A SUBSIDIARY of British Gas is in discussions with the Northern Ireland Office on licence terms for the development of a natural gas industry in Belfast. In a written parliamentary answer, the Northern Ireland Minister, Mr Michael Ancram, said that the British Gas subsidiary, Premier Energy Suppliers, was chosen after two bids for the Belfast gas network were received.

Mr Ancram said that although Northern Ireland Electricity had made a higher bid for the Belfast gas network, "the plan submitted by Premier Energy Suppliers was considered to meet most closely the government's objectives of the most rapid and extensive as possible development of a downstream gas industry."