Nigel Mills
Main Page: Nigel Mills (Conservative - Amber Valley)(13 years, 10 months ago)
Commons ChamberRead Full debate Read Hansard Text
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.
Nigel Mills
I am grateful to my right hon. Friend for that information, but, given the current high price and the risk of uncertainty increasing it further, does he agree that there is now no need to encourage my constituents and his to change their behaviour through further duties, and that if we do such things we risk driving our constituents out of economic activity completely?
Chris Huhne
As I say, the fuel duty stabiliser is a matter for the Treasury. I merely point out that, over time, all European countries—in fact, all developed countries with the exception of the United States—have taken the policy view that, for all sorts of reasons, including national security, we should encourage energy efficiency in our oil use. Any short-term concession that goes against that will make us more vulnerable in the long term.