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Seanad Éireann debate -
Wednesday, 2 Jul 1980

Vol. 94 No. 13

Adjournment Matter. - Availability of Anthracite.

If I may link what I have to say with what Senator Harte said in his last remarks with regard to gas, I want to raise the whole question of fuel and energy in our present situation. The facts I have to lay before the House are stark and clear and are of considerable importance. As of now the one company that has the monopoly of the supply of anthracite to this State has declared that anthracite peas and beans—forgive the metaphorical language I am using but that is the technical language they use—or otherwise anthracite that feeds hopper-fed stoves is no longer available and will never be available. That is what the monoply company—Coal Distributors Limited—told me when I rang up on three different ruses to find out what the position was. They said that hopper-fed stoves no longer can get the kind of anthracite necessary for hopperfed stoves to survive on.

Perhaps I may link that to Government policy at the moment. About six months ago Department of the Environment offered generous grants to people who would switch from oil to solid fuel, and a great number of the citizens of Dublin—a number of whom are my constituents, and who have spoken to me—did just that. At enormous expense they installed central heating systems based on anthracite stoves. They were extremely happy with them until a couple of weeks ago when they rang for a new consignment of anthracite to keep these highly environmentally desirable, Government approved devices in operation. They were told by Coal Distributors Limited that not only is it not available, but it will not be available in the foreseeable future, or at any time in the future. They were told that Germany which produced and supplied this product, had some crise de conscience recently and decided that all their anthracite of this kind would be kept for themselves and that no more would be exported to us or to anybody else. This means that the people who installed these stoves at great expense to themselves and at considerable expense to the taxpayer now have white elephants on their hands. I pressed, I had to use a few personae.

Not strong language.

No, just insisting questions. They said there is a substandard anthracite. But, having pressed them under various hats with regard to the effectiveness of this substandard anthracite, they assured me that it is no damn good for these stoves. I thought the next step obviously would be to ring up the wholesalers of these stoves—Trianco Housemaster one of the key names involved—and I discovered that they are doing a roaring trade in these stoves. In fact, there is one estate in suburban Dublin at this moment being installed with these stoves.

I want to put it to the Chair, to the House and to the Government that this is a rather tricky situation. If people are installing stoves which I am informed there is no means of fuelling in the future, that is obviously a barren exercise and one that will cause a great deal of unhappiness to everybody—except of course the people who sell the stoves. It certainly will bring no joy to the people who install them. Even Coal Distributors Limited will not get any consolation from it either because they are not going to be able to sell any fuel to them. Then I rang the oil companies and discovered that they have a glut of oil. They are now handing out dinner sets as incentives to people to buy oil—people who six months ago decided patriotically to turn from oil to anthracite, to solid fuel, and who got grants from the Ministry of the Environment to do this. So now we have a glut of oil on the market, but we have no anthracite. Yet we have a Government policy which encouraged people to turn from oil to coal or anthracite. In other words, we have a state of egregious confusion for the citizen.

The few questions I want to ask are fairly modest. When these grants were approved for solid fuel systems, was there any research whatever done into the availability of solid fuel? Was there a distinction made by the Government between systems relying on the solid fuel that was available and the solid fuel that was not available? If there was such a research enterprise undertaken, I would like to know its nature, its results and its recommendations. If West Germany has decided to clamp down on its anthracite, have the Government any clout in the matter? Can we approach them? Can we say that we are a very small economy and that the amount of anthracite we would need would be very small? As a friendly nation and part of the EEC, could we ask them to make a special case with regard to Ireland? We have encouraged many people to instal these stoves.

East Germany are the biggest anthracite suppliers in the World.

I had not thought of that, but what we import comes from West Germany. The interesting thing is that the people who are importing it are monopolists. If there were competing interests in the matter, might there be a company willing to negotiate with Poland or with East Germany or with Upper or, if you were really put to the pin of your collar, perhaps even Lower Silesia? I am not a bit snobbish in these matters. Would it be possible to investigate that aspect of the market? In other words, have the Government a policy with regard to that or have they any strategy to deal with the situation which seems at the moment seriously——

Build an anthracite development plant.

An Leas-Chathaoirleach

The Senator must be allowed to finish, without interruption.

