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Dáil Éireann debate -
Tuesday, 20 Oct 1981

Vol. 330 No. 1

Ceisteanna—Questions. Oral Answers. - American Coal Imports.

11.

asked the Minister for Industry and Energy whether any progress has been made on the proposals to import extra supplies of American coal as a substitute for oil in power production; and whether he considers that the setting up of a national buying agency, as has been done in the case of imported oil, would enable bulk purchases to be made with cost savings.

The Electricity Supply Board are planning to import large quantities of coal to cover their fuel requirements for the coal-burning electricity generating station being constructed at Moneypoint. A substantial part of this will be American. I am also aware that a number of large industrial and other concerns are considering conversion from oil to coal as their principal fuel.

Given the current position and the outlook for coal supplies and prices worldwide and taking account of views expressed by various interests which I have consulted, I am not at this stage satisfied that there would be substantial advantages to be gained on both counts through the setting up of a centralised purchasing agency. The Deputy may, however, be assured that I will be keeping this matter under frequent review and if it becomes evident that the overall national supply situation would be made more secure or considerably more competitive prices could be realised through the introduction of centralised coal purchasing arrangements, I will be prepared to bring forward proposals to achieve this.

Is the Minister, in co-ordination with his colleague in the Department of Transport, maximising the benefit to the country of using Irish ships to import this coal bearing in mind the consequent number of jobs involved?

I am sure that the Electricity Supply Board are very conscious of the need to ensure that as much Irish shipping and labour as possible is involved in this. I will communicate the Deputy's comments to the board.

Surely it did not take a supplementary question in the House to make the Minister of State aware of this? Surely the Minister has taken action on this before now or, if not, why not?

I have every confidence in the Electricity Supply Board to act in the interests of the nation in this regard.

(Clare): I am not sure if I understood the Minister clearly, but did he say that the ESB will import all the coal that will be necessary for Moneypoint?

No, a substantial part of this will be American.

(Clare): That will mean that private enterprise or private firms will be in a position to import coal and sell it to the ESB?

The objective of the ESB, obviously, is to secure the cheapest raw material for the production of electricity.

(Clare): Wherever they buy it?

Wherever it comes from.

I am a little concerned at something the Minister of State indicated, at least it seemed to come across in what he said. The Minister said he was leaving it in effect to the ESB to decide whether or not there would be Irish ships used in the import of coal. I have great admiration for the ESB and the work they are doing but their terms of reference do not include shipping. I should like to ask the Minister of State to consider the fact that it will be necessary for him and his Department to ensure a coordination of effort between the ESB and Irish Shipping Limited or whatever other body will be involved to see to it that this happens. As the Minister is aware, there have been discussions about this but it is not one of the terms of reference of the ESB to provide shipping and, therefore, the Government have to provide the input. I should like an assurance from the Minister that he is aware of that and will see that it is given.

I have every confidence that the Electricity Supply Board will bear in mind the need to optimise Irish shipping and labour where possible. I do not have responsibility for Irish Shipping Limited but in view of what the Deputy has said I will contact the Minister responsible for that body and, as I told Deputy Burke, I will make the views expressed here known to the directors of the ESB.

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