Coal Imports (Hansard, 4 December 1996)

§ Baroness Miller of Hendon
My Lords, the total amount of coal imported into the United Kingdom in 1995 was 15.9 million tonnes. The current estimates for the first nine months of this year—the most up-to-date figures currently available—show that coal imports into the United Kingdom amount to 12.7 million tonnes.

§ Lord Dormand of Easington
My Lords, can the Minister confirm that in both years coal has been imported from no fewer than 12 countries? How can that be justified when there are 2,500 million tonnes of known coal reserves in this country and, furthermore, that the coal produced by British Coal is now among the cheapest in the world? Further, does she agree that it is cheaper than the coal that is now being imported from those countries? What is the present level of coal stocks in this country? Has there been any significant decrease in those stocks in recent months?

§ Baroness Miller of Hendon
My Lords, from looking at the table of coal imports, I think I can confirm what the noble Lord first asked me about the number of countries from which we import coal. So far as concerns stocks of coal in this country, I am afraid that I am unaware of how many tonnes of coal there are, but I shall write to the noble Lord and inform him. He asked why we are not using coal from our own pits. The problem is that we had an unacceptably high level of subsidy. We were able to bring coal in from all over the world at lower prices. In many cases the coal was of better quality and contained lower amounts of sulphur. As noble Lords will be aware, most of the coal is used for generation in the power stations, which have strict rules about sulphur emissions. As I said, I shall have to write to the noble Lord about the other matter.

§ Lord Clark of Kempston
My Lords, does my noble friend agree that the privatisation of British Coal has been a great boon to this country's economy in view of the fact that production costs of coal in this country are now low, and compare favourably with coal from abroad? Does she further agree that it would be folly to change this country's economic policy by trying to cancel the privatisation?

§ Baroness Miller of Hendon
My Lords, I thank my noble friend for expressing that view, probably much better than I would have done.

Noble Lords
Oh!

§ Baroness Miller of Hendon
My Lords, perhaps I may just remind noble Lords opposite that between 1979 and 1994 the taxpayer provided some £20 billion to support the coal industry. I have no doubt that noble Lords opposite are taxpayers just as they are on this side of the House. The truth is that we on this side of the House have no doubt that private industry rather than public sector managers, or, indeed, government themselves, is best placed to take advantage of the opportunities available. I shall say one further thing. My noble friend talks about privatisation. The nationalised industries were costing this country's taxpayers £50 million every week. Today, the Exchequer receives £61 million every week. Noble Lords opposite might think about that when they talk about not raising taxes.

§ Lord Ewing of Kirkford
My Lords, does the Minister accept that I have noticed in recent days that government Ministers are becoming more edgy as they get nearer to losing their jobs? She should try to contain herself. Further, is she aware that National Power imports into this country cheap petroleum coke which seriously damages our environment and has consequent damaging effects on people's health? What are the Government prepared to do about that problem in order to deal with what is a serious environmental and health issue which is emerging in this country?

§ Baroness Miller of Hendon
My Lords, I understand that we are careful to ensure that everything we bring into this country is safe under environmental regulations.

§ The Lord Bishop of Durham
My Lords, will the Minister say whether it is government policy in order to reduce coal importation to encourage open-cast coal mining in this country? If so, what precautions are taken to ensure proper environmental control and respect for the feelings of local communities?

§ Baroness Miller of Hendon
My Lords, as the right reverend Prelate will be aware, this is a difficult question because environmentally there are many people who are not keen on open-cast mining, although on the other hand there are those who feel that it should be carried on. My understanding is that 668 thorough inquiries are made before a decision is reached. I am afraid that that is the best response I can give the right reverend Prelate at the moment.

§ Lord Haskel
My Lords, is the Minister aware that, although it is forecast that 21 per cent. of our energy will be generated by coal in six years' time, the use of clean technology for coal has been excluded under the present regulations relating to research? That has been done in favour of nuclear and renewable fuels. Does the Minister agree that it is time we renewed research into clean coal technology in order to make use of the resources that we have?

§ Baroness Miller of Hendon
My Lords, I am certain that they are doing such research:

§ Baroness Oppenheim-Barnes
My Lords, does my noble friend agree that it is not just the British taxpayer but the British consumer who has greatly benefited from cheaper, high quality coal, and that that is also an important consideration?

§ Baroness Miller of Hendon
Yes, my Lords.

§ Lord Molloy
My Lords, will the Minister say whether there have been, or whether there will be, discussions with the NUM on this and other issues that might arise in the future so that we shall have the best of both worlds? Members of this House and British miners want there to be sensible discussions with miners' representatives—the NUM.

§ Baroness Miller of Hendon
My Lords, discussions such as the noble Lord suggests are a matter for the industry and not for government.