The King’s Speech drew a stark contrast between the Government and Opposition today as the Conservative Government confirmed they will bring forward the Offshore Petroleum Licensing Bill to increase energy security in the UK.
The Bill, also known as the Energy Sovereignty Bill, will ensure regular annual oil and gas licensing rounds, giving the oil and gas industry confidence to invest in the UK and support British jobs.
It follows the Climate Change Committee confirming that the UK will need oil and gas in our energy supply even after 2050. By supporting the oil and gas sector here in the UK, domestic sources of energy can be used rather than importing oil and gas with higher emissions from abroad.
The plans are at odds with Labour’s policy of revoking all licenses granted under a Conservative Government – risking 200,000 jobs across the sector and billions of pounds of revenue that can be used to fund the green transition.
This new Bill is part of the Government’s long-term, pragmatic approach to reach net zero that does not increase costs for households and bolsters the UK’s energy sovereignty.
Welcoming the announcement local MP Antony Higginbotham said:
Most people recognise that oil and gas continues to be a major source of energy for everything from heating our homes to fuelling our cars. And whilst there are of course other technologies being developed and rolled out, like hydrogen and electrification, that basic need for oil and gas won’t change in the short term.
That’s why it would be a major act of self-harm if we were to restrict domestic exploration and production, and instead rely on foreign powers - some of whom seek to do us harm.
I’ve spoken about energy security a lot. And we’ve seen in recent years why that matters, even if it isn’t the most eye catching issue. Because without that domestic security of supply for what we need to literally keep the lights on and the lorries moving, our country would grind to a halt.
This is the right policy for households, and the right policy for our local businesses, allowing us to meet our environmental commitments in a sustainable way, protecting prosperity and families at the same time.
Commenting, Energy Security Claire Coutinho MP said:
The UK has cut its emissions faster than any of its peers. But as the independent Climate Change Committee acknowledges, we will need oil and gas even as we reach net zero in 2050.
As energy markets become more unstable it’s just common sense to make the most of our own homegrown advantages and use the oil, gas, wind and hydrogen on our doorstep in the North Sea.
Rather than importing dirtier fuels from abroad, we want to give industry the certainty to invest in jobs here and unlock billions of pounds for our own transition to clean energy.
