HC Deb 22 July 1974 vol 877 c1027
12. Mr. Gordon Wilson

asked the Secretary of State for Energy if he will make a statement of policy on the availability to the public sector of natural gas to be landed at St. Fergus.

Mr. Strang

Gas from the Frigg field will be landed at St. Fergus. All of this gas will be supplied to the British Gas Corporation, which will dispose of it in accordance with its marketing policy.

Mr. Wilson

Is the hon. Gentleman aware that in relation to the gas to be landed at the Cruden Bay area there was an agreement between the South of Scotland Electricity Board and British Petroleum, which was vetoed by the British Gas Corporation? In his consideration of access to natural gas, will he undertake to make sure that some nationalised industries are not favoured over others and that natural gas is available for use for the generation of electricity where appropriate?

Mr. Strang

I am sure that the hon. Gentleman is aware that no Scottish power station is at present equipped to burn natural gas. However, this is a matter which falls within the responsibility of my right hon. Friend the Secretary of State for Scotland, who will take all factors into account in taking decisions on these matters in the future.

Mr. Skeet

Is the Minister aware that he is paying well below the market price for Frigg gas at 2.3 pence per therm? If it runs out of availability by 1979–80, where will it come from if he is not prepared to escalate the price?

Mr. Strang

The Government are confident that there will be adequate supplies of gas in the foreseeable future.

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