HC Deb 13 July 1965 vol 716 cc263-4
15. Mr. Ridley

asked the Minister of Power what esimate he has made of the future reduction in coal production which will follow as a result of atomic energy becoming competitive with coal-fired power stations.

Mr. Frederick Lee

The future use of fuel by power stations is under examination in my current review of fuel policy and of the prospects of the coal industry, but it is clear that the use of coal by power stations will increase substantially over the next few years.

Mr. Ridley

I know that this is a complicated matter, but will the Minister give an assurance that he will not hold back the development of atomic power stations for the sake of the coal industry?

Mr. Lee

I think that I have given that assurance many times.

Mr. Snow

Will my right hon. Friend bear in mind that if there are reductions in fuel made in connection with atomic energy production, they should be in the direction of making economies in the importation of oil?

Mr. Lee

There is a Question down later on that subject.

Mr. Wingfield Digby

Is it not a fact, however inconvenient it may be for a country rich in coal, that oil, as well as atomic power, is a cheaper method of generating electricity than coal?

Mr. Lee

The economics of each of these industries are changing rapidly. I do not think that it is an embarrassment to be so well off in fuel supplies. It is a question of getting the balance of them right.

Mr. Palmer

Is my right hon. Friend aware that even with the maximum construction of nuclear power stations, with an 8 per cent. increase in electricity production every year, the increased use of coal will be absolute in power stations for 15 years, and is not likely to be decreased, on the estimates of the C.E.G.B., until the year 2000? In the circumstances, why should the coal industry be continually belittled in this way by the Opposition?

Mr. Lee

I would not care to speculate to the year 2000, but I agree with my hon. Friend in principle that, as far ahead as we can see, there will be an increase in demand for coal by the electricity industry.

Mr. Lubbock

Does the Minister agree that there have been projections of the fuel requirements of the Central Electricity Generating Board up to 1975? What analysis has been made or published showing the various sources—coal, nuclear power, hydro and oil—from which this expansion will be made?

Mr. Lee

That is precisely the work on which we are now engaged in the Energy Advisory Council. I hope to make an announcement before long.