ExxonMobil: Mossmorran Debate
Full Debate: Read Full DebateSusan Murray
Main Page: Susan Murray (Liberal Democrat - Mid Dunbartonshire)Department Debates - View all Susan Murray's debates with the Department for Business and Trade
(1 day, 12 hours ago)
Commons ChamberI call the Liberal Democrat spokesperson.
Susan Murray (Mid Dunbartonshire) (LD)
I agree that this announcement is devastating for Mossmorran and for the communities around Fife. Hundreds of highly skilled workers now face an uncertain future and it is clear that the closure of this cornerstone facility reflects a deeper failure to provide the stable, long-term industrial environment that businesses need if they are to invest and grow in Scotland. For many years, the Liberal Democrats have warned that the absence of a coherent industrial strategy, first abandoned by the previous Conservative Government and then left to drift further by this Labour Government, has created damaging uncertainty for our manufacturing and energy sectors. Will the Minister assure this House that the energy sector is at the heart of the Government’s industrial strategy?
Exxon’s statement made clear that the current economic and policy environment has made continued operations uncompetitive. What steps will the Government take to ensure that the UK remains a viable place for energy production and to prevent further closures of major industrial sites?
We also cannot ignore the human impact. Many of the workers are among the most experienced and specialised in the sector, yet only 50 roles are being offered elsewhere and that is nearly 500 miles away. Can the Minister tell the House how many have been offered and accepted relocation, and what support has been put in place locally for those who simply cannot uproot their lives, families and communities?
Further, the Exxon closure will see many highly qualified and specialised workers laid off at a time of severe cost of living pressures. What immediate and long-term measures are the Government putting in place to ensure that those individuals can transition to appropriate, well-paid employment? Communities in Fife deserve clarity, certainty and a real plan for the future. I urge the Minister to act quickly, decisively and collaboratively to protect the workers and to ensure that Scotland’s industrial base has a sustainable future.
Chris McDonald
I agree with the hon. Member that at its crux there has been a failure of long-term planning in industry. We can see that when we contrast the two ethylene plants in Scotland. The plant at Grangemouth imports a lot of its ethylene from the US, which is in plentiful supply and comes at a much lower cost. That required a significant investment in the port infrastructure at that plant. ExxonMobil was aware that, in order to ensure that Mossmorran was sustainable, it would need to make a similar investment. It would have been possible for it to have made that investment some years ago, but at this stage, an investment of about $1 billion that would not come to fruition within the next five years is judged by the company not to be sustainable. Of course businesses require some certainty in order to invest; I made that point at Energy questions this morning. The certainty provided by our industrial strategy—in particular, this Government’s commitment to renewable energy technologies—is allowing investment to come in.
I agree with the hon. Member that our focus absolutely needs to be on the employees. I understand that no employees have been offered relocation yet, but it is the company’s view that 50 such posts are available and it is inviting expressions of interest from employees at this stage. I understand that the other plant is a very long way away, and that relocation will not be suitable for everyone—perhaps people do not want to uproot their families or they are embedded in their local communities—but if some workers want to take up that opportunity, I am pleased that it is there. With the offer of relocation for 50 employees and 50 employees being retained, we can see a way forward for about 60% of the permanent employees at the moment. Clearly, I would expect the taskforce to provide support for the other 40%, and the UK Government are working with the Scottish Government and the local authority on that.
We must not ignore the jobs that are being created every day and every week in Scotland in our new clean energy industries, with up to 60,000 jobs by 2030. Fundamentally, this is about supporting that transition. It is my expectation that, as these new jobs are created, people will transition across. As I have said, I lived through a terrible transition in the past. The mission of this Government is to ensure that we have a supportive transition for workers and communities in Scotland and around the UK.