HC Deb 27 June 1963 vol 679 cc1627-9
2. Commander Kerans

asked the Minister of Power what further consultations he has had with the Central Electricity Generating Board regarding the Wylfa nuclear project.

6. Mr. McKay

asked the Minister of Power if he will make a statement about the placing of contracts for the Wylfa, Anglesey, nuclear power station.

The Minister of Power (Mr. Richard Wood)

The acceptance of tenders is a matter for the Board, which is still in touch with both of the consortia concerned, and is keeping me informed of developments.

Commander Kerans

Does not my right hon. Friend realise that I have at the moment in my constituency 9.2 per cent. of unemployed, and if Richardsons Westgarth do not get this contract I shall be faced with something like over 1,000 unemployed in the next nine months? I understand that the differences are not all that great. Surely my right hon. Friend can use his powers under Section 8(1) of the 1957 Act and direct that this contract should go to an area of high unemployment. Surely this is a very bad advertisement for the North-East with all the demonstrations now going on and doubts about the future of this contract and the need to get further industries there when this kind of thing happens.

Mr. Wood

I quite understand the great importance of this matter to my hon. and gallant Friend. What I do not think unreasonable is that the Central Electricity Generating Board should have refused a tender which was not only high but which was for a design that it did not like. But, as proof of the importance which the Board itself attaches to this matter, it is, as I say, continuing conversations with both of the consortia, and it is also in consultation with the firm which my hon. and gallant Friend mentioned to see what could be done to offset the effects if, in fact, the contract for the station is not awarded to the U.P.C.

Mr. McKay

Is it correct that negotiations are still open and continuing with these firms and with the Central Electricity Generating Board? I should like to know whether the right hon. Gentleman knows that there was almost an engagement to employ the United Power Co. with regard to this power station in Anglesey. It is a serious matter, apparently, to the whole position of the North-East Coast, and it makes us wonder what is really the position. The situation of Richardsons Westgarth at Wall send, which firm is connected with the consortium, is really hopeless. The firm is in a desperate position, and we should like to have as much information as possible as to the present possibilities.

Mr. Wood

The Board and the consortium are still in touch. Both consortia put intenders which the Board thought too high. The U.P.C.'s re-tender was rejected by the Board for the reasons which I have told my hon. and gallant Friend, and it has been told that. But the U.P.C. and the Board are still in touch about this matter. The Board is also considering the English Electric tender. As far as the letter of intent was concerned, this could never be considered an unconditional promise. What the Board told the U.P.C. was that the Board intended to give it the contract, but, obviously, always subject to a satisfactory tender being produced.

Commander Kerans

In view of the unsatisfactory nature of the Minister's reply, I beg to give notice that I shall raise the matter on the Adjournment.

7. Mr. C. Hughes

asked the Minister of Power when construction work on the Wylfa nuclear power station will start.

Mr. Wood

I cannot yet say.

Mr. Hughes

Can the Minister say whether any other factor, apart from the disagreement on cost, is affecting the start on the construction of the Wylfa nuclear power station?

Mr. Wood

No, Sir. The reason I cannot give the information the hon. Member wants, as no doubt he gathered from my Answer to an earlier Question, is that I understand the Generating Board has not yet been able to agree on the tender for the station. Until that decision has been made, I cannot give that information.