HC Deb 13 February 1964 vol 689 cc531-2
25 and 26. Mr. Manuel

asked the Minister of Power, (1) in giving his approval to the National Coal Board's plans, involving major capital expenditure, for concentrating coal depots, what information he received on how distribution costs will be increased or reduced as a result of the change being made;

(2) if he is aware of plans made by the National Coal Board to construct large centralised depots for coal distribution; and if he will issue a general direction to the National Coal Board forbidding the closure of local depots where this will result in increased coal prices to domestic consumers.

Mr. Peyton

Discussions are proceeding locally between the National Coal Board, the coal trade and the railways with a view to securing maximum economy in the new distribution arrangements; but I understand that, in many cases, the National Coal Board will look to private enterprise to construct central depots. The extent to which the Board will itself be called upon to undertake major capital expenditure is not yet known.

Mr. Manuel

Can the Parliamentary Secretary say what radius these new depôts are intended to cover? Is he aware that retailers on the perimeter of any of these new areas will have very much increased transport costs compared with the retailers at the centre or near the new coal depôts? Would he examine the position with a view to protecting domestic consumers of coal where prices would be put up because of added transport costs on the retailer taking coal from the new depôts as against the local depôts? Can he give an assurance that if this means an increase in the cost to the domestic consumer the local coal depôts will be retained until some other method is arrived at which will give parity of price in these areas?

Mr. Peyton

I would not like to give that assurance. The question of the closure of depôts is a matter for the railways, to whom they normally belong. I would remind the hon. Gentleman that the whole purpose of this operation is to cut down the costs of coal distribution, and that this is plainly in the interests of the coal industry and of the railways.

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