§ Mr. Rostasked the Secretary of State for Energy (1) if he will make a statement on the proposed increases in the price of gas and how it will affect long-term contracts between the British Gas Corporation and its customers; and what is the expected net increase in revenue;
(2) what is the current capital indebtedness of British Gas Corporation; how this will be reduced by the proposed increase in tariffs as part of the economic package to reduce the public sector borrowing requirement; and how the increased tariffs will affect the corporation's proportion of self-financing its capital expenditure programmes.
§ Mr. BennAs at 15th December 1976, the statutory borrowing powers of the British Gas Corporation had been exercised to the extent of £2,236.6 million. The precise size and application of the increase have still to be worked out, but it was requested because of the crucial importance of reducing public sector borrowing quickly, and will certainly make a valuable contribution to this.