asked Her Majesty's Government:

Whether the first stage of the quinquennial review of the Oil and Pipelines Agency has been completed.

The first stage of the quinquennial review (QQR) of the Oil and Pipelines Agency (OPA), an executive non-departmental public body (NDPB), has been completed. The review focused on the OPA and its role as managing agent of the Government Pipeline and Storage System (GPSS).

The stage 1 report found general satisfaction in the performance of the OPA since its inception and that customers both military and commercial were generally content with its stewardship of the GPSS. The report also established that there is a continuing need for the GPSS and hence for it to be managed. Having established this need, the review concluded that the OPA was best placed to discharge this role and, after examining a range of alternative status options for the OPA, considered that it should continue to operate as a NDPB for the present time.

The review also concluded that there were a number of improvements that should be taken forward into stage 2 of the review, the most significant of which are:

developing the OPA's management and business plans; revising the managing agency agreement between the Secretary of State for Defence and the OPA; revising arrangements for corporate governance; and reviewing the OPA support structure and communications.

We have given my endorsement to the report's recommendations and stage 2 is now underway with the aim of completing this work by the end of 2003. A copy of the executive summary of the QQR Stage 1 report has been placed in the Library of the House.