asked the Minister for Industry and Energy the estimated loss to Bord na Móna on the sale of 1,000 tonnes of loose sod peat to hauliers, traders, etc., in the period October 1980 to date at a tip-head price of 16.50 per tonne having an approximate coal equivalent price of £41.00 having regard to actual coal prices per tonne and allowing for market resistance to turf measured at 10 per cent below actual coal prices.
Written Answers. - Sod Peat Sales.
550.
The additional revenue which would have accrued to Bord na Móna on the basis of 1,000 tonnes of loose sod peat sold ex works at £41 per tonne instead of £16.50 per tonne, i.e. the approved price in operation in October 1980, would be £24,500. I would refer the Deputy also to my reply to Question No.551.
551.
asked the Minister for Industry and Energy if he is aware that sod peat has been on sale to a limited number of hauliers and other direct buyers, excluding the ESB, at Bord na Móna centres since September 1980 at £16.50 per tonne or a coal equivalent price of £41.00 approximately; the quantity of sod peat sold to hauliers, direct buyers, institutions and traders in that period; and having regard to the price of coal and the coal equivalent price of sod peat, if he will estimate the loss to Bord na Móna and the corresponding fuel subsidy on offer to hauliers and traders.
The approved ex-works price of sod peat charged by Bord na Móna in the period September 1980 to 5 November 1981 was £16.50 per tonne. The current approved price of £22.50 per tonne came into effect on 6 November 1981. The quantity of sod peat sold ex works by Bord na Móna in the preiod in question was 463,932 tonnes.
With regard to the inference in the question of loss to Bord na Móna and subsidy to hauliers, direct buyers etc. due to the price of sod peat being charged, falling below the Deputy's proposed equivalency to coal price, I would point out that that aspect touches on a whole range of factors including the marketing strategy and channels of distribution followed by Bord na Móna. A review of these would be a prerequisite to any worthwhile comment.
If one could assume a price of £41.00 per tonne as postulated by the Deputy, this would have yielded additional revenue of the order of £11 million.