HC Deb 23 July 1984 vol 64 cc708-9
18. Mr. Favell

asked the Secretary of State for Energy if he will make a statement on the current situation of the Sleipner gas field negotiations.

Mr. Buchanan-Smith

A decision will be taken as soon as possible.

Mr. Favell

I remind my right hon. Friend that there is already a large trade imbalance with Norway, whereby we take more than one third of its exports and Norway takes only 11.8 per cent. of our exports. Will my right hon. Friend assure me that the Department has very much in mind the great opportunity for British exporters to export to Norway if the contract is concluded, especially as it will bring approximately £20 billion to Norway—a country with only 4 million people?

Mr. Buchanan-Smith

My hon. Friend is right to draw the attention of the House to that aspect of trade with Norway. I assure him that I will bear his point in mind. I am sure he will would be the first to acknowledge that the Sleipner gas issue raises a number of matters of great importance.

Mr. Wallace

Does the Minister acknowledge that one of the possibilities that has been aired about the Sleipner field would extend the lifetime of the Flotta terminal in my constituency? Does the right hon. Gentleman agree that the sooner the decision is made the better, because uncertainty has a damaging effect?

Mr. Buchanan-Smith

I do not believe in just reaching decisions. I believe in reaching the correct decisions.

Mr. Rost

If the Government approve the deal, can my right hon. Friend give an assurance that the British offshore industry will have a fair chance of participating in the work?

Mr. Buchanan-Smith

This is a matter to which the report of the Select Committee on Energy has rightly drawn attention. I assure my hon. Friend that that is a point that I will bear in mind during my discussions with my counterparts in Norway.

Mr. Rowlands

Will the Minister gives us an assurance that he will not link the decision on Sleipner with any decision on direct export of gas to Europe from the British North sea, because that will have serious and considerable consequences on depletion policy and prices? Will he make a statement to the House about the decision which raises, as he pointed out, many serious issues about which hon. Members on both sides of the House have asked repeatedly at Question Time?

Mr. Buchanan-Smith

One must look at all aspects of this matter, including exports. Any Government would be failing in their duty if they did no do so. I fully understand the interest of the House, which has been exemplified at Question Time for a long period. It is the intention of myself and my right hon. Friend to keep the House properly and fully informed once the decision is reached.