British Gas (Hansard, 16 December 1985)

§ 4. Mr. Dykes
asked the Secretary of State for Energy what representations he has received regarding the reaction to the detailed proposals for the privatisation of British Gas and the proposed regulation of the corporation in future.

§ 13. Mr. Pike
asked the Secretary of State for Energy what further representations he has received on the proposed privatisation of British Gas.

§ The Secretary of State for Energy (Mr. Peter Walker)
I continue to receive representations from various organisations and individuals regarding our proposals for the privatisation of British Gas.

§ Mr. Dykes
In a sense, is not the word "privatisation" wrong? Does my right hon. Friend agree that when this corporation is truly publicly owned by members of the public owning shares in it, they will have a greater sense of ownership than they do with a remote state corporation that is run by faceless bureaucrats? They will be able to identify with the corporation, which has provided a better and better service in recent years and does not need to be oppressed by an excessive regulatory system.

§ Mr. Walker
I very much look forward to the employees, managers and customers of British Gas having a direct participation in this industry.

§ Mr. Pike
Will the Secretary of State recognise that many people are concerned about the future of gas showrooms after privatisation, particularly about the future of showrooms such as Padiham in my constituency? They provide an essential service by selling goods and providing a point at which to pay bills and report faults. Will the right hon. Gentleman ensure that these showrooms are kept open after privatisation?

§ Mr. Walker
The hon. Gentleman knows that the existing management of British Gas has pursued a positive policy towards gas showrooms. The present management of British Gas will carry out the management of this industry after privatisation.

§ Sir Peter Emery
Will my right hon. Friend accept that since the publication of the Bill and the Second Reading debate a number of people who are very much concerned with the electricity industry are worried about the very considerable freedom that the gas industry will obtain after the Bill becomes law? They feel that it will work adversely against some of the controls which will still apply to the electricity industry. Has my right hon. Friend received such representations, and if so will he bear the matter in mind?

§ Mr. Walker
We shall certainly bear the matter in mind, but my hon. Friend has illustrated the fact that in certain markets where there has been fierce competition between gas, electricity and oil, that competition will continue, as it should in the interests of commerce and industry.

§ Mr. Mason
In view of the rumours that are rife in the coalfields about the privatisation of the coal industry, will the Secretary of State assure the House that he has no plans whatever of privatising any parts of that industry—

§ Mr. Speaker
Order. The question is about gas.

§ Mr. Rowlands
In view of the widespread observations and criticism of the draft British Gas licence that the Secretary of State issued last week, will the right hon. Gentleman assure the House that this is a tentative first draft, that he has not entered into any firm understanding or agreements with British. Gas, and consequently that the licence can be the subject of substantial change?

§ Mr Walker
The joy of a parliamentary democracy and of entering a Committee stage is that everything is debatable. All I can say is that it is a very good draft, given that I drafted it myself.

§ Mr. Bruce
Will the Secretary of State acknowledge that there is genuine concern about the Government's proposals for dealing with a monopoly, promoting competition and ensuring protection for the consumer? Will he make it clear that the Standing Committee, which meets tomorrow, will discuss these issues with a genuinely open mind and will be prepared to accept serious, constructive and even major suggestions to amend the Bill in order to achieve the kind of safeguard which at present it appears to lack?

§ Mr. Walker
I very much hope that the Standing Committee will be very open minded to all the arguments that are put. I am sure the Opposition are hoping that the 7 same will happen to their arguments. As for competition, I doubt whether anyone can say that this Bill is not far better than anything that has existed previously.