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North Sea And English Channel (Oil Exploration)

Volume 19: debated on Monday 8 March 1982

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16.

asked the Secretary of State for Energy when he expects to announce the date of the eighth round of licensing blocks for exploration in the North Sea and English Channel.

No decisions have yet been taken on the timing for an eighth round of offshore licensing.

When my hon. Friend is making his decision, will he consider whether it would be appropriate for at least some of the blocks to be allocated by auction to the highest bidding group?

As is normally the case, before each round of licensing all possibilities will be examined. I assure my hon. Friend that this will continue to be the case.

When the hon. Gentleman makes his allocations for the eighth round, will he give an assurance that they will not be used as a large handout to the new creation, Britoil, and thereby enhance the price and value of this new company? Does he agree that this would be an abuse of the licensing powers of the Secretary of State?

Britoil will be in exactly the same position as any other oil company. It will have the same opportunities to apply.

Aligning this matter to the previous question, will my hon. Friend ensure that the oil companies are made aware of their obligations to the fishing community before starting any exploration in the English Channel?

Yes. I can give my hon. Friend that assurance. Indeed, in successive rounds of licences, progress has been made with the fishing industry. There has been considerable discussion at every level.