asked the Minister for Energy if his attention has been drawn to the statement in the monthly report No. 145 of the National Prices Commission to the effect that, for petrol prices, the Whitegate factor still represents a significant additional cost to the consumer; and if he will make a statement on the matter.
Written Answers. - Petrol Prices.
562.
I have seen the statement to which the Deputy refers. What is important in the case of Whitegate is the extra cost to the national economy, if any, arising from its operation. In 1984 the apparent gross extra cost was $9.4 million but this must be adjusted to allow for the storage factor. When allowance is made for the value to the economy of the financing cost of strategic stocks held at Whitegate, which would have to be held whether the refinery was operating or not, then the real net cost in 1984 was not significant. This is without taking any account of the strategic and security considerations involved. It is assumed for the purpose of the calculations to arrive at $9.4 million that if Whitegate was not operating, the products would be replaced at the average prices of imports. At present Whitegate petrol is, in fact, cheaper than the estimated average price of imports.