HC Deb 21 July 1980 vol 989 cc18-20
25. Mr. Rost

asked the Secretary of State for Energy if he is satisfied that the energy policy objectives agreed at the Venice summit can be achieved.

12. Mr. John Patten asked the Secretary of State for Energy if he will make a statement upon the outcome of the Venice summit in relation to United Kingdom energy policy.

Mr. David Howell

It will be of major importance to the industrialised world that the commitments undertaken at the Venice summit to reduce dependence on oil are achieved, and I am confident that, with the full co-operation of all concerned, they will be. The United Kingdom has already made substantial progress, and we shall play our full part in meeting the summit's objectives.

Mr. Patten

Although I thank my right hon. Friend for that answer, will he give an assurance that the Government will regard the nuclear industry and the coal industry as complementary rather than as being in opposition to one another?

Mr. Howell

That is the correct way of viewing them.

Mr. Rost

Will not a commitment to less dependence on oil involve much greater effort to ensure that less energy is wasted? Are the Government satisfied that we can play our part as long as we set specific targets for energy conservation—as other Western countries do—with specific programmes and incentives for achieving them?

Mr. Howell

The proof of the pudding is in the eating, and substantial amounts of energy are being conserved. As regards new methods, such as the combined generation of heat and power, and district heating—in which my hon. Friend has played a leading role and has taken great interest—we are making good progress. Recently, 13 local authorities showed interest in participating in the current Government programme for developing CHP.

Mr. Foster

Has the Secretary of State had discussions since the Venice summit with the Minister of Transport, to encourage him to find money for the electrification of British Rail and to divert as much freight traffic to the railways as many of our international competitors do?

Mr. Howell

I have had no specific discussions since the Venice summit, but the Government have been considering electrification. Discussions were held before the Venice summit.

Mr. Dykes

Does my right hon. Friend believe that a Community oil or energy levy would help the policy objectives of both Venice summits?

Mr. Howell

I am doubtful about that. It would have a distorting effect on world prices. It would also create grave difficulties in terms of checking what oil and oil products go in and out of the Community. That idea has been put forward by the Community and is being studied. However, I foresee grave difficulties.

Mr. Benn

Has the Secretary of State agreed to the proposal made by the International Energy Agency, and rejected by the previous Labour Government to lift all restrictions on trade in coal? Secondly, have we agreed to increase our own depletion of North Sea oil in order to help the Community to reduce its dependence on imported oil from the OPEC countries?

Mr. Howell

The answer to the right hon. Gentleman's second question is "No." I think that I have answered that question before. The position remains as I then described it. There are no restrictions on trade in coal, nor have we discussed any such restrictions. If the right hon. Gentleman has a particular point in mind, perhaps he will take it up with me afterwards. At present, I can think of no such restrictions.