NORTH Sea oil and gas producers should accept the “challenge” of meeting climate targets and justifying the need for further fossil-fuel production, according to Scotland’s energy secretary.
Unveiled by net-zero secretary Michael Matheson at Holyrood earlier this month, the government’s draft energy strategy and just transition plan set a potential course for Scotland’s energy transition through a massive expansion of renewables and a move away from hydrocarbons.
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Notably, the policy stated there should be “a presumption” against new exploration for oil and gas, to “support the fastest possible and most effective just transition” – a move decried by industry representatives and branded a “betrayal” by many north-east workers.
Speaking at the opening of a new offshore wind operations base in Eyemouth, Mr Matheson said that the sector should view that presumption as a “challenge”.
“My view as I’ve stated previously – and as the (Climate Change Committee) our independent adviser have said – is that there needs to be a clear climate-compatibility process being put in place for any new or licenced facilities, or facilities that are not already in production, and to make sure they are aligned with our climate-change targets,” he said.
“In my view, that is a challenge which the industry should take on and recognise.”
He said the presumption against further exploration would instead require the industry to clearly demonstrate a need for further oil and gas production, and that operators should be able to set out how the development can help meet national climate-change targets.
“I’ve got every confidence that the industry is able to meet those challenges because we know that we’ll continue to require a level of fossil fuels in the years ahead.
“But what we need to do is to make sure we’re doing that in a way which also aligns with our climate-change targets and our wider international responsibility.”
The UK Government approved a three-point checklist for new oil and gas developments ahead of the 33rd Licensing Round last year, aimed at addressing the dual challenges of climate change and energy security by ensuring new North Sea projects can go ahead, while ensuring emissions are kept to a minimum.
Powers over UK energy policy still reside at Westminster.