RESOLUTION of the ECSC Consultative Committee on Coal Policy in the Community (Adopted at the 159th session of 6 November 1973)

The Consultative Committee I. recalling 1. its resolution of 15 September 1972 (1), relating to Community energy policy,

2. the resolution adopted on 12 October 1972 (2) by the European Parliament which, with a view to assuring supplies, recommended in particular that the consumption of Community coal in coking plant and for domestic uses, and, also the proportion of this coal in supplies to power stations, should be maintained;

II. referring 1. to the work of its Sub-Committee for General Objectives at its meeting on 13 September 1973,

2. to the statements of the Commission of the European Communities at its session on 28 September 1973,

III. considering that 1. in the past three years, the situation in the energy sector has changed fundamentally from that of the previous decade,

2. according to the estimates of the European Commission, Community energy requirements will double between 1970 and 1985,

3. the precarious balance maintained on the world energy market until recently is now threatened by a new chain of events which could lead to fundamental imbalance and lasting tension on this market,

4. on the one hand, the oil producing and exporting countries decided on 16 October 1973 to fix prices unilaterally and to restrict production levels,

5. on the other hand, the energy crisis developing in the United States is increasing that country's dependence on the world market, compelling it to increase its oil imports and posing coal supply problems in its own market, thus affecting its exporting capacity from now on, (1)OJ No C 106, 11.10.1972, p. 10. (2)OJ No C 112, 27.10.1972, p. 32.

6. these circumstances will accelerate the rise in imported oil, gas and coal prices, and, the era of cheap and abundant energy supply having thus come to an end, the European market, by reason of its vulnerability, will suffer greatly as regards availability and prices,

IV. urges that the energy supplies of the European Community must be assured: - by intensifying the exploration of hydrocarbons in the territory of the Community,

- by speeding up the development of nuclear energy,

- by fully maintaining its own productive capacity, in particular in the coal industry, which can in fact contribute substantially to security of supplies, especially to the iron and steel industry and for the production of electrical energy, in as far as this does not compromise consumer industries' competitiveness vis-à-vis others on the world market;

V. and consequently

once more emphatically requests the Commission of the European Communities: 1. to draw the attention of all competent authorities, especially the governments of the Member States, to the gravity of the situation and the urgent need for appropriate action to be taken, recommending in particular that they put an end to the policy of systematic rundown of coal production and to adapt this policy in accordance with current and intervening changes in the energy market,

2. to fulfil its responsibilities by formulating an energy policy to create conditions which will enable the coal industry to compensate for inevitable losses in production capacity in some coalfields by increasing production in others, without giving rise to discrimination between consumers,

3. to inform the Committee fully, and at regular intervals, of the action to be taken and the results obtained.