Oral Answers to Questions

Alberto Costa Excerpts

Wednesday 10th February 2016 Commons Chamber

[David Mundell]

The Prime Minister is committed to securing a deal. He has spoken to Nicola Sturgeon about this issue and they have had productive discussions. They are now involved in an exchange of letters, but they are both quite clear that they now want a deal. I am confident, given the position set out in the letter from the First Minister that the Scottish Government are actively engaging in that negotiation process, as are we, that we will be able to get that deal.

[Alberto Costa (South Leicestershire) (Con)]

3. What discussions he has had with representatives of the North sea oil and gas industry on Government support for that sector.

[The Secretary of State for Scotland (David Mundell)]

On 28 January, the Prime Minister and I held discussions with industry representatives in Aberdeen on further support for the North sea. As a member of the joint ministerial group on oil and gas, I also engage with key stakeholders, such as the Oil and Gas Authority, on a regular basis.

[Alberto Costa]

Calor Gas has its largest operational UK site in my constituency in South Leicestershire. A number of residents in the Scottish highlands and other rural areas rely on Calor Gas, which receives a large part of its Scottish gas supply from the North sea. Does my right hon. Friend agree that, as a result of the support that the UK Government are able to provide, we are much better placed to absorb the fall in oil prices than would have been the case had Scotland been an independent country?

[David Mundell]

I acknowledge the importance of Calor Gas and all those who supply off-the-network energy to people living in rural Scotland. On my hon. Friend’s wider question, he makes an important point about the ability of the United Kingdom as a whole to absorb the change in the oil price.