§ 26. Mr. HindTo ask the Secretary of State for Energy if he has any plans to meet the chairman of British Coal to discuss future pricing policy of coal to the privatised electricity companies; and if he will make a statement.
§ Mr. Michael SpicerMy right hon. Friend and I meet the chairman regularly to discuss all aspects of the coal industry. The Government have made clear their view that while the privatised generating companies are likely to wish to buy a significant proportion of their coal requirements on a contractual basis, the size of that proportion, the price or prices at which coal is sold on contract, and the length of the contracts are all matters for commercial negotiation. British Coal's agreed underlying objective continues to be to earn a satisfactory return on capital while competing in the market place.