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UK government commits to new North Sea licences

Published 25/05/2023, 14:50
Updated 25/05/2023, 14:42
© Reuters.  UK government commits to new North Sea licences

Proactive Investors - The UK Government has committed to granting UK oil and gas licences despite new projects going against 2050 net-zero targets.

Graham Stuart, minister for climate and net zero, confirmed the government’s stance at the Innovate Zero Congress but refused to comment on any specific project.

According to the Evening Standard, scientists and campaigners are worried permission will be granted to Norwegian firm Equinor (LON:0M2Z) to develop the Rosebank oil and gas field in the North Atlantic.

The project is estimated to be able to produce around 500mln barrels of oil.

Stuart claims the government “would never” license oil and gas development that wasn’t compatible with net zero.

“We firmly believe that producing our own oil and gas as net importers, and will continue to be even as demand drops, is the right thing to do,” Stuart said.

Stuart said developing closer to home is better for the environment as it would reduce the emissions involved with shipping fuel from overseas.

However, the International Energy Agency has previously said there must be no new oil and gas projects if the world is to become net zero by 2050.

“If the Government had a shred of interest in limiting the impacts of the climate crisis, it would reverse its decision to allow more fossil fuel production and stop propping up an industry that’s destroying the planet,” said Greenpeace UK climate campaigner Philip Evans.

Read more on Proactive Investors UK

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The whole net zero policy is undeliverable. There are not enough raw materials in the earth using current technology - simple as that. Any such policy is therefore hoping that some future tech will save the day. In the meantime using existing souces has already created base load problems. Think more in terms of rationing and at even greater expense.....batteries are not the solution.
That’s great news, now we can make enough glue for the stop oil protesters…!
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