§ Mr. Sillarsasked the Secretary of State for Energy what is his latest estimate of the total capital expenditure, offshore and onshore, in relation to North Sea oil development; and if he will estimate the proportion spent within the Scottish economy.
§ Dr. J. Dickson MahonIt is not possible to estimate expenditure on oil and associated gas separately. However, the total United Kingdom gross domestic fixed capital formation—offshore and onshore—in the oil and natural gas exploration and production industry between 1972 and 1977, inclusive, is currently estimated at £6.8 billion. Expenditure prior to 1972 essentially related to southern basin gas fields and subsequent expenditure to northern basin developments. The returns received by my4W Department do not enable the proportion of capital expenditure actually spent in Scotland, as distinct from the proportion of capital investment physically made in Scotland, to be identified, but of the £6.8 billion capital formation, just under 88 per cent. was offshore on the United Kingdom Continental Shelf, the balance of about 12 per cent. representing onshore investment, of which about 70 per cent. was in Scotland.