UK Government Plans to Introduce New Environmental Guidance for North Sea Oil and Gas Companies
The United Kingdom government announced its plans to introduce new environmental guidance for oil and gas companies operating in the North Sea.
The guidance intends to stabilize the industry, attract investment, safeguard employment, drive economic expansion, and fulfil climate commitments as the North Sea evolves towards a clean energy future.
This new guidance follows a Supreme Court ruling that regulators must consider the implications of burning oil and gas and Scope 3 emissions in their future projects before approving them.
The consideration for the implications falls under the Environmental Impact Assessment for new projects, as per an announcement on the government’s official website.
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As per the announcement, the government is taking immediate action, issuing new guidance and engaging with industry stakeholders, workers, trade unions, and civil society to ensure a clear, equitable transition that aligns with climate and legal obligations.
The government is expediting decisions on oil and gas development consents, acknowledging the UK's offshore industry’s proud legacy and the exceptional skills of its workforce, particularly in Scotland and Northeast England.
It also recognizes the continued importance of oil and gas in the nation's energy mix.
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Minister for Energy Michael Shanks said, “This government is committed to making Britain a clean energy superpower, helping to meet our first mission to kickstart economic growth.”
He added, “While we make that transition the oil and gas industry will play an important role in the economy for decades to come.”
Since the new government's formation, a new sense of urgency towards the country’s clean energy mission has been developed.
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As part of the initiatives, the government launched Great British Energy, a British government-backed investment entity and publicly owned energy generation company, which was announced as part of the Labour Party's energy policy agenda.
Headquartered in Scotland, it follows substantial moves in the energy sector, including the largest-ever offshore wind investment, removing the onshore wind ban, and approvals for domestic solar projects.
The plan also advances new North Sea industries, such as carbon capture and storage, and hydrogen production.
