Miatta Fahnbulleh MP (Photo © House of Commons)

New Energy Secretary signals engagement with North Sea sector at first Aberdeen visit

Miatta Fahnbulleh’s inaugural visit to Aberdeen sparks hope for “constructive discussion” on domestic oil and gas production, but opposition criticises ...

Facebook
LinkedIn
X

Miatta Fahnbulleh’s inaugural visit to Aberdeen sparks hope for “constructive discussion” on domestic oil and gas production, but opposition criticises lack of policy clarity.

The UK’s newly appointed Energy Secretary, Miatta Fahnbulleh, has initiated her tenure with an official visit to Aberdeen, signalling an openness to engage with the North Sea energy sector. Her trip to the city on Thursday followed her appointment to Prime Minister Andy Burnham’s new cabinet earlier this week.

During her visit, Mrs Fahnbulleh met with representatives from Offshore Energies UK (OEUK) and other industry figures, before proceeding to the city’s South Harbour. However, the Energy Secretary was unavailable for interviews during her time in the North-East, and specifics regarding her strategic direction for the energy sector remain largely undisclosed.

North Sea industry leaders have consistently advocated for increased domestic oil and gas production, urging the new government to greenlight projects such as the Rosebank and Jackdaw fields.

David Whitehouse, Chief Executive of Offshore Energies UK, expressed cautious optimism following the meeting, stating that Mrs Fahnbulleh’s visit sends “an important signal” recognising Aberdeen’s pivotal role and its workforce.

“We had a constructive discussion about the UK’s energy future and the need for a pragmatic approach to the transition,” Mr Whitehouse commented. “We spoke about the importance of homegrown energy of all types, continuing at pace with the build-out of renewable energy while also recognising the continuing important role that North Sea oil and gas will play in the UK’s energy mix for the foreseeable future. That clarity is helpful.”

Acknowledging existing disagreements, Whitehouse highlighted a shared objective: “We do not agree on everything, but we share a common purpose: delivering the energy, jobs and investment the UK needs.”

He further emphasised the broader economic implications, stating: “It is about economic development, industrial capability and ensuring the industries and jobs of the future are built here in the UK.”

A spokesperson for the UK Government’s Department for Energy Security and Net Zero (DESNZ), where the meeting was held at their Aberdeen office on Huntly Street, reinforced the government’s stance.

“The North Sea remains a vital national asset, supporting jobs, growth and the UK’s energy security,” the spokesperson said. “We are clear that oil and gas will continue to play an important role in our energy system for decades to come, alongside renewables, nuclear and other low-carbon technologies. Our focus is on providing stability and ensuring the North Sea continues to make a strong contribution to the UK’s economy and energy security.”

However, Mrs Fahnbulleh’s visit drew criticism from opposition parties. Jack Middleton, SNP MSP for Aberdeen Central, suggested the Energy Secretary should have prioritised a visit to the city’s job centre to witness “the damage being done” to the sector. He claimed that “Labour Party policy is ruining up to 1,000 jobs a month,” adding, “You cannot claim to be the party of working people when you preside over a level of industrial job losses Thatcher would be proud of.”

Conservative MP Andrew Bowie echoed concerns, criticising the perceived secrecy surrounding the visit and the lack of policy specifics. “It speaks volumes for Labour’s dismissive attitude towards oil and gas that Mrs Fahnbulleh avoided any sort of scrutiny on her first visit to Aberdeen,” Mr Bowie told The P&J. He urged Labour to “scrap the EPL” (Energy Profits Levy) and “urgently support new oil and gas licences.”

The Energy Profits Levy, a temporary tax on oil and gas profits, was introduced in May 2022 and has seen its rate increased and duration extended until March 2030, unless an Energy Security Investment Mechanism is triggered.

 

Related Articles

VOS Traveller : Image supplied by PRGloo
VOS to the rescue as company sails into offshore renewables sector with ScottishPower
Scotland’s colleges face uncertainty over long-term funding
Just Transition Fund supports North East Scotland jobs
Four Scottish firms win offshore wind innovation funding
Offshore firms warned to act as weight limit deadline approaches
Baker Hughes wins key contract to boost North Sea production

Other Articles from ABN

Subscribe to our Daily Newsletter

Why? Free to subscribe, no paywall, daily business news digest.