§ Mr. Albert Robertsasked the Minister of Power when he estimates that the price of gas to the domestic consumer will be reduced as a result of the conversion to North Sea gas.
§ Mr. FreesonSome but not all Boards have made small reductions in prices in areas already converted to natural gas. Similar reductions may be made in other areas as conversion proceeds. A reduction of price generally in real terms may be expected over a period of years as the full benefit of natural gas consumption is obtained.
§ Mr. Albert Robertsasked the Minister of Power what proportion of the average delivered cost to the consumer of North Sea gas will be represented by the onshore price received by the producing companies.
§ Mr. FreesonI refer my hon. Friend to the reply I gave to the hon. Member for Ince (Mr. McGuire) on 29th March.—[Vol. 761, c. 341.]
§ Mr. Albert Robertsasked the Minister of Power what proportion of the capital costs involved in the conversion to North Sea gas will be saved on the basis that the entire supply goes to existing or new industries instead of partly to the domestic market.
§ Mr. FreesonThe cost of converting consumers to using North Sea gas will be more than offset by savings on gas making plant and other costs. The exclusion of domestic consumers, even if this were practicable, would increase not decrease costs. Moreover most existing industrial consumers are supplied through the same distribution systems as domestic consumers and it would be impracticable to confine conversion to the former.
§ Mr. Albert Robertsasked the Minister of Power what estimate he has made of the capital requirements of the gas industry in the next five years for the conversion to North Sea gas.
§ Mr. GunterI have nothing to add at present to the estimates published in paragraphs 15 and 23 of the White Paper on Fuel Policy (Cmnd. 3438).