Coal Mining Industry

HC Deb 02 November 1987 vol 121 c638

5. Mr. Knox

asked the Secretary of State for Energy what has been the increase in labour productivity in the coal mining industry compared with 1983–84.

Mr. Michael Spicer

For the week ending 10 October, average deep-mined revenue output per man shift was 3.62 tonnes—and impressive increase of some 50 per cent. on the average of 2.43 tonnes for 1983–84.

Mr. Knox

Does my hon. Friend agree that this substantial improvement in productivity is a great tribute to the miners and the management of British Coal? Does he also accept that there is much potential for further improvement in the next couple of years?

Mr. Spicer

My answer is yes to both parts of my hon. Friend's question. There has been a substantial improvement. Taking the first six months of 1987–88 and comparing them with the first six months of 1986–87, productivity has increased by 15 per cent. However, this has to be viewed in the context of what is taking place in other countries. For instance, productivity in the United States and Australia is four times that of this country.

Mr. Haynes

Does the Minister realise that productivity could be increased even further? Because of the massive pit closure programme, all the skilled men are leaving the industry. I know what I am talking about; I had 35 years underground. Experienced men are being laid off through redundancy. Why does the Minister not have a look at that side of the question?

Mr. Spicer

Certainly there have been considerable redundancies, and I fear that there will be more. However, I have to say to the hon. Gentleman, who is extremely knowledgeable about these matters, that a large part of the increase in productivity in the British coal mining industry has been due particularly to the massive investment in heavy duty equipment, which at the moment is going on at the rate of £2 million every working day.

Mr. Simon Coombs

Is my hon. Friend confident that the impressive improvements to which he referred in his answer can be maintained to the point where British Coal will be able to compete in the highly competitive environment of a privatised electricity generation industry?

Mr. Spicer

I am confident that if British Coal maintains its present rate of increased efficiency it will be able to compete effectively in the context mentioned by my hon. Friend.