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Statement on what action he is taking in relation to access to offshore oil and gas infrastructure to promote exploration and development in the UKCS.

Asked by

Baroness Winterton of Doncaster (Labour)

Answering body

Department of Trade and Industry

Type

Written questions

Status

Answered

Tabled on

14 February 2001

For answer on

15 February 2001

Answered on

15 February 2001

Ms Rosie Winterton: To ask the Secretary of State for Trade and Industry what action he is taking in relation to access to offshore oil and gas infrastructure to promote exploration and development in the UKCS. [151187] Mr. Hain: I have today placed in the Library of the House a copy of a consultation document from my Department dealing with access to oil and gas infrastructure, which: consults on the effectiveness of the industry's code of practice on third party access to offshore infrastructure; seeks evidence of any anti-competitive behaviour in relation to third party access to oil and gas infrastructure; provides informal guidance which the industry has sought to meet a requirement of the 1998 gas directive to publish main commercial conditions for access to onshore gas terminals; makes proposals for publication of guiding principles on the use of legal powers to settle disputes over access by third parties to oil and gas upstream infrastructure, which will reduce industry uncertainty about the regulatory regime. My Department's proposals in the consultation document are intended to encourage a pro-competitive environment in relation to third party access to oil and gas transportation and processing. We believe it is important to establish whether there are any barriers to development of new and marginal fields and, if so, to address them. The consultation on the effectiveness of the industry's voluntary code of practice gives an opportunity to see if the negotiation and level of third party tariffs is causing problems. If, as a result of this greater clarity, future tariffs are better aligned with costs, there will be better use of the UK's oil and gas infrastructure, which will increase the exploitation of our reserves, enhancing security of supply for consumers.

Date

15 February 2001

Reference

151187; 363 c289-90W

House

House of Commons

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