St Helena: Airport

Lord Collins of Highbury Excerpts

Monday 17th October 2016 Lords Chamber

[Lord Bates]

Those specific points about compensation are a matter for the St Helena Government, and representations should be made there. But the Government are committed to this. That is why, when asked about the flight, I said Her Majesty’s Government would be looking to provide a subsidy during the initial period to ensure that that flight can operate. That is why we have also said that we are committed to ensuring that the Royal Mail Ship “St Helena” continues in service until June next year and why we have also commissioned these additional pieces of research to look particularly at the issue of wind shear—which, of course, is stopping some of those flights from coming in. I totally agree with the noble Lord on the importance of this.

[Lord Collins of Highbury (Lab)]

My Lords, a fully functioning airport is absolutely vital, but there is an important lesson to be learned here. I asked the previous Minister about the contract for the airport and what risk assessments were undertaken. We were assured originally by the last Government that the contract would shift all the risk to the private contractor. It is important for the future that we learn the lessons from this huge and important investment so that we do not make the same mistakes again. Can he assure us that that will happen?

[Lord Bates]

I have read the remarks that the noble Lord made in the debate in, I think, June 2014, about the contract with Basil Read. It is important to say that the problem is not necessarily with the airport—the structure is good, strong and sound—but with the wind shear. It is important, particularly in areas of international development, that we ensure that British taxpayers’ money is spent wisely. That is why the Major Projects Authority and now the Infrastructure and Projects Authority have undertaken gateway reviews every year. The noble Lord may also be aware that the National Audit Office looked into this airport in June this year and published a report to say that the business case put forward by the previous Labour Government was in fact sound.