The UK Government has approved plans to begin drilling in the Jackdaw gas field in the North Sea, a decision that has drawn immediate criticism from environmental campaigners. Energy Secretary Miatta Fahnbulleh backed the scheme, which is expected to start supplying gas to British homes and businesses within weeks.
The approval ends months of speculation about the future of the Jackdaw project, which owner Adura said could deliver around 6% of UK North Sea gas production. Gas is expected to start flowing by the end of the month after Ms Fahnbulleh agreed that regulator the North Sea Transition Authority could approve the scheme.
Government defends decision as energy security move
Ms Fahnbulleh said the move will "support the country's energy security with homegrown gas this winter" although she acknowledged it would not bring down household bills. She added: "This decision will support the country's energy security with homegrown gas this winter and help minimise the UK's use of imported higher emission fuels as we continue our transition to renewables and nuclear."
The decision is compatible with legally binding climate commitments, she said, and the Government remains resolute in ending new licences for oil and gas and achieving net zero by 2050.
Andy Burnham, who faced the backlash, said the decision will "protect hundreds of jobs and help keep millions of homes warm", but stressed it would not hinder the Government's targets on renewable energy. He said: "At a time when people are really struggling, it's right that we look in a responsible way at maximising the existing energy reserves we have in Britain that could help."
Rosebank decision pending
Ms Fahnbulleh is now under pressure to approve the separate Rosebank oil and gas field as a further sign of commitment to the North Sea and domestic energy production. A decision on Rosebank, the largest untapped oil field in the North Sea, is being made separately.
"Jackdaw is producing gas that predominantly is used in the domestic market, Rosebank is a different proposition because it is oil that is exported," Ms Fahnbulleh told BBC Radio Scotland.
Adura chief executive Neil McCulloch called for Rosebank to also be approved, saying: "Jackdaw represents a significant prize in its own right: £2.1 billion of investment and enough gas to heat the equivalent of around 1.4 million UK homes at peak production. Our attention now turns to Rosebank. It follows Jackdaw in the regulatory process, but the case for approval is equally strong."
Environmental groups condemn approval
The Prime Minister said he was taking a "pragmatic" approach to the North Sea. Labour's 2024 manifesto committed to issuing no new oil and gas licences for the North Sea, but proponents of Jackdaw and Rosebank within the party have argued that neither are new fossil fuel fields.
Environmental campaigners hit out at the decision. Labour MP Alex Sobel said: "My view hasn't changed. Jackdaw won't draw gas for many years. It won't make an impact on global prices and will give mixed messages in terms of investment of both renewables and decarbonisation of home heating."
Ami McCarthy, head of politics for Greenpeace UK, said: "Approving Jackdaw shows the toxic grip fossil fuel lobbyists still hold over our energy policy. Andy Burnham promised pragmatism, but there is nothing pragmatic about rubber-stamping a project that won't lower energy bills, won't boost energy security and will create just 27 full-time jobs."
Kate Norgrove, WWF chief impact officer, said: "This is a disappointing decision and the Government now urgently needs to show that it remains 100% committed to the clean energy transition by rejecting the even more damaging Rosebank oil field."
Tessa Khan, executive director of campaign group Uplift, said Labour's climate credibility is "on the line now" with Rosebank becoming the defining test. She said: "Approving it would see the Government knowingly breach safe climate limits."
Green Party of England and Wales leader Zack Polanski condemned the decision as "climate vandalism", saying: "Today's decision by Labour is a betrayal of all of our futures. Labour has abandoned all credibility in the fight against climate change."
Tory leader Kemi Badenoch said Labour should have taken the decision to approve Jackdaw earlier instead of "faffing about".