HC Deb 22 May 2002 vol 386 cc404-5W
Mr. Russell Brown

To ask the Secretary of State for Scotland (1) what studies she has carried out into availability of motor transport fuels in rural areas; and if she will make a statement; [53469]

(2) what discussions she has held with the Scottish Executive since January on the (a) provision of motor transport fuels and (b) pricing of fuels; and if she will make a statement. [53470]

Mr. Foulkes

[holding answer 1 May 2002]: I have regular discussions with Scottish Executive Ministers on a wide range of issues.

I understand that Highlands and Islands Enterprise, in co-operation with Scottish Enterprise, is undertaking a study into the availability of LPG in Scotland. We expect this study to report its findings in July this year.

If the wholesale or retail price for vehicle fuel raises competition concerns it should be brought to the attention of the Director General of Fair Trading, who is responsible for investigating allegations of anticompetitive behaviour. The Director General has investigated allegations of differential pricing in Highlands and Islands by oil companies and has found that the competition legislation has not been breached.

The issue of the level of fuel taxation needs to be reviewed in the context of the overall cost of motoring taxes. Independent research commissioned by my Department has shown that the levels of taxation paid by private motorists in Scotland are lower than in other European countries such as Netherlands, Finland, Ireland and even Portugal.

The Scottish Executive assists rural petrol stations through the operation of the rural petrol station grant (RPSG) scheme. This scheme aims to help maintain a network of rural petrol stations by assisting rural petrol stations to meet the cost of tank and pump replacement and to deal with ground water problems. This was expanded to include the installation of LPG tanks and dispensers in 2000. To date, 41 rural petrol stations have been supported under the RPSG scheme. Total awards made since the scheme commenced in 1998 are now £856,765.