UPDATE 1-Euro MPs take Petroplus fight to Brussels
LONDON Jan 17 (Reuters) - European parliamentarians fighting to save four refineries owned by troubled Petroplus urged the European Commission on Tuesday to protect the endangered plants, and a UK MEP called on BP to help save the UK refinery.
Petroplus has been forced to cut production at plants in Switzerland, France, and Belgium and halve output at plants in the United Kingdom and Germany after its lenders cut credit lines in late December.
Howitt, an MEP for Britain where the Coryton refinery is situated, and MEPs for the other affected refineries met with European Union Commissioner Laszlo Andor to say that the Commission should step in.
"Supply of crude oil to Coryton is guaranteed only to the end of the month, and we must move beyond these stop-gap solutions to ensure not just the protection of nearly a thousand jobs at Coryton but also to keep the pumps flowing for British and other European motorists," Howitt said.
He also said BP had told him it was in discussions with Petroplus to provide a crude supply deal for the Coryton refinery, and he urged it to do so.
"We are one of a number of companies that take supply from Coryton and are watching the situation carefully," Toby Odone, a spokesman for BP said. He did not confirm that the company had held discussions about Coryton.
"BP made a big profit when it sold the plant in 2005; it has to recognise the long term responsibility it has to the workforce and it should be involved in a rescue package," Howitt said. Petroplus bought the Coryton refinery from BP for $1.4 billion in 2005.
He said that Andor had agreed to coordinate a response with the EU energy commissioner, Gunther Oettinger, and Commission President Jose Manuel Barroso.
"There is a case for intervention on competition rules, support for redundancies, trade policy and restructuring," Howitt said, also speaking on behalf of the MEPs representing Petit Couronne, in France, Ingolstadt in Germany and Antwerp in Belgium.
Petroplus closed its 68,000 barrel per day Cressier refinery in Switzerland on Monday, a Swiss trade union spokesman said.
Howitt added that there was much more of a political focus on the issue in France and Belgium than in the United Kingdom, which could put its refinery at risk.
The possible permanent closure of refineries in France has become a political issue with the country's Industry Minister saying he was shocked Petroplus was not providing more information about the future of its refineries.
The UK authorities by contrast welcomed an agreement that allows the refinery to operate until the end of the month.
"We hope this provides the necessary time and space to allow the company and its lenders to negotiate a longer-term solution," a Department of Energy and Climate Change spokesman said.
Howitt said he was disappointed at the lack of a more robust response.
"I'm extremely disappointed there are 1,000 jobs at risk, and it could lead to interruption of supplies; forecourts could run dry. It's a very inadequate response from the government," Howitt said.
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