Plenty of fuel to go round, drivers told

Apr 25 2008 by Adrian Pearson, The Journal

MOTORISTS in the region have been told not to panic-buy petrol – despite the risk that fuel could be diverted North of the border.

Workers at the Grangemouth refinery will walk out on Sunday after talks between union officials and bosses broke down, and officers in Scotland are already considering how to import more fuel if supplies run out.

While petrol stations in Northumberland were not yet reporting any increase in trade, some forecourts in Scotland were already noticing a rise in sales.

Last night, petrol retailers dismissed the likelihood of a fuel shortage in the North East, but admitted the threat of panic buying in Scotland did raise the possibility of fuel being diverted from other parts of the country.

Scottish First Minister Alex Salmond yesterday told drivers there were enough supplies to last “well into May” and that plans were in place to resupply Scotland should the strike have a larger impact.

Mr Salmond’s promise to Scottish motorists came as he urged drivers to use their cars only for essential journeys.

His comments followed those of industry officials who warned the two-day strike and the planned temporary closure of the refinery for safety reasons could cost the UK economy £50m a day.

In Berwick yesterday, one petrol station boss, who asked not to be identified, said he had seen no noticeable impact of the Grangemouth closure. But he was preparing for a possible change in the amount of fuel available to North motorists as a result of supplies being redirected to Scotland.

The refinery, owned by Ineos, is already closing down operations ahead of the walkout.

Earlier this week, Ineos chief executive Tom Crotty was accused by union leaders of stoking up panic in the North. He had warned motorists that the strike would have a significant impact in the region.

The Grangemouth boss said there would be “chaos in the North of England for weeks on end”.

Alex Wells, at the Petrol Retailers Association, said the Tyneside area should not be too badly affected by any shortages, but was less confident about parts of Northumberland.

He said: “We’re hoping the North of England will avoid too much of a knock-on effect, and if everyone is sensible this should be possible. A lot depends on what drivers do in response to this.”

Yesterday, Business Secretary John Hutton told MPs in the Commons that he regretted the breakdown of peace talks between the site’s owners Ineos and the Unite union.

He added: “Over the last few days significant additional supplies of imported fuel have been made available in Scotland. I have been advised by the industry that there is sufficient fuel to re-supply forecourts and other users ahead of the planned industrial action. “Industry has also advised us that, at present, fuel stocks at Grangemouth, together with planned imports of finished product through Grangemouth to replace lost production, should be sufficient to maintain supplies through the period of the industrial action and the consequent re-starting of the plant.”