Vol. 441 No. 5
174 Mr. Barry asked the Minister for Transport, Energy and Communications the proportion of the £26 million investment programme being undertaken at Whitegate Oil Refinery that comes for Exchequer subvention; the cost savings within the overall structures of Whitegate Oil Refinery; and if he will make a statement on the matter.
The £26 million investment programme being undertaken at Whitegate Refinery is being funded from the internal sources and trading operations of the Irish National Petroleum Corporation. There is no Exchequer subvention for the development. The investment programme, together with marketing initiatives and a broader range of products is intended to enable the refinery to operate on a commercial basis at open market prices from the end of 1996 when the system of mandatory sales of petroleum products at cost-recovery prices will be terminated. The total effect of the programme will be to eliminate the operational diseconomy at the refinery which currently necessitates the charging prices above open market levels. The amount of saving to be achieved depends on market conditions from time to time and could be substantial based on past experience.
