asked the Minister for Industry and Energy the responsibility he has for any contract entered into between An Bord Gáis and the ESB: and if he will make a statement on the matter.

I presume the Deputy is referring to contracts for the sale of gas. Under section 11 of the Gas Act, I have the power to issue general directives concerning the pricing policy as to the sale or supply of gas or the financial objectives of the board. However, I am specifically precluded from exercising power or control in relation to the price to be charged by the board in a particular case.

Under section 8 of the Gas Act, 1976, Bord Gáis Éireann have the power to sell and supply gas and attach such terms and conditions as they think fit to any sale of gas or indeed any facility provided by it. It has been the practice of the board, before concluding any substantial contracts for the gas, including contracts with the ESB, to ascertain that the Minister did not see objections to the proposed allocation.

EEC Directive 75/404, details with the allocation of natural gas for electricity generation. It specifies that before any contract for the supply of gas to power stations can be concluded there must be prior approval of the authority of the member state involved.

On a more general basis and in the interest of board policy on the utilisation of natural gas I and my predecessors have, from time to time, discussed with BGE and agreed with them the principles which should apply to the allocation of natural gas supplies for various uses including use by the ESB.

13.