HC Deb 23 June 1983 vol 44 cc5-6W
Mr. Hannam

asked the Secretary of State for Energy what was the immediate effect of the reduction in the petroleum term prices announced by the British National Oil Corporation on 30 March 1983 on the proceeds from the sale of oil taken as royalty in kind.

Mr. Peter Walker

The reduction in the BNOC term price, effective from 1 February 1983, has resulted in refunds being due to those customers who purchased royalty oil from BNOC after that date and paid for it at the previous term price. The total of such refunds is expected to be £9 million. A token Supplementary Estimate to Class IV, Vote 21 will be presented shortly for parliamentary approval. Pending such approval expenditure is being met by a repayable advance from the Contingencies Fund.

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