HC Deb 31 October 1983 vol 47 cc300-2W
Mr. Dalyell

asked the Secretary of State for Defence how much is being spent on piers in the Falkland Islands.

Mr. Stanley

A contract has been awarded to ITM (Offshore) Ltd. for the construction of an interim port and storage system at Port Stanley. It is not our practice to disclose contract prices but the estimated cost is of the order of £20–£25 million.

Mr. Dalyell

asked the Secretary of State for Defence what discussions he has had with ITM Offshore Ltd. about the £4 million Falklands contract from which Sunderland Shipbuilders has withdrawn; and if he will make a statement.

Mr. Lee

Following the withdrawal of Sunderland Shipbuilders from the contract placed with ITM (Offshore) Ltd. for a Falklands Intermediate Port and Storage System, ITM has reallocated the construction work involved to Harland and Wolff Ltd, Belfast.

Mr. Dalyell

asked the Secretary of State for Defence why he has found it necessary to charter 14 foreign flagships to help supply the Falkland Islands garrison; and if he has taken steps to obtain information about the availability of British ships, either at sea or laid up.

Mr. Stanley

Since the cessation of hostilities and up to mid-October, the Government freight agent had chartered for the purposes of the Ministry of Defence 11 foreign flag ships for individual voyages to the South Atlantic. They were the only suitable ships which were available at the time of each requirement. Foreign flag vessels have also been used on time charters although such charters have in some instances included the requirement for the ship concerned to convert to the British flag.

Charters are arranged within the context of the Government's policy of ensuring that British ships are used for its Falkland Island tasks whenever possible. Preference is given to British flags whenever the choice is between comparable ships except in a very few cases when a high price differential is unacceptable in the light of the Government's duty to obtain value for money.

The Ministry of Defence works closely with the Department of Transport, the Government freight agent and the Government ship broker and is fully informed of the availability of British ships.

Mr. Dalyell

asked the Secretary of State for Defence what plans he has to deploy Buccaneer aircraft in the Falklands.

Mr. Stanley

Buccaneer aircraft could be deployed to the Falkland Islands at short notice if necessary.

Mr. Dalyell

asked the Secretary of State for Defence if he will make a statement on the meeting between Lord Trefgarne and the National Union of Seamen on Friday 30 September on the use of British ships for supplying the Falklands; and what action has been taken as a result of the meeting.

Mr. Stanley

My noble Friend the Under-Secretary of State for the Armed Forces met Mr. Jim Slater and other representatives of the National Union of Seamen on 30 September 1983, when the principal item discussed was the chartering of vessels used to supply and sustain the Falkland Islands garrison.

My noble Friend explained the Government's policy of giving preference to British ships whenever the choice is between comparable ships, except in a very few cases when a high price differential is unacceptable in the light of the Government's duty to obtain value for money. He also undertook to examine a list of some 96 British ships of which the NUS considered at least 22 to be suitable for Falkland charters. He has since completed the examination and has written to Mr. Slater explaining that, principally because of the requirements for cargo-handling capability, only four of the ships are in fact suitable. Two of the four suitable ships have already been used on Falklands charters and the remaining two will be considered in the context of future charters.