HC Deb 16 April 1996 vol 275 cc433-4W
Mr. Hume

To ask the Secretary of State for Northern Ireland if he will make a statement on terms of licences being prepared by the Department for Economic Development for gas network development and supply of gas over that network indicting(a) what towns or districts are (i) to be included and (ii) to receive priority, (b) what measures are being taken not to prejudice network development and supply to a wider area and (c) what measures are being taken to promote network development and gas supply to the north-west; and what measures will be taken to encourage competition through the natural gas supply network on the same basis as in Great Britain. [24869]

Mr. Ancram

Premier Energy Suppliers Ltd. has sought a licence for the development of a natural gas industry in an area comprising Belfast, Lisburn, Newtownabbey, Carrickfergus, Larne, Holywood, Newtownards and Bangor and the Department has entered into discussions on the terms of such a licence. The roll-out of the new gas industry would be based on a development plan which has yet to be agreed.

The licence would provide for third party access to the main transmission pipeline and gas could be taken through the licensed area to other areas.

The introduction of natural gas to the north-west, or any other area of Northern Ireland, would be undertaken by the private sector on the basis of commercial viability.

The Department's objective is the introduction of competition in gas supply at the earliest possible stage. Periods of exclusivity may, however, be required given the very significant commercial risks associated with the development of a new gas industry.