Austin Currie
Ceist:232 Mr. Currie asked the Minister for Public Enterprise the steps she will take to maintain essential oil supplies in a situation of international instability. [22245/01]
Written Answers. - Oil Supplies.
The operation of global oil supply arrangements is primarily a matter for the oil industry and in recent decades, oil markets have had considerable success in maintaining supplies to consumers despite occasional events in key producer areas. If, on the other hand, international tensions were to result in a significant oil supply disruption, the response of the consumer countries would be implemented within the framework of the formal emergency regime developed and maintained by the International Energy Agency, IEA, an autonomous OECD body of which Ireland is a member. Under the IEA regime, in return for maintaining 90 day oil reserves and introducing demand restraint measures as necessary, member states would be entitled to a share of available oil in the event of a reduction of at least 7% in normal supply levels. There are also provisions for a co-ordinated international response to an emerging crisis, without the oil sharing component, in advance of the 7% trigger.
If a major oil supply crisis were to be declared, I would be the Minister with prime responsibility for Ireland's response and my Department, in conjunction with the oil industry and other rel evant public and private sector bodies, would oversee the implementation of the measures necessary to maintain essential supplies. In this regard, under the Fuels Acts, 1971 and 1982, there are significant provisions to empower me, if the Government so authorised, to intervene in relation to regulating or controlling the acquisition, supply, distribution or marketing of fuels held by the oil companies. These powers would, for example, provide the basis for a range of possible demand restraint measures, including reduced speed limits, traffic restrictions, prioritisation of oil deliveries, harmonisation of garage opening hours and the introduction of a formal rationing scheme. Other measures open to me would be publicity initiatives and the controlled release of the strategic oil stocks held by the National Oil Reserves Agency, NORA, in line with our EU and IEA obligations. The nature, extent and timing of the interventions and the balance between the various elements in the overall package would depend on the depth and progress of the crisis and its specific impact on the Irish oil products market.
At present, no interruption of oil deliveries is foreseen, but in view of the volatility of the international situation, the IEA is continuing to monitor developments in consultation with the member states. Meanwhile, my Department is liaising with NORA and the oil industry and all parties are reviewing their respective emergency supply arrangements so as to ensure an efficient, timely and co-ordinated response should I be called upon to exercise my functions in this regard.