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Dáil Éireann debate -
Wednesday, 14 May 1975

Vol. 280 No. 11

Ceisteanna—Questions. Oral Answers. - Petroleum Exports.

16.

asked the Minister for Transport and Power if he will make a statement on the reported increase (details supplied) in exports of petroleum and its products from £696,000 in January/February 1974 to £2,264,000 in January/February 1975; and the products concerned.

The figures quoted are correct. The increase is due to an increase in exports of residual fuel oil from Whitegate Refinery from 63,000 tons in January/February, 1974, to 81,000 tons in January/February, 1975, and to the substantial price increase that took place during that period.

Would the Minister not agree that it would be more beneficial for us to utilise this oil irrespective of whatever contractual arrangements were made?

Not necessarily. The people who would use the oil are the ESB and they are free to buy in the cheapest market and, if Whitegate is the cheapest, they are free to buy there.

Is the Minister saying the price of exported oil from Whitegate is greater than that of the oil the ESB are now using?

No. What I am saying is that the ESB are free to buy oil any place they like and they would naturally go to the cheapest place. That may or may not be the Whitegate oil refinery.

But is it not a fact that oil was being exported from Whitegate 12 months ago at £8 a ton?

I heard the Deputy use that figure yesterday evening. I do not know if it was being exported at that price under a contract Whitegate had at the time.

Is it not a fact that these contracts have escalating clauses, such as the Russian contracts had with the ESB? Is it not also a fact that we were exporting oil at £8 a ton while the ESB were forced into paying £40 a ton for imported oil? Surely that is an unsatisfactory explanation.

I do not think the ESB ever paid £40 a ton.

£39.50.

The Deputy quoted this figure last night and, as far as I know, it is not correct.

But surely——

I am sorry, but I have allowed the Deputy a great deal of latitude. I am calling the next question.

Just one final supplementary: the Minister is aware that I stated this was happening and he must also be aware that no one has ever contradicted what I said and so I assume my statement is correct.

I will check.

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