§ Mr. Bill O'BrienTo ask the Secretary of State for Trade and Industry (1) if she plans to extend the present financial arrangements to British coal producers beyond July; and if she will make a statement; [27262]
(2) if she will provide coal subsidies up to December to allow British coal producers to respond constructively to the forthcoming energy review; and if she will make a statement. [27261]
§ Mr. WilsonThe Government currently have no plans to extend the current coal subsidy scheme, or to introduce a new scheme, beyond July 2002. The existing scheme has achieved what it set out to do, as eligible pits have been helped significantly to survive the very difficult price and structural threats they faced in 1999–2001.
We are working to ensure that the new EU coal state aid regime from July this year gives us the flexibility to devise suitable schemes to aid the industry if that is ever appropriate. Once the new EU regime is in place, we will of course consider on its own merits any proposal for Government support that complies with the new rules.