HC Deb 03 February 1993 vol 218 cc305-6
1. Mr. Eric Clarke

To ask the Secretary of State for Scotland if he will make a statement on the numbers employed in the coal industry in Scotland in (a) 1980, (b) 1990 and (c) currently.

The Parliamentary Under-Secretary of State for Scotland (Mr. Allan Stewart)

British Coal has informed my right hon. Friend that in March 1980 and March 1990, its own employees in Scotland numbered 22,000 and 1,600 respectively. The current figure is 1,424. In addition, the opencast industry currently provides employment for more than 1,500 people in Scotland.

Mr. Clarke

Has the Secretary of State met British Coal in Scotland to establish why it did not tender for the full amount of coal required by Scottish Power? He should bear in mind that Scotland has millions of tonnes of coal stocks. If he has not had such a meeting, will he say when he will have one—because it will have an effect on employment?

Mr. Stewart

I am, of course, aware of the correspondence that the hon. Gentleman has had with the Minister of State, Department of Trade and Industry and of the reply that came from British Coal on this matter. In that correspondence the hon. Gentleman expressed himself in his customary robust way.

These are matters for commercial agreement between British Coal and Scottish Power, but I hope that the hon. Gentleman will be reassured by British Coal's success in selling not only 250,000 tonnes under the 1992 tender, to which he referred, but 440,000 tonnes under the negotiated contract ending 31 March 1993. Both those sales are over and above the existing five-year contract between British Coal and Scottish Power.

Mr. Raymond S. Robertson

While ever mindful of the contribution made by coal to fulfilling Scotland's energy requirements, does my hon. Friend agree that the levels of investment and numbers of jobs involved in the North sea oil and gas industries must be fully taken into consideration when assessing Scotland's future energy requirements?

Mr. Stewart

My hon. Friend, who is particularly knowledgeable about matters relating to the oil and gas industries, makes a valid point. Coal has an important role, especially in the export of electricity from Scotland, but my hon. Friend is also right to point to the key importance to the Scottish economy of the oil and gas-related industries, which currently employ—from memory—97,400 people, almost 70,000 of whom are onshore. These industries are, therefore, of crucial importance not only to Scotland's energy needs but to the general health of the Scottish economy.

Mr. Canavan

Does the Minister accept that part of the reason for the decline in mining jobs in Scotland is the Government's complete lack of an integrated energy policy? In support of my hon. Friend the Member for Midlothian (Mr. Clarke), whose point I raised earlier with the President of the Board of Trade and to which I am still awaiting a satisfactory answer, may I ask the Minister to investigate the astonishing claim by the chief executive of Scottish Power to the effect that British Coal did not even bid for a contract to supply 800,000 tonnes of coal to Scottish power stations? Is it not about time that the Government exercised their responsibility to intervene to stop this nonsense and to save Scotland's mining industry?

Mr. Stewart

British Coal made a bid to supply 250,000 tonnes and in its letter to the hon. Member for Midlothian (Mr. Clarke) it gave Scottish Power's explanation of the change in circumstances that led to increased orders under that tender. I reassure the hon. Gentleman that Scottish Power has said that 80 per cent. of its coal purchases in 1992–93 will be from Scottish sources.

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