Oral Answers to Questions

Nick de Bois Excerpts

Thursday 10th February 2011 Commons Chamber

[Chris Huhne]

The hon. Lady will know that it is precisely because we are not confident that customers are getting a fair deal that we have, for example, asked the OFT to look at the heating oil market and why procedures are under way to investigate doorstep selling. In all markets we must be ever-vigilant, which is precisely what the Government have been. We have put the consumer’s interests first.

[Nick de Bois (Enfield North) (Con)]

2. What assessment he has made of the likely effects on oil prices and supply of the political situation in Egypt.

[Nigel Mills (Amber Valley) (Con)]

11. What assessment he has made of the likely effects on oil prices and supply of the political situation in Egypt.

[The Secretary of State for Energy and Climate Change (Chris Huhne)]

Egypt accounts for 2.1% of the world’s oil production. We do not expect that disruption to Egyptian oil production and oil transiting the Suez canal is likely. The secretary-general of OPEC and the Saudi oil Minister Ali al-Naimi have both stated that, in the event of disruption to the Suez canal, OPEC would increase production to provide market-calming measures. About 5% of overall crude and petroleum products goes through the Suez canal.

[Nick de Bois]

I thank the Secretary of State for that answer. Will he outline what measures his Department may be planning to affect price stability?

[Chris Huhne]

My hon. Friend may be referring to the debate that has been going on about the fuel duty stabiliser, but that of course is the responsibility of the Treasury and the Chancellor of the Exchequer. I understand that work is continuing on that. The key for my Department is to ensure that we speed the transition to a low-carbon economy as quickly as possible. We have to get off the oil price hook, and this episode of oil prices rising above $100 a barrel demonstrates the urgent need to make good progress on that, which is precisely why the Government are, for example, bringing forward subsidies for electric vehicles, pushing within the European Union for tougher standards on energy-efficient vehicles, and why we have the green deal. We want to ensure that our population is not vulnerable to precisely those sorts of shocks. Our policies will be—