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Dáil Éireann díospóireacht -
Tuesday, 1 May 1979

Vol. 313 No. 11

Ceisteanna—Questions. Oral Answers. - Diesel Supplies.

10.

asked the Minister for Industry, Commerce and Energy if he has revised the position in relation to the supply of oil; if shortages will recur and the measures it is proposed to take to remedy such a situation.

13.

asked the Minister for Industry, Commerce and Energy why the recent severe shortage of diesel fuel was not anticipated and why appropriate action was not taken sooner.

With the permission of the Ceann Comhairle, I propose to take Questions Nos. 10 and 13 together.

While there have been difficulties caused by circumstances, both inside the country and abroad, and entirely outside my direct control which involved delays in supply to some consumers, the fact is that in the first quarter of this year sales of gas/diesel oil were substantially higher than sales in the corresponding quarter last year. It is true that the disruption caused by the dispute at the Port of Dublin caused some panic among motorists in particular, but I cannot accept that overall there has been a severe shortage of diesel fuel.

Some shortage in supplies of gas/ diesel oil in the current quarter is anticipated and, as Deputies will be aware, I recently made an order providing for priority to be given to certain users of that product. I might add that the operation of this order is being kept under close review to ensure that all essential user's requirements are met.

Why alone of all EEC states did this country undergo a very severe shortage of oil products over recent weeks? Why did it occur here and why could not that situation have been averted by some form of forward planning?

The first factor which differentiates us from other European countries is our growth rate. The second factor is that for eight days the port of Dublin, to all intents and purposes, was closed.

The shortage preceeded that.

The shortage became serious during that period.

It was serious before also.

I have informed the House twice that the deliveries of gas/ diesel oil were significantly higher in the first quarter of this year than they were last year. I continously made the case over a period of perhaps six or eight weeks that there was in fact no serious shortage, that there was a certain element of panic-buying and things like that going on which was creating an artificial shortage. I urged people not to partake in activities which would create an artificial shortage when the underlying situation did not indicate that there was such a shortage. The figures of a significant increase in deliveries bear that out.

So it was not the oil companies' fault?

Was it not the case that at least three weeks before the commencement of the strike in Dublin port deliveries to retailers of diesel oil were at 90 per cent of their consumption for the same month the previous year?

In the case of many companies they were a good deal higher than that. Part of the problem was caused by the fact that one relatively small company, which has about 5 per cent of the Irish market, seemed to be out of supplies altogether—due to factors which were relevant to that company—and the customers of that company inevitably must have caused a certain panic within the market generally because they were going around rather frantically trying to get supplies elsewhere which gave the impression of a greater shortage than there was.

Is the Minister saying that he does not know that retailers of diesel, not supplied by the company in question, were at 90 per cent of their supplies for the previous year?

I said some individual company may have been at that level but it is not true of companies generally.

The Minister should know, as I know, that that is the case.

It is not true of companies generally because their supplies were considerably in excess of corresponding deliveries in the previous year.

May I put it to the Minister that the present position was highly predictable last January? I should like to know by what amount these national stocks of oil fell in January in this country?

By what amount they fell in January: that is a separate question on which I would have to seek information. It is not related to these questions.

Well, that information is available. In fact, they fell by 20 days in January and the Minister knows that.

That does not pertain to these questions.

In regard to Question No. 10—the supply of oil—has the Minister made any separate arrangements now in relation to the supply of oil from either Soviet Union or Chinese sources?

There are further questions in relation to that later.

Is the Minister aware that the company he mentioned in his last answer accounts not for 5 per cent but 8 per cent of the Irish market and that a shortfall in any commodity of 8 per cent is bound to cause a panic as any Minister in the Minister's job ought to know?

The figure is 5 per cent. The companies themselves have told me that.

Question No. 11.

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