff required to operate these schemes will consist of Port Petroleum Officers, Divisional Petroleum Officers in each of the Civil Defence Regions and technical officers with an intimate knowledge of the transport, distribution and use of petroleum in this country. These officers have been appointed and are aware of their functions in the event of war.