Energy: Gas Supplies

Lord Ezra Excerpts

Wednesday 12th October 2011 Lords Chamber

Asked By

[Lord Ezra]

To ask Her Majesty’s Government what are the prospects for gas supplies during the coming winter.

[The Parliamentary Under-Secretary of State, Department of Energy and Climate Change (Lord Marland)]

My Lords, National Grid published its Winter Outlook 2011/12 report on 11 October. Its assessment of UK gas security of supply for the coming winter is broadly benign, with lower domestic production being offset by the expectation of more imports, especially of liquid natural gas. The Government will work closely with National Grid and the energy industry to monitor the ongoing energy supply situation during the winter months ahead. We will also be publishing the statutory security of supply report together with an assessment of the security of supply risk in the gas market later this autumn.

[Lord Ezra]

My Lords, I thank my noble friend for that reassuring reply. Nevertheless, things can go wrong, so what is the Government’s policy on gas storage capacity? Our current capacity is now well below that of continental countries, has fallen back in the past year and is the one big reassurance we could have if supplies should be interrupted during critical winter periods? In the longer term, when will our demand for gas, 60 per cent of which now has to be imported, be reduced so that we are less reliant on the vagaries of the import market?

[Lord Marland]

Let me continue in the spirit of bonhomie and welcome the noble Lord’s return—