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Dáil Éireann díospóireacht -
Thursday, 7 Dec 1989

Vol. 394 No. 3

Ceisteanna — Questions. Oral Answers. - Oil Refining and Distribution Costs.

1.

asked the Minister for Energy the reason he has discontinued the provision of information to the EC on oil refining and distribution costs in Ireland; and if he will make a statement on the matter.

I am assuming the Deputy is referring to the "Net Sales Proceeds" return which is submitted to the EC in accordance with Council Directive 76/491/EEC.

My Department have responsibility for the compilation of approximately 30 returns, all of which are sent to the EC or the IEA in accordance with agreed reporting procedures. Only in the case of one return has some difficulty arisen. In the case of the net sales proceeds return, this is prepared by an outside consultancy firm on behalf of the major oil companies because of some confidentiality concerns by the companies on commercial information. It has been the subject of queries from the EC in the recent past in view of apparently erroneous trends in data. I also understand that certain of the companies who are a part of the survey have not made returns for some time. However, my Department have recently issued reminders to those companies who have not been making returns and I understand that the major oil companies concerned will continue to submit data. I would hope that the matter can be rectified early in the new year and revised returns can be submitted to the EC shortly.

I have no desire for my Department to intervene directly in the present modus operandi primarily because I wish to respect the sensitivities of the companies with regard to privileged financial data. However, the companies, together with their consultants, must make a move to resolve this problem sooner rather than later. If not, my Department will take whatever steps are necessary to revive the data return.

Would the Minister not accept that the failure to continue to provide information on distribution costs of oil products, which is one of the key elements of these returns, has not made it possible for the Fair Trade Commission, who were hired to look at Irish distribution costs, to do a proper study of this? Would he not accept that this is not a matter that can be left in the present limbo, with no foreseeable change in the present gap in figures?

I do not agree with the Deputy that it is going to be left with no foreseeable attempt being made to provide this information. I think I made it clear in my reply that unless the companies concerned supply the information, in the form in which it is required, within a reasonable period, I will consider taking other steps to ensure that the information is obtained and sent on.

The main import of my supplementary is that these data, when they were last provided, showed that Irish distribution costs were two and a half times the average in Europe. The Minister's colleague set up a Fair Trade Commission to look at this problem and no evidence was available from the Department to the commission although they are under obligation from the EC to provide it. Would he not agree that that is just not good enough?

That is a matter for the Minister for Industry and Commerce. If the Fair Trade Commission feel that certain information that is necessary to enable them to carry out their work properly is required, they can make the appropriate request to the Minister for Industry and Commerce with whom, the Deputy can be assured, I will co-operate fully.

Can I ask——

Order, let us now deal with Question No. 2.

I would like to ask one final supplementary.

I have appealed for brevity. A brief question, Deputy.

It is a matter of considerable public interest. Is it not the case that it is the Minister's Department, under the EC directive, who are obliged to compile these figures and that the Minister knows that the Fair Trade Commission are endeavouring to scrutinise this matter? Therefore, I suggest the Minister should not be waiting for a request from the Fair Trade Commission: he should be volunteering this information.

The Deputy should not seek to exaggerate the matter. There is a very wide range of areas in which my Department make information available to the EC with regard to petrol and other oil product distribution and this is only one of the headings under which information is requested. It has not been reported to me that the Fair Trade Commission have had any difficulty because of what has happened with regard to these figures. I assure the Deputy I will take appropriate action to ensure that the required data are supplied as soon as possible, if not through the existing arrangements then I would be prepared to introduce new arrangements to ensure that the information is provided.

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