Michael Connarty
Main Page: Michael Connarty (Labour - Linlithgow and East Falkirk)(11 years, 1 month ago)
Commons ChamberRead Full debate Read Hansard Text
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Mr Davey
I am grateful to my right hon. Friend for his question. The Scottish Government and the Westminster Government have been working extremely closely and I am grateful for such work. The partnership has been successful and constructive, and we will need to continue to work together in the days and weeks ahead for the people of Scotland—and, indeed, for the people of the UK, because as he suggested, this has UK-wide implications. Beyond that, I remind the House that Her Majesty’s Treasury has been working with INEOS to look at potential infrastructure guarantees, should INEOS make a decision to invest in the petrochemicals plant. My right hon. Friend the Chancellor of the Exchequer has developed innovative infrastructure guarantees and we stand ready to assist with that. I know that the Scottish Government have plans to assist as well.
Michael Connarty (Linlithgow and East Falkirk) (Lab)
I thank the Secretary of State for recognising that I have kept the Government and Opposition Front Benchers, and also the Scottish National party, informed of developments. There is common purpose in this.
On 14 October, I sat with Calum MacLean as he told me about the bright future that was available to Grangemouth Petrochemicals—the chemicals side—if it could go across the bridge to a point where it would be breaking even and then making money in large amounts, with ethane coming from America after 2022. It is unfortunate that there seems to have been an ultimatum approach, rather than a negotiation approach. There is still time for all parties—the Opposition, the Government and the Scottish Government—to ask the company to rewind the tape, get back to negotiations and think of the bright future that can be shared with the community after negotiations.
I heard the general secretary of Unite in Scotland saying this morning that the entire survival plan and all the terms and conditions of employment are on the table for negotiation, so there is still time to save the plant, which supplies 30% of the ethylene to the UK down the pipeline. It not just refines 300 barrels of oil a day for Scotland, the north of England and Ireland, but feeds the chemical industry of the whole of the UK.
Mr Davey
I once again pay tribute to the hon. Gentleman, who has been representing his constituents with his usual skill. I agree with much of what he says but, as the Government must look at all potential scenarios, we have to look at the potential scenario of liquidation, as announced by INEOS today. We very much regret that, but we have to plan for all potential outcomes. The hon. Gentleman is right that a better outcome would be to get both sides around the table so that we can get agreement on a way forward and secure the investment that we wish to see. We want to see the petrochemicals plant staying open and developing.