asked the Minister for Energy if he will indicate each subhead of each Vote for which he is responsible which is to be increased in the 1981 Estimates by less than 16 per cent and/or the officially expected rate of inflation in 1981; and how economies, if any, are to be made in respect of each such subhead so as to keep within the provision in the subhead.
Ceisteanna—Questions. Oral Answers. - Vote Provision.
6.
The detailed subhead information sought by the Deputy can more appropriately be raised when the Estimate for my Department comes before the Dáil.
In the meantime I should like to state that the allocations shown in the Book of Estimates conform with the overall allocations decided by the Government and the necessary steps will be taken to ensure that they will not be exceeded.
Could the Minister say if the cut in town gas subsidy means an increase in the price to consumers? Could I ask him further if the cut in the provision for general expenses of the Nuclear Energy Board will mean redundancies and if the reduction in State support to the mines at Avoca will mean any redundancies there? Could I further ask him if the reduction in the provision for the Geological Survey will mean any less activity in that area which the House recognises as particularly important in view of the shortage of many basic minerals in the world at present?
The Deputy is anticipating the next question.
Is the Minister not taking Questions Nos. 6 and 7 together?
No, I took No. 6 only.
7.
asked the Minister for Energy how he expects to effect reductions in expenditure as provided in the Book of Estimates in each of the following: (a) £33,000 on advertising and publicity, (b) £49,000 on equipment for geological surveys, (c) £700,000 on the town gas subsidy, (d) £165,000 on State support for Avoca Mines and (e) £83,000 in the grant to the Nuclear Energy Board; and if he expects any reduction in the level of services and/or staff redundancies to result.
The provision made for State support for the Avoca mining operation is provisional in that a review of the position by the Government is currently in progress. Otherwise, the provisions shown in the Book of Estimates, which conform with the overall allocations decided by the Government, are adequate to maintain the level of services provided and I do not expect any staff redundancies to arise.
How does the Minister propose to economise on the activities of the Nuclear Energy Board to the extent of £83,000 without laying off staff? Furthermore, will the reduction of £750,000 in the town gas subsidy mean an increase in prices to consumers in the cities of Dublin and Cork where gas is supplied? Will there be a reduction in the activity of the Geological Survey?
I do not wish to go into details of the various subheads. As I have indicated, it would be more appropriate for debate on the Estimate. However, the reduction in the subsidy for town gas represents the fact that natural gas is now being supplied to Cork Gas Company and a subsidy is not required. In regard to the Nuclear Energy Board, the reduction represents an estimated reduction in the requirement for consultancies, not a reduction in staff. The provision of equipment for the Geological Survey has been held up because its new headquarters are not ready, due to the liquidation of the building firm concerned. It is now going ahead and the provision this year is estimated to cover equipment which can be installed this year while the building is going ahead. There will be no reduction in staff.
The subsidy to Cork Gas Company has now been stopped. Does that mean that the price for natural gas being charged to the Cork Gas Company is less than the market price?
To which market price is the Deputy referring?
The oil equivalent price. I understood the Minister to say some months ago that the policy of An Bord Gáis would be to supply gas at the going rate except where contracts were already signed.
Broadly speaking that is correct.
Does that mean, now that the subsidy is removed, that Cork Gas Company are going to be supplied below that rate?
The intention generally in regard to natural gas is that it will be supplied, as the Deputy said, at an energy related price, but it would also be, broadly speaking, competitive with gas oil prices. The Deputy may be assured that the reduction in the subsidy because it will not be paid in future to Cork Gas Company does not mean an increase in the price of gas in Cork. On the contrary, it could well mean a reduction.