National Emergency Plan for Fuel Debate
Full Debate: Read Full DebateLord Redwood
Main Page: Lord Redwood (Conservative - Life peer)Department Debates - View all Lord Redwood's debates with the Department for Energy Security & Net Zero
(1 day, 13 hours ago)
Lords ChamberYes, the noble Lord asks me whether there is a crisis and there is one in place at the moment. However, we have considerable difficulty in determining exactly its direction and depth, precisely because we do not know what the position is and will be, particularly concerning the Strait of Hormuz, for the future. The response to that crisis, as far as the Government are concerned, clearly has to be to take every measure possible to ensure that the Strait of Hormuz is open—and open without tolls—for the passage of fuel across the world, but we do not know how long that will last.
The plans that we are therefore undertaking, particularly given the prices that may be an issue in global fuel scarcity, with various people trying to cannibalise everybody else’s fuel supply, are under our control nationally. We can therefore indeed intervene, if necessary, to make sure that those prices remain as stable as possible and, particularly as far as those who are in fuel poverty are concerned, that more people do not fall into fuel poverty as a result of those problems.
Two of our refineries have shut under this Government and the remaining four are at risk from high costs and very high taxes. What has emerged from government discussions with our refiners to expand our refinery output? That is the way to national security—not relying on product imports from dangerous parts of the world.
I do not quite recognise the noble Lord’s description that the four refineries in this country are at risk. Those are very large and stable refineries. As he knows, they continue to refine the forms of crude coming into the UK into petrol and other fuel products. Those refineries are set up to provide a particular kind of output based on the crude oil coming into them, and that is not necessarily a full spectrum of fuel products. Therefore, part of a strategy, as far as fuel is concerned for the future, is to look at where those refineries can expand and increase their production if possible, and to make sure that, where they are not able to easily refine the things we need, we have secure sources of those for the future.