Senior Tory and COP26 President says he cannot back oil and gas bill

Sir Alok Sharma says Rishi Sunak's plans to maximise North Sea oil and gas production give the impression he is "not being serious" about tackling climate change.

Sir Sharma says the the bill is a "smoke and mirrors" exercise
Author: Kieran BrandPublished 8th Jan 2024
Last updated 8th Jan 2024

A senior Tory and former president of the international Cop26 climate summit says he will not support the Prime Minister’s Offshore Petroleum Licensing Bill when MPs vote on it later.

Sir Alok Sharma says Rishi Sunak's plans to maximise North Sea oil and gas production give the impression he is "not being serious" about tackling climate change.

He said the legislation is a "smoke and mirrors" exercise which reinforces the perception that the UK is "rowing back from climate action".

The Bill will require the industry regulator to run annual rounds for new oil and gas licences, subject to stringent new emissions and imports tests.

Currently licensing rounds are run when the North Sea Transition Authority decides it is necessary.

The Government claims the introduction of regular licensing for exploration will increase certainty, investor confidence and make the UK more energy-independent.

Bill reinforces perception UK "rowing back" from climate action

But, Sir Alok told the BBC: "What this Bill does do is reinforce that unfortunate perception about the UK rowing back from climate action - we saw this last autumn with the chopping and changing of some policies - and actually not being serious about meeting our international commitments."

He said that, at the Cop28 summit in December, the UK signed up to a global plan to transition away from fossil fuels but "this Bill is about doubling down on granting more oil and gas production licences".

"It's actually the opposite of what we agreed to do internationally, so I won't be supporting it."

He said the Climate Change Committee has been "pretty clear that continued expansion of new oil and gas reserves is inconsistent with our climate commitments".

A group of 30 politicians have also written to Energy Secretary, Claire Coutinho, urging her and the Government to drop the Bill, saying that it is "diametrically opposed" to the global consensus of moving away from fossil fuels.

They said it will not achieve the Government's aim of improving energy security as it cannot control the intentions of private companies who wish to sell the oil abroad.

Further North Sea oil and gas development would only damage the UK's reputation on climate change, harm marine wildlife and enrich fossil fuel companies, the group said.

Instead, the Government should increase the supply of renewables and energy efficiency measures, it added.

The legislation, coupled with Mr Sunak's decision to delay transitioning away from petrol and diesel cars and gas-fired boilers - which he said would save consumers money - has caused unease among Tory environmentalists.

Law will do "nothing to serve" UK's national interest

Labour has also opposed the measure, arguing it will not deliver benefits in terms of lower costs and improved energy security, is "entirely incompatible with the UK's international climate change commitments", and is "a totally unnecessary piece of legislation which will do nothing to serve the UK's national interest".

Sir Keir Starmer said the legislation was an attempt to create a political dividing line with Labour as the country prepares for a general election.

"What you've got is a Government that's wasting its time trying to pass legislation to create a dividing line with the Labour Party rather than to solve the problem," the Labour leader said.

Downing Street declined to say whether the aim of the Offshore Petroleum Licensing Bill is to increase the number of licences granted.

"I'm not going to speculate on whether more licences will be granted, that's a decision partly for the companies themselves," Mr Sunak's spokesman told journalists.

Challenged over the fact the oil will be sold abroad rather than reserved for the domestic market, the official argued it is "preferable to have an international market which has more oil and gas from the UK and other countries which are stable, which are not authoritarian regimes".

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