HC Deb 20 December 1984 vol 70 c280W
Mr. Skeet

asked the Secretary of State for Energy if he will take steps to reduce the amount of oil at the British National Oil Corporation's disposal during periods of over-supply.

Mr. Buchanan-Smith

BNOC's contractual rights under the participation agreements do not entitle the corporation to vary its volumes at short notice. I expect the corporation at all times to exercise due commercial prudence in making commitments for the purchase of oil.

Mr. Skeet

asked the Secretary of State for Energy what has been the total cost to the Exchequer of the Government's attempt to stabilise the oil market through British National Oil Corporation.

Mr. Buchanan-Smith

No estimate can be given on costs or benefits to the Exchequer because we do not know how the price, and therefore tax revenues on oil production, would have developed in the absence of action by BNOC in the interests of stabilisation in 1978–80, 1983 and 1984.

Mr. Skeet

asked the Secretary of State for Energy whether he plans to make further provision by way of amendments of the Energy Act 1976 to secure oil supplies at all material times.

Mr. Buchanan-Smith

No.

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