North Sea Oil and Gas Debate
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Main Page: Jonathan Brash (Labour - Hartlepool)Department Debates - View all Jonathan Brash's debates with the Department for Business and Trade
(1 month, 1 week ago)
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Bradley Thomas (Bromsgrove) (Con)
I beg to move,
That this House has considered North Sea oil and gas.
It is a pleasure to serve under your chairmanship, Ms Furniss. Energy security is a matter that impacts all of us. It allows us to reliably meet daily demand without concern for supply disruption or price spiking. It ensures that families can heat their homes, that schools and hospitals can continue to serve the community, and that drivers can stay on the road.
Energy security is intertwined with everything we do. In a state of emergency, it guarantees a resilient power source, allowing essential service operations to continue unimpeded, and upholds our national security—indeed, energy security is national security. It should not be controversial to say that our energy security should be a high priority for the Government, yet here we are, turning our back on the North sea oil industry, all in the name of ideologically driven targets, irrespective of global context or the will of the British public.
Time and again, it has been highlighted that the UK emits less than 1% of the world’s global emissions, while the top three nations together emit over 50%. Rather than acknowledge that context, the Energy Secretary continues to push a deadline that is 10 years ahead of the largest emitter and that precedes the third by 20 years, before the second has even set an official target. Twenty years! That time could be spent on ensuring a balanced transition that does not push the UK into a scenario where energy demand exceeds supply capabilities.
Instead, the Energy Secretary insists on maintaining our weak bargaining position by pursuing his relentless targets, ignoring our preparedness levels and dismissing the genuine needs and wants of the nation. From the opportunistic solar farms being sprung up at the expense of our agricultural sector and rural communities, to reaching strike prices of £90 to £95 per megawatt-hour in the latest wind auction, which far exceeds the wholesale gas price at £55 per megawatt-hour, the sacrifices being made, including the interests of the British people, evidently know no bounds.
The argument is not about whether oil and gas will still be needed for years to come, because the Climate Change Committee and the Government themselves have already acknowledged that. Instead, it is a question of where our oil and gas come from. Believe it or not, a Government should support domestic production. A Government should be against deindustrialisation, especially at a time of rising political tension and subsequent volatility. Energy security and economic stability are two sides of the same coin.
Mr Jonathan Brash (Hartlepool) (Lab)
I fully support more drilling in the North sea and the granting of more licences—I believe that is important for energy security—but I think it is important to be straight with the British people. As things currently stand, that would not lower their bills, because the oil and gas are sold on the international markets. Would it not be better to follow the example of Norway and put this under public control, which actually would lower people’s bills?
Bradley Thomas
I am pleased that the hon. Gentleman supports continued activity in the North sea, and I will address that point later on in my remarks.
Increasing reliance on imports and blaming unstable global markets regardless of the product, when we have the ability to produce it domestically and help stabilise the market, is not just reckless; it is madness. That is not to mention the fact that offshoring our carbon emissions, such as importing from the US, does not help the planet; it simply allows the UK to portray lower emissions in national statistics, while facilitating the generation of three times higher emissions via this method of supply. We should be supporting any domestic production that reduces product cost, generates jobs and has the potential to add billions more into our economy.
It is no secret that households across the country are struggling with their energy bills. The UK currently has the highest industrial energy prices among developed nations and the second highest domestic electricity prices in the developed world. That stark fact is evident to anyone paying energy bills, and it is about to get worse. The Ofgem cap for July to September has risen by 13%, reaching £1,862, which is £294 more than when the Government came into office in July 2024. I am not sure where the Energy Secretary’s promise to decrease energy bills by £300 has gone, but it looks like he actually meant an increase. There is nothing complicated about these figures. The cost of energy is rising, and households and businesses across the country are feeling the impact.
A recent poll found that, although 60% of people across the UK support reducing emissions, 68% of those supporters believe that reducing energy bills should be the first priority. That result was echoed in another poll, which found that 71% of people who support reducing emissions do so on the condition that it does not increase their energy bills. The undeniable fact is that these inflexible targets are driving up energy bills.
As a democratically elected entity, the Government’s first priority should be to represent the nation and act in its best interests, but the public are being hung out to dry. It is not only the bill payers paying the brunt; thousands of oil and gas workers are also on the chopping block. Giving rising unemployment, it would be reasonable to presume that the Government would abandon any policy that compounds the issue further, but of course that is far too sensible a suggestion. They appear to prefer to allow 1,000 jobs a month to be lost from the oil and gas sector in places that rely on the industry such as Aberdeen, rather than admit they are on the wrong path.
I take this opportunity to welcome my hon. Friend the Member for Aberdeen South (Douglas Lumsden) to his place. He emphatically won a by-election last week with almost 50% of the vote, which is a vindication of the fact that the public—particularly workers in places dependent on the oil and gas industry for employment—reject the pace and scale of the Government’s net zero agenda.