Vol. 427 No. 3
16 Mr. Timmins asked the Minister for Transport, Energy and Communications the present position concerning a partnership arrangement for the Whitegate Oil Refinery; the steps if any which have been taken for its upgrading; and if he will make a statement on the matter.
There are no discussions ongoing at present with prospective partners for the Whitegate Refinery. The INPC are now examining a number of different types of upgrading with a view to identifying how best to improve the economies of the operations at Whitegate.
I am disappointed that the Government has not been successful in finding a partner for the Whitegate Refinery. It is my understanding that two years ago when the Tara Mines were sold a commitment was given that the proceeds of that sale would be used towards upgrading the Whitegate Refinery. Why was that work not done? What has happened to the money? Is it still held and can it still be directed towards upgrading the Whitegate Refinery? I should like the Minister to also advise the House of the cost to the economy of the delay in upgrading the Whitegate Refinery.
A major effort was made to find a suitable partner for the Whitegate Refinery, a partner that would be interested in an investment that would lead to the upgrading of the Whitegate Refinery. Consultants were appointed to carry out a major analysis of the Whitegate Refinery. The consultants have reported and the matter will have to be examined in the light of the fact that, because of the state of the oil industry in the world, there is at the moment no interested potential partners. Further discussions will have to be held and an analysis of the position will have to be made before a decision is taken on what is in the best interests of the Whitegate Refinery.
I should like to point out to the Minister that he did not answer my question. I asked the Minister what happened to the commitment given that the proceeds from the sale of the Tara Mines would be used to upgrade the Whitegate Refinery, whether the money is still held and why there has been a delay in committing those funds to upgrading the Whitegate Refinery. If the consultants have reported, perhaps the Minister could advise of the report.
The purpose of the consultants' appointment, made by the previous Minister, was to establish whether a partner could be secured. The consultants identified several potential partners but failed to attract any of them to make an investment. In the light of that, the Government and the Department will now have to examine what investment is needed in order to upgrade the Whitegate Refinery and the feasibility of that work in the present economic climate.
We shall now move on to Question No. 17.
What about the Tara Mines?
I feel that the Deputy has had a good innings on this question.
Could I ask one more question?
I thought that I had been very generous.
I shall allow a further brief question.
Given that the consultants' report is the same as comment made in the Culliton report, does the Minister agree with the conclusion in the Culliton report that states that if private investment for the upgrading of the Whitegate Refinery cannot be obtained the refinery should be closed down?
It is my opinion that an island nation could not consider the closing down of a strategic location such as the Whitegate Refinery. It is of vital importance to our country, as an island nation, to have availability of supplies. I think that the Government could not contemplate going down that road. Our country cannot isolate itself. I would not agree with that particular conclusion.
