asked the Minister for Industry, Commerce and Energy if, in view of the recent shortage of oil and petroleum products in the country, he will arrange to have the question of oil supplies to Ireland raised at the next European Council meeting; and if he will make a statement on the matter.

9.

asked the Minister for Industry, Commerce and Energy if it is intended to seek any EEC assistance in the arrangement of future oil supplies.

With the permission of the Ceann Comhairle, I propose to take Question Nos. 8 and 9 together.

The shortage of petroleum products, particularly gas diesel oil and, to a lesser extent, motor spirit, which has been experienced in consuming countries this year was caused by a number of factors including the Iranian crisis, and increased demand due to severe weather conditions. Supplies to this country were in fact significantly higher in the first quarter of 1979, as compared with the corresponding period last year, due mainly to additional demand arising from increased economic activity.

It may be taken that energy matters will continue to be discussed and this country's viewpoint adequately presented at appropriate EEC meetings. Meanwhile, all necessary steps will be taken, under the aegis of the EEC, the IEA and other international organisations, to ensure that available oil supplies are distributed equitably and that due account is taken of the fact that our dependence on imported oil is higher than in many other countries and that our economy is rapidly expanding.

The Minister is aware of the previous European Council's decision to cut consumption overall by 5 per cent. How does this relate to his general energy policy here?

Naturally I agree with and support the recommendation of the European Council that our consumption should be cut. I might add that it is more difficult for Ireland than it is for many other countries because our growth rate is much higher; it is higher than any other European country. Also the ratio of increase in oil usage or energy usage to increase in GNP is a higher ratio here than it is in other European countries and this creates particular difficulties for us. We have been at some pains to point out that the 5 per cent cut back which was agreed on at the European Council and at the international Energy Agency meeting in Paris in France should be related to projected 1979 demand rather than to actual 1978 usage.

Would the Minister reconcile for the House his admission made here just now that the reduction in oil usage is an important objective to which he himself subscribes with the admission which he made via his Parliamentary Secretary here last week in answer to a question from me that while in 1976 £70,000 had been spent on publicity promoting energy conservation, in the first three months this year the sum of £150 was spent? Would the Minister like to comment on that disparity?

The Minister says it is particularly difficult for Ireland because of our high economic growth and higher ratio of increase in energy consumption to our increase in GNP as compared to any other country in Europe. Surely these factors should be taken into consideration in arriving at an estimation of the amount of oil to be used in this country in 1979? Therefore a 5 per cent reduction for us is no more difficult than for any other country.

It is because the usage in many other countries is only marginally above their 1978 levels and some of the oil companies have been seeking to supply by reference to the 1978 usage rather than to the projected 1979 demand.

If the Taoiseach's 1979 demand announced at the Council was accepted, then it is no more difficult for us than for anybody else?

It is one matter for the European Council or the IDA to accept it. It is a different matter for the companies to implement it.

I do not think so at all.