§ 16. Mr. Maloneasked the Secretary of State for Energy if he has any plans to control the production of North sea oil.
§ The Minister of State, Department of Energy (Mr. Alick Buchanan-Smith)I have no plans to do so.
§ Mr. MaloneIs my right hon. Friend aware that the Leader of the Opposition gave the clearest indication recently that the Labour party was intent on pursuing a policy to control depletion of oil in the North sea? As the oil companies assume at present that they will be investing between £50 billion and £60 billion in production facilities over the next 15 or 16 years, does my right hon. Friend agree that a policy of controlling depletion could scupper those plans and damage investment, especially in the north-east of Scotland?
§ Mr. Buchanan-SmithI was surprised to read the recent remarks of the Leader of the Opposition, because they showed ignorance of the characteristics of our industry, and of the best interests of the economy. I agree with my hon. Friend, not least because he is my constituency neighbour.
§ Mr. RowlandsGiven that the Government have decided against the Sleipner contract and that there will be a need for condensate gas in the near future, will there not have to be some kind of balance between oil and gas production in the North sea?
§ Mr. Buchanan-SmithI am sorry that the hon. Gentleman did not notice what was said last week about Sleipner. The tremendous increase in our reserves is almost as great as that of the Sleipner deal itself. In those circumstances, I hope that the hon. Gentleman shares my confidence that the industry has a very bright future indeed.