The answer that could be given is that it is a free market, and fair dues to the kangaroos one should find out what one is buying. The Government have no responsibility. They give grants but they do not carry out checks. The ordinary citizen has not the leisure, the time or the cynicism to scrutinise a Government directive of this kind. He tends to come patriotically forward and say the Government want us to use solid fuel, so we will use solid fuel. When he has installed the solid fuel system and suddenly finds solid fuel is withdrawn, I think he has reasonable cause for complaint. I think he has the right to ask the Government why he was encouraged to install a solid fuel central heating system.

We were talking about an ombudsman earlier. He would be relevant to this matter because, with all due deference to Senator Harte, ombudsmen do not have anything to do with human rights, but they are concerned with administrative justice. This seems to be a matter where the administration of the State and its resources has been seriously negligent.

I know I have 20 minutes to talk about this and it would be of no difficulty for me to spin the matter out. I am not going to do that. I want to ask the following questions. Is it true, as is alleged by Coal Distributors Ltd who have a monopoly in the supply of anthracite, that anthracite peas and beans are no langer available? Is it true as some of the retailers say, that actually it is available and will be available but that these monopolists are holding on to it waiting for the National Prices Commission to allow them a rise in prices so that they can charge more for it in the autumn? That has been alleged by the retailers. They say that the monopolists are holding on to it until they get a price rise and that they will sell it then to the retailers. I am asking these questions here—that is the purpose of raising something on the Adjournment.

I know it is true that there is a glut of oil and that incentives are being offered by the oil companies. Have the Government any plans to deal with the people who are victimised by the change from oil to solid fuel and who now wish they had stuck with oil believing the Government that oil would be scarce, which now it is not, or so it seems? Supposing the answer to all these questions is yes, that there is no hope at the moment in terms of present policies that the German Government or other governments are going to release the right kind of anthracite to us, is it possible that our Government could make a special appeal or a special deal for our small community having regard to the fact that the amount of anthracite required is not very large? Is there something they can do for the people who have got themselves into this situation? Does the policy that was announced by the Department of the Environment with regard to a change to solid fuel remain as Government policy? If it does, how soon is the citizenry of the country going to be instructed as to how and what kind of means they should use to implement that Government policy. I should like answers to these questions. It seems that a year ago the German Government were offering £10 per ton to their exporters for the export of anthracite then suddenly they panicked and they would not let it be exported.

Finally, if I seem to have made heavy weather of this matter it is not in any spirit of cynicism. I would really like to know what the Government have in mind for us in the matter. I do not question the goodwill or the good intentions of the Government in turning towards the solid fuel policy. I am worried nevertheless that we have rushed at that policy too precipitantly, too impetuously, and I would like to know what kind of advice the Minister of State and the Government have to offer to the citizen who has got himself into this situation.

Senator Martin has raised quite a number of questions and I hope I can satisfy him in some respects at least. I would like to think him for raising this very important matter. I hope that when I am finished I will at least be able to allay some of his fears.

When the matter was raised, and even before that, inquiries from the coal trade ascertained that there are adequate supplies of anthracite in stock at present but that there are difficulties being experienced in burning some of the grades of anthracite in certain specialised appliances. I presume that that is the kernel of the Senator's case. I am assured that this situation applies only to a very limited number of appliances. I can assure the Senator that the coal trade are examining the problem to see if improved combustion in these appliances can be achieved but I agree that is of very little help to those who are actually caught at this particular time.

As the Senator probably knows, seeing that his research has been very well done, two grades of anthracite are available. With the first grade, the volatiles, that is the elements that are responsible for the ignition of the coal at three to four per cent approximately, are too low to produce efficient combustion of the fuel without a forced draught. This factor adversely affects the performance of certain stoves. However, I must emphasise that there are many other appliances, and they are in the majority, that burn the present stocks of anthracite satisfactorily. At the moment tests are being conducted to see whether a suitable mixture of available grades can be evolved to solve the problem. I understand that American anthracite, which is in fair supply in the Irish market, performs equally well to the blended anthracite. The problem only arose around 1 June of this year. Up to that time, as the Senator said quite rightly, Germany supplied the suitable anthracite but since then the sizes and characteristics available are not, as indicated, ideally suitable. With many countries turning to coal there is pressure on supplies and anthracite is also being affected in this way.

