Vol. 530 No. 3
41 Ms McManus asked the Minister for Public Enterprise the safeguards built into the agreement with a company (details supplied) which provide for the continued operation of both the Whitegate refinery and Bantry terminals to ensure the supply of petroleum products to the Irish market for the next 15 years; the powers which the Minister will retain to deal with any unforeseen internal or external oil crisis; and if she will make a statement on the matter. [3696/01]
The non-binding heads of agreement signed in July 2000 by the Irish National Petroleum Corporation, INPC, and Tosco Corporation include a commitment by the latter to operate, and invest in the development of, the Whitegate refinery and the Bantry oil terminal on a commercial basis for at least 15 years after the date of purchase. I regard this commitment as an essential element in the overall proposal, given the important contribution that these facilities make to ensuring security and diversity of oil supply in the Irish market.
As part of the overall effort to bring the proposed deal to completion, work is proceeding on the translation of the 15-year commitment into an effective and enforceable legal undertaking. As these negotiations are still in progress, I hope the Deputy will appreciate that I am not yet in a position to give details of the precise terms in which this or any other element in the deal will be reflected in the eventual agreement between the parties.
Even if the proposed transfer of ownership proceeds, this will not diminish the extensive powers conferred on me by the Fuels Acts, 1971 and 1982, to deal with interruptions in Irish oil supplies. This legislation empowers me in such circumstances to regulate or control the acquisition, supply, distribution or marketing of oil and to take any measures necessary for the maintenance and provision of oil supplies. The facilities at Whitegate and Bantry will continue to come within the scope of this legislation, irrespective of their proposed transfer to the private sector.
The National Oil Reserves Agency, NORA, although a subsidiary of INPC, is not involved in the proposed deal with the Tosco Corporation and will continue to act as my agent in maintaining Ireland's strategic oil stocks. The NORA stocks may be utilised in the event of an internal or external oil crisis in accordance with agreed international procedures.
In the context that the proposed deal between the INPC and Tosco is concluded, NORA will enter into commercial contractual arrangements in respect of the storage of strategic stocks at both Whitegate and Bantry. The refinery and the terminal will also continue to participate in the informal arrangements which, under the co-ordination of my Department, have provided an effective means up to now in dealing with localised disruptions, or threatened disruptions, of Ireland's oil supply arrangements.
