asked the Minister of Fuel and Power if he can make a statement on capital allocation; and whether he has obtained an assurance that the required capital will be available for the long-term needs of all forms of power and fuel.

I have no reason to doubt that it will be possible to meet these needs.

Is the Minister aware that the question of capital allocation in the Report of the Electricity Board causes some concern? In view of the great contribution being made to Britain's economic development by the Coal Board, the Electricity Board and the Gas Council, does the Minister not think that it should be his responsibility to see that these organisations have a long-term capital allocation so that they may plan a long time ahead?

Yes. There will be an opportunity for discussing that matter when the Gas and Electricity (Borrowing Powers) Bill comes before the House shortly.

In view of the low price—[HON. MEMBERS: "Low?"]—of British coal, is there any reason why the price should not be put up so that the Coal Board could provide out of their own earnings sufficient money to finance their own capital investment programme?

The Coal Board, broadly speaking, provide about three-quarters.

Would the Minister, for the benefit of some of his colleagues, say whether it is a fact that British coal is now the cheapest in Europe?

British coal is still the cheapest in Europe.

It used to be £1 a ton?

asked the Minister of Fuel and Power whether, in view, of the coal shortage pending, he will encourage substitution of oil fuel for coal in appropriate industrial and domestic circumstances by giving an undertaking that adequate supplies of oil fuel will be available when plants are converted for oil burning, in view of the need to restore confidence following the alternations in Government policy in 1947–48, which sponsored conversion of coal plants to oil and then back to coal, thus causing heavy losses to all concerned.

Yes, Sir. Such substitution is in the, national interest, and to encourage it is part of the Government's fuel policy. The use of oil in place of coal has been increasing in recent years and in 1953 provided a coal equivalent saving of about 13 million tons compared with 10 million tons in 1950.

The increase is likely to continue over the next few years and the oil companies have told me that they expect to be able to meet such increasing demands; but those considering a new or larger use of oil would, of course, be wise to discuss their plans first with prospective suppliers.

Is my right hon. Friend aware that his statement—in such unequivocal tones—in favour of conversion from coal to oil, will do a great deal to restore the loss of confidence which has been felt in recent years, as a result of the alternations in policy of the right hon. Member for Easington (Mr. Shinwell)?

asked the Minister of Fuel and Power if his Departmental advisers now include those versed in the problems and possibilities of nuclear science.

Yes, Sir.