There are proven reserves of approximately 10.7 million tons of high grade anthracite in the Leinster Slieve Ardagh coalfield. In addition, there are probable or possible reserves of 12 million tons in these coalfields. The feasibility of extraction of all these coal reserves on an economic basis has yet to be established having regard to the very narrow nature of the seams, the depth at which they occur and some other operational factors. Current annual extraction amounts to approximately 9,500 tons. In the light of the interest being shown in these coalfields by a number of prospective development companies and expansion proposals by existing mining companies, it is hoped that the rate of extraction will be significantly increased in the relatively near future when certain legal problems regarding the mining rights have been resolved.

In regard to the environment, a reduction in present consumption of anthracite would not make any real difference to the smoke levels in the environment because consumption of anthracite accounts for only a small proportion of household coal. For example, in 1979 it accounted for approximately 50,000 tons out of a total consumption of 1.2 million tons of household coal. The present levels of smoke in the atmosphere do not exceed limits set in the directive adopted in principle by the Council of Ministers of the EEC in September 1979. I understand that levels of smoke and sulphur dioxide which are the main air pollutants from fuel usage have been declining in the Dublin area in the period of 1970 to 1978 and that present levels of smoke and sulphur dioxide do not exceed the limits set in the directive to which I referred. Pollution levels in the provincial cities are lower than in Dublin and the latter's small size, location, wind direction and force all contribute in a mainly beneficial way.

The sale of smokeless fuels has dwindled very significantly in recent years, as the House is aware. The principal smokeless fuel is coke, which is a byproduct of the production of coal gas. There was a virtual cessation of the manufacture of gas from coal. This byproduct, coke, and many other products with brand names which were essentially the same thing, virtually disappeared from the market. With the increased urbanisation and the risk of smog in urban environments, there is no doubt that this is regrettable. The United Kingdom and other parts of the Continent had to introduce smokeless fuel zones in certain cities to cope with this problem. With the inevitable diversion to coal which will now occur in Ireland, the importance of smokeless fuels will increase considerably.

In the interests of the environment, the report published yesterday by the National Board for Science and Technology, entitled Energy Supply and Demand for the Next 30 Years, indicates the very increased share which coal is expected to hold of the Irish energy market by 1990. While, of course, much of this is industrial, a significant part will be domestic coal in which anthracite and coke will have a very important part to play. While the environment is the primary responsibility of another Minister, the Minister for Energy is far from being unmindful of the side effects of this shift in the energy supply policy, and due regard will be paid to such factors in the planning and integration of that policy. The continued availability of anthracite of acceptable quality will continue to be a concern of the Minister for Energy. If it is necessary to increase the standards of performance of the special stoves for burning anthracite, this can also be looked at. It is not, however, on the information available to the Minister for Energy, a problem of any significance other than that arising from difficulties with certain types of stoves handling one of the grades of anthracite now on the market.

Senator Martin posed certain questions. The information available to us is that there are sufficient supplies of anthracite available. However, there are shortages of a particular kind. In reply to the Senator's second question, the National Prices Commission would insist on getting the buy-in price and the costs would have to be proved to the National Prices Commission before any increase in price could be allowed.

With regard to a glut of oil, my recollection is that it was not dinner-sets they were asking for some time ago, but money in advance. All of us who remember that should think twice about accepting the dinner-sets now. At the time of the grants, oil was in a critical supply situation. A change to any solid fuel—I emphasise any solid fuel because that was what the grants were for, not the particular grade of anthracite to which the Senator referred—was then and is still seen as a desirable security of supply. I am not aware of a problem about hopperfed anthracite. The information is that, generally, there are adequate supplies of anthracite. However, I take the Senator's point in relation to looking for other sources, and I will certainly put that point very forcibly to the Minister for Energy. The fact that the vast majority of people can obtain fuel for their stoves is of very little consequence and is very little use to those who have the particular problem the Senator has in mind. He can rest assured that I will put to the Minister for Energy everything he has said in relation to looking for other markets.

The Seanad adjourned at 8.30 p.m. until 10.30 a.m. on Thursday, 3 July 1980.

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