HC Deb 22 October 1973 vol 861 cc679-80
14. Mr. Ewing

asked the Secretary of State for Trade and Industry if he will examine the possibility of establishing a Scottish Energy Commission.

The Secretary of State for Trade and Industry (Mr. Peter Walker)

I do not think such a body is necessary. I am well aware of Scottish interests and problems in energy matters and am satisfied that they are fully taken into account under present national arrangements.

Mr. Ewing

Does the Secretary of State not agree that with the discovery of North Sea oil the need to expand refining capacity at Grangemouth and to establish refining capacity in other parts of Scotland, and, additionally, the increased demand for coal, the coal reserves at present in Scotland and the prospect of new sinkings, a Scottish Energy Commission would be the best body to handle such developments?

Mr. Walker

As the hon. Gentleman says, these are important developments and have a massive part to play in future decision-taking, but it is the decision-taking of Governments. I believe that an energy commission, as such, could not be given the powers that Governments possess to see that action is taken.

Mr. Edward Taylor

Will my right hon. Friend at least look into the situation we have had in Scotland for many years, where, despite the setting up of a British gas board, the average gas consumer pays over one-sixth more than the average consumer in England and Wales?

Mr. Walker

That is a separate question. I do not think that the creation of an energy commission will solve that problem.

Mr. Eadie

Is the right hon. Gentleman not aware that he gives encouragement to the proposition to set up a Scottish energy board as long as we have, for example, a differential coal price in Scotland? We pay a higher price for coal in Scotland. Does he agree that, logically, it follows that we should have a differential price for oil? Should we not have cheaper oil in Scotland, since most of it is likely to be found off the Scottish coast? What kind of logic is that?

Mr. Walker

As, at present, no oil has been landed in Scotland, it is rather early to discuss the pricing mechanism that might be suitable.