Prime Minister Andy Burnham faces warnings that upcoming decisions on approving North Sea oil and gas developments could spell life or death for the industry.
The Prime Minister is reportedly poised to approve the Jackdaw gas field, located 150 miles east of Aberdeen, although insiders said no formal decision has been made. The future of the Rosebank oil and gas development, situated west of Shetland, remains far less certain.
A public consultation on the Rosebank project closes on Sunday, following the conclusion of a similar consultation for Jackdaw last week. While Jackdaw is primarily a gas project, Rosebank would produce both oil and gas.
Mr Burnham suggested last week that speeding up the extraction of remaining fossil fuels from the North Sea could act as a financial bridge to clean energy generation.
Andy Burnham must soon choose whether or not to approve production from a large untapped oil field west of Shetland, as a public consultation on Rosebank closes today.
"We won't be able to stop using oil and gas for some time, that's just a fact," Mr Burnham said. "The question is whether we can accelerate use of it so that we pay for the transition, and one thing helps the other... whether that extraction can be the bridge to the clean energy future we need, and bring it forward."
Opposition Warnings Over Jobs and Economy
The Conservative Party warned Mr Burnham on Sunday night that failing to approve both projects could push the United Kingdom's oil and gas sector closer to extinction. The two developments could support more than 3,500 jobs and generate £20billion for the economy.
The warning comes after BP put its North Sea business up for sale, raising fresh fears for employment in the region. BP is one of the principal energy multinationals operating in the UK offshore sector.
Shadow Scottish Secretary Andrew Bowie urged the Prime Minister to greenlight both fields. "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," Mr Bowie said.
Mr Bowie also criticized government policy north and south of the border. "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," he said. Westminster refers to the UK Parliament in London, while Holyrood houses the Scottish Parliament in Edinburgh.
"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," Mr Bowie added. "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."
Industry Demands and Climate Opposition
The oil and gas industry has urged the Prime Minister to acknowledge that fossil fuels currently supply about 75 per cent of the country's energy needs. Offshore Energies UK, the trade association representing the UK offshore energy sector, warned that blocking domestic fields would not reduce overall demand.
David Whitehouse, chief executive of Offshore Energies UK, said: "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."
However, campaign group Stop Climate Chaos Scotland told Mr Burnham and Energy Secretary Miatta Fahnbulleh that approving new drilling is "not compatible with climate goals."
Ms Fahnbulleh's predecessor, Ed Miliband, previously stated that allowing further exploration of the Rosebank field would be an act of "climate vandalism."
Government Position on Energy Security
Responding to concerns, the Department for Energy Security and Net Zero defended the role of offshore energy resources. The government department oversees national energy supplies and net zero transition policy.
"The North Sea remains a vital national asset, supporting jobs, growth and the UK's energy security," a spokesperson for the Department for Energy Security and Net Zero said.
