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Dáil Éireann debate -
Wednesday, 16 Apr 1975

Vol. 279 No. 11

Ceisteanna—Questions. Oral Answers. - Off-Shore Oil and Gas.

6.

asked the Minister for Industry and Commerce if he has had a survey carried out to establish the number of locations on the south and west coasts which are suitable for the construction of off-shore platforms for the oil and gas industry.

I recently arranged for a working group composed of representatives of appropriate Government Departments and State-sponsored bodies to carry out a study to establish what locations in Ireland might be suitable for the construction of off-shore production platforms. The study is under way but I understand it will take some months yet to complete.

Can the Minister tell us whether the working party will ask the Minister to insert conditions in the granting of off-shore oil rights to firms so that they will be given those rights only when rigs are built?

I do not contemplate imposing such conditions. Such conditions, in my view, would delay matters to an extent which would be gravely disadvantageous to the country.

Is the Minister aware that a certain project which will employ 900 men is being held up for want of an order, and is he further aware that the feeling in the area is that the British Government put pressure on one of the firms which manufacture and construct these rigs and succeeded in taking an order from CBI?

I understand that the project to which the Deputy refers is held up. Generally in relation to the building of drilling rigs, one has to balance jobs which are short-term, and they are short-term. I am anxious that rigs should be built in Ireland but there is an amenity viewpoint and there is also a viewpoint relating to the taking up of labour for which jobs of a more permanent kind could be found. If I were to impose a rigorous condition in regard to drilling rigs I would create impossible delays.

May I take it from the Minister's reply that a project which has been passed by the IDA for grant aid is now in some jeopardy because of a change of decision on the part of the Government? From the tone of the Minister's answer it would appear that the Government are having second thoughts on the erection of these rigs.

The Deputy is now raising a specific matter.

I can answer the question. There is no change of policy in regard to that project.

Would the Minister elaborate on what he meant when he said that the conservation of amenities might be more important than the provision of short-term jobs?

I did not put it in those terms. I said that in evaluating any project one wants to consider the effect of taking up a great deal of local labour on short-term jobs. One may take up the pool of labour and labour may not be available for permanent long-term employment. Secondly, you want to consider the question of amenities. Thirdly, one wants to have a rational use of the deep water sites we have and not a completely unplanned use. There is both gain and potential damage and the reason we set up the group to think about it was because we did not want piecemeal development which would result in damage under a number of headings and which could be avoided by thinking ahead.

Deputies Gallagher, Wilson and R.P. Burke rose.

Deputies will appreciate that there are some 200 questions on the Order Paper and the Chair cannot remain unduly long on any particular question. We cannot debate this matter at this stage.

In view of the fact that certain development has already been undertaken by CBI at Killala and certain State funds have gone into the project and given employment—even if it is only of a temporary nature it is very important in this area—would the Minister not agree that it is necessary for the Government and the Minister to get some obligatory clause which would make it necessary to have CBI get some contracts?

Potential damage from an obligatory clause would be very great but I would certainly agree to a clause which would help CBI. I think there is, in fact, such a clause. I would object to a clause of an obligatory nature because that would involve huge delays.

Would the Minister give a guarantee that the drills being manufactured in the AZ factory in Cavan will be used in oil exploration?

This seems to be a separate question.

It is linked.

It may be linked, but it is still a separate question.

I am not prepared to answer.

Drills are being manufactured in Cavan specially for this purpose.

If the Deputy puts down a question, I will certainly answer it, but I could not answer now.

Is the Minister seriously suggesting that to provide 900 jobs in the present context of 103,000 unemployed is to lose our attraction as a labour pool from the point of view of bringing industries into this country? Will providing 900 short-term jobs damage the overall situation in which we have 103,000 unemployed?

The best thing, I think, is to ask the Deputy to read the record of what I said.

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