HC Deb 26 March 1986 vol 94 cc478-9W
Dr. Michael Clark

asked the Secretary of State for Energy if he will make a statement about the meeting of the European Communities Council of Energy Ministers of 20 March.

Mr. Buchanan-Smith

I represented the United Kingdom at the Council of Energy Ministers on 20 March.

The Council discussed the current situation in the oil market. It agreed that the substantial fall in oil prices over the past few weeks would have beneficial effects on the economic outlook for the Community. It was further agreed that the fall in prices should not have any significant detrimental short term energy effects. There was therefore no reason to adopt new specific Community energy policy measures now.

This approach was reflected in discussion of the proposed Community energy objectives for 1995. Given the current situation in the market, it was not considered appropriate at this juncture to adopt a resolution, but further progress was made on the text.

The Council again considered the draft regulation establishing a new regime governing the payment of state aids to the coal industry. Some major differences of opinion remain to be resolved in the preparations for the June Energy Council. There was also a discussion of the contribution other solid fuels (lignite and peat) could make to diversifying Community energy supplies particularly in certain regions. The Council concluded by welcoming a recent Commission paper on new and renewable sources of energy. This is now to be considered in detail.