Decision on Jackdaw and Rosebank 'could be life or death’ for North Sea
A public consultation on Rosebank – the largest untapped oil field in the North Sea – closes on Monday
Andy Burnham’s decision on whether to give the go ahead to two oil and gas fields could be “life and death” for the North Sea industry, it has been warned.
The Scottish Conservatives said failing to develop Jackdaw and Rosebank would move the sector one step closer to extinction.
A public consultation on Rosebank – the largest untapped oil field in the North Sea, 80 miles north west of Shetland – closes on Monday.
A similar exercise for the planned Jackdaw gas field, about 150 miles east of Aberdeen, finished on August 10.
Production at both fields had been approved by the previous Conservative government, but those decisions were quashed after a legal challenge by Greenpeace, leaving Labour ministers to decide whether drilling should go ahead.
Industry body Offshore Energies UK (OEUK) has said Rosebank and Jackdaw would support a peak of more than 3,500 jobs during construction, and 880 jobs externally during their lifespans.
Shadow Scottish secretary Andrew Bowie said: “Labour’s decision on both Jackdaw and Rosebank could be the difference between life and death for an industry that has supported the UK for generations.
“The absurd North Sea energy policy of both Westminster and Holyrood governments risks bringing a premature end to our oil and gas sector as we know it.
“I am absolutely positive that the results of both consultations will send a clear message to Andy Burnham to stop the small talk and get Britain drilling again.
“These oil and gas fields, which the Conservatives have supported from the very beginning, will help shape the lives of thousands of North Sea workers for years to come.
“BP’s decision to end its North Sea operations must be the catalyst for Labour to get Jackdaw and Rosebank up and running as a matter of urgency.
“Anything other than approving these fields will threaten our energy security, cost thousands of jobs, and move our world-leading oil and gas industry one step closer to extinction.”
It came as Aberdeen and Grampian Chamber of Commerce (AGCC) launched a new online resource, North Sea Facts, aimed at resetting the national debate on the future of the North Sea.
The body has written to every MP and MSP calling for “practical action to ensure Britain replaces imported oil and gas with cleaner domestic production wherever demand still exists”.
Russell Borthwick, chief executive of AGCC, said: "The debate about the future of the North Sea has become one of the defining economic and energy policy discussions facing the UK.
“The decisions taken over the next few years will have profound implications for jobs, investment, public finances, energy security and the success of the energy transition itself.
"Too often, however, that debate has become dominated by slogans rather than evidence. North Sea Facts has been created to help reset the conversation by putting independently sourced data and publicly available evidence at the centre of it."
He added: "Every credible forecast shows Britain will continue to need oil and gas for decades to come. The real question is whether we produce more of that energy ourselves, under some of the world's highest environmental standards, or increasingly rely on imports from overseas.
"Today, production from the UK continental shelf is declining by around 10 per cent every year. Unless new investment comes forward, almost all of that decline is replaced by imported energy. That means exporting jobs, investment and tax revenues while increasing our dependence on international markets."
In a letter, Stop Climate Chaos Scotland (SCCS) – a campaign group made up of more than 70 organisations with around a million supporters – said the new Prime Minister must block the proposed developments.
It warned Mr Burnham and Energy Secretary Miatta Fahnbulleh that the “consequences of climate change are already being felt, through more extreme heat, drought, wildfires and growing risks to food insecurity”.
The letter claimed that approving new fields such as Rosebank and Jackdaw is “not compatible with climate goals”.
OEUK said it recognises the threat of climate change, but the UK needs “realism” in its energy policy.
David Whitehouse, who leads the trade body, said: “Unprecedented heatwaves are reminding us that climate change is not a future threat but a present reality. The UK needs both urgency and realism in its energy policy. That means accelerating renewable energy and also being honest about today’s energy system.
“The reality is that oil and gas still provide around 75 per cent of the UK’s energy, keeping our cars moving, planes flying, homes warm and industries running.
“If we do not produce this oil and gas here with lower emissions under one of the most tightly regulated regimes in the world, we do not end demand. It just means more imported oil and gas – often with a higher carbon footprint, while more jobs, taxes and industrial value are shifted overseas. The government must be honest about this.”
Scottish Greens co-leader Gillian Mackay said: “Giving permission to a climate-wrecking project like Rosebank would be reckless and indefensible.
“All governments have the basic duty to protect our environment. Yet the frightening reality is that as the climate crisis gets worse, the UK and Scottish government responses are getting weaker.
“Andy Burnham’s first major climate test as Prime Minister was whether he would honour Labour’s manifesto, ruling out new drilling in the North Sea and standing up to climate-denying Donald Trump. He has already failed it.
“He should have honoured his party’s manifesto, and immediately rejected Trump’s demand to open up the North Sea.
“It is more of the same short-term thinking that has failed Scotland’s workers and communities for decades."
A spokesperson for the UK Department for Energy Security and Net Zero said: “The North Sea remains a vital national asset, supporting jobs, growth and the UK’s energy security.
“We are clear that oil and gas will continue to play an important role in our energy system for decades to come, alongside transitioning to clean power to protect jobs and tackle the climate crisis.”
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