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Scottish Liberal Democrat economy spokesperson and MSP for North East Fife Willie Rennie has today revealed that firms who receive liquid petroleum gas (LPG) from the Mossmorran Natural Gas Liquids plant near Cowdenbeath have been told that supplies will now be sold on European markets instead of being available in Scotland.
In a letter passed to Mr Rennie, J Gas, a Bathgate-based firm who supply LPG to Scottish homes and businesses reveal that there will no longer be LPG supplies available from the Mossmorran facility.
The cited reason for this is that the Upstream Partners supplying the terminal have made the decision that the LPG produced in Scotland can be sold into the European natural gas market at a much higher return. J Gas previously received around 90% of their gas from Mossmorran.
Together with other LPG suppliers, J Gas have called on their trade association LG UK to engage with the Scottish and UK governments and requested that ministers should invoke powers available to them to convince the Upstream Partners & Equity Holders to reverse their original decision.
J Gas have now confirmed that they have been told that they may only receive 45% of their required annual volume from Mossmorran. As a result of being required to secure alternate sources of LFG, J Gas have now notified homes and businesses that their prices will increase by 7.8 pence per litre.
Commenting on the news, Willie Rennie said:
“This could be a real problem for homes and businesses across Scotland who rely on liquid petroleum gas. Many businesses are already teetering on the brink and a further increase in energy costs is the last thing they need.
“Both of Scotland’s governments need to set out what action they are taking to persuade firms upstream in the production process to change course and support Scots through the cold winter months.
“Mossmorran plays a crucial part in Scotland’s energy infrastructure, they must not allow Scots to go cold this winter.
“I have written to the Scottish Government to request a parliamentary statement on this matter.”