Future of the Oil and Gas Industry

Debate between Colin Clark and Pete Wishart

Thursday 14th March 2019 Westminster Hall

[Pete Wishart]

I was not going to mention this, but it was a fascinating feature of the report; I am really grateful that the hon. Gentleman has drawn my attention to it. We took a lot of time speaking to environmental groups, particularly some of the wildlife groups, about sustainable fisheries. There was a suggestion of switching from rigs to reef: to leave the infrastructure in place as a magnet and attraction for wildlife and fish species.

We received very mixed evidence on that. One group told us that in the gulf of Mexico, where this project had been initiated, people had to drag the reefs off the seabed, take it onshore to clean it, and then put it back again. One recommendation in our report is that the environmental groups have to decide among themselves about the best way forward. We encourage that debate among our friends in environmental sustainability groups, and I am grateful to the hon. Gentleman for raising the issue.

We were struck by the importance of carbon capture technology for the long-term future of the industry. The Committee on Climate Change told us that without this technology, decarbonisation of the sector will happen much more slowly and be more costly. This is one area where the Government are ahead of the industry, having announced £45 million of funding for carbon capture innovation, with more potentially available from industrial strategy funds. I know that particularly pleases the hon. Member for Banff and Buchan (David Duguid), because most of that investment will be in his constituency. It is right that it should be, because of the infrastructure that exists there.

We believe that the industry needs to step up its contribution in this area, and that the sector deal must contain a detailed proposal from the industry on how it will support the development of carbon capture technology and how that progress can be measured. The oil and gas sector has a bright future ahead of it.

[Colin Clark (Gordon) (Con)]

I am very impressed by the report. Oil and gas obviously have an enormous footprint in my constituency. Does the hon. Gentleman welcome the fact that the UK continental shelf oil and gas industry operates in what is recognised as one of the best fiscal regimes in the world, and does he welcome Her Majesty’s Treasury’s fiscal policies on oil and gas?

[Pete Wishart]

Obviously. It goes without saying that some of the fiscal support that has been given to the oil and gas sector has been welcome, and it is of course necessary. I think we are going to the next stage, which is the sector deal initiative. That is now critical, according to the report and what we found in the course of the inquiry. That type of investment will be required to try to ensure that some of the things highlighted in the report take place.

We believe there is a bright future for the industry; it is now up to the Government to respond with how they will help the industry to secure it. I hope that the Government and industry rise to the challenge of the report and secure Scotland’s future as a global leader in energy technology for decades to come. We have 30 to 40 years, and we have the opportunity to maximise economic recovery. We now have the ability to ensure that we can transition to a new type of future for the North sea. I am sure that with the right type of approach and the right type of mentoring and support, we can get there. Our oil and gas industry still has a viable future.

European Union (Withdrawal) Act

Debate between Colin Clark and Pete Wishart

Thursday 10th January 2019 Commons Chamber

[Pete Wishart]

Absolutely; I did get that correspondence from the Prime Minister. I do not know why we are even trying to debate and contest the fact as it has been said by the Prime Minister and everybody on their feet, including the Secretary of State: the great prize of this deal, of this Brexit, is ending freedom of movement. I will briefly come to the consequences of that; they are dire for my nation and for the businesses that depend on freedom of movement. This is absolutely appalling for the young people who will have their rights restricted.

I want to talk about the Brexit clock, which is interesting. Not only are we now at the cliff edge—the front wheels are actually starting to dangle over, yet the clown shoes are still pressing on the accelerator—but a no-deal Brexit is now a real possibility and the consequences are becoming reality as the Government try to run the clock down.

We know about the food shortages, the running out of medicines, the turning of the south-east of England into a giant lorry park and all the real possibilities of leaving without a deal, yet the Government casually prepare for it. They apply millions of pounds to try to deal with it. They talk about it as if it were a realistic prospect—“Don’t worry your little British heads about it. You’ll be absolutely fine if we leave without a deal.” A no deal may be the life’s work and ambition of some of the extreme Brexiteers in this Chamber, but there are dire consequences for the constituents we serve. Those Brexiteers may be indulging in their European Union departure fantasies, but our constituents will have to pay.

The House is absolutely right not to allow that. The vote on Monday evening was very important. It indicates to the Government, lest they did not know, that no deal is unacceptable to the vast majority of this House. I am looking at some of the Scottish Conservatives—not one of them voted for stopping a no deal and against exposing their own constituents to the prospect of the appalling things that would follow. For that, they will pay a heavy price.

[Colin Clark (Gordon) (Con)]

rose—

[Pete Wishart]

I give way to the hon. Gentleman. Perhaps he will tell me why he is prepared to expose the constituents of Gordon to the prospect and possibility of no deal.

[Colin Clark]

Companies in Gordon are actually making preparations for Brexit. If the hon. Gentleman really wants to avoid no deal, he should get behind the Prime Minister and support her deal. That would be in the national interest. Let me ask him: what preparations are the Scottish Government, as a responsible Government of Scotland, making for the possibility of no deal? Are they doing anything?

[Pete Wishart]

I share an office with the Deputy First Minister; I have seen some of the things he has had to deal with and some of the consequences there would be for Scotland. I do not think the hon. Gentleman fully understands what is at stake. Does he understand the idea of food shortages or civil unrest? Police forces have been activated in this country to ensure that that will be contained and dealt with. Those are the prospects for his constituents, yet he is prepared to expose them to that.

I want to talk a bit about my nation; it is great that some Scottish Conservatives are here and so engaged in this conversation. My country wanted absolutely nothing to do with this.