New guidance issued for environmental impact assessments
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Offshore oil and gas developers to benefit from greater clarity and
stability, as new guidance responds to last year's landmark Supreme
Court ruling for the North Sea. The government
has acted decisively to respond to the independent Supreme Court,
which ruled before this government took office that the global
environmental effects of burning oil and gas are an inevitable
consequence of extraction projects. This ruling means that North
Sea operators for the...Request free
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Offshore oil and gas developers to benefit from greater clarity and stability, as new guidance responds to last year's landmark Supreme Court ruling for the North Sea. The government has acted decisively to respond to the independent Supreme Court, which ruled before this government took office that the global environmental effects of burning oil and gas are an inevitable consequence of extraction projects. This ruling means that North Sea operators for the first time are required to consider the impact of burning the extracted oil and gas in environmental impact assessments. The new guidance, published today (19 June), will ensure the full effects of fossil fuel extraction on the environment are recognised in consenting decisions. It sets out how environmental impacts of oil and gas should be assessed, providing a clear way forward for the industry. Offshore developers will now be able to submit their applications for consent to extract oil and gas in already-licensed fields, a process which has been on pause since the Finch Supreme Court judgment. When deciding on an application, the Energy Secretary will consider the significance of a project's environmental impact, while taking into account and balancing relevant factors on a case-by-case basis - such as the potential economic impact and other implications of the project. The publication brings greater clarity for Britain's oil and gas sector, as the government continues its work with the industry to build a clean energy future for the North Sea. It comes as last week's Spending Review confirmed £9.4 billion for carbon capture and storage projects – marking a major step forward in the government's mission to make the UK a clean energy superpower that will drive economic growth, create jobs and deliver the government's Plan for Change. Energy Minister Michael Shanks said: “This new guidance offers clarity on the way forward for the North Sea oil and gas industry, following last year's Supreme Court ruling. “It marks a step forward in ensuring the full implications of oil and gas extraction are considered for potential projects and that we ensure a managed, prosperous, and orderly transition to the North Sea's clean energy future, in line with the science. “We are working with industry, trade unions, local communities and environmental groups to ensure the North Sea and its workers are at the heart of Britain's clean energy future for decades to come – supporting well-paid, skilled jobs, driving growth and boosting our energy security.” The new guidance is aimed at applications for projects in North Sea oil and gas fields that are already licensed. Today's publication follows decisive action from the government to consult on the required changes - hearing from the industry, NGOs, trade unions, academia and members of the public - in light of the Court's ruling a year ago this week. The update follows news last week that the government will provide around £200 million to progress the Acorn project in Aberdeenshire, subject to business case, as part of the £9.4 billion commitment in the Spending Review for carbon capture and storage projects across the UK. Industry predicts the Acorn project will support approximately 15,000 jobs at peak construction – bolstering the region's proud energy history and delivering on the Plan for Change. The investment is just one part of the government's plan to bring growth, jobs and investment to the North Sea. Later this year, the government will respond to its consultation on how to support a successful clean energy transition for the North Sea and its workers - and on the commitment not to issue new licences to explore new oil and gas fields. Support to help oil and gas workers maximise the opportunities of the clean energy transition is already underway. Earlier this year, the government confirmed Aberdeen as one of four key growth regions for clean energy - alongside Cheshire, Lincolnshire and Pembrokeshire - and launched pilots to help workers in these areas access jobs in new clean energy industries. Oil and gas workers will also get help to move into these sectors, thanks to a new energy ‘skills passport' launched this year - led by Offshore Energies UK and RenewableUK, and backed by UK and Scottish Governments. This tool will support workers into careers in offshore wind initially, before being expanded to other renewables roles later this year. Notes to editors:
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