Protecting the Arctic

Kerry McCarthy Excerpts

Thursday 7th February 2013 Westminster Hall

[Kerry McCarthy (Bristol East) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Sheridan, for the second time this week.

I congratulate the Environmental Audit Committee on producing the report, which was not only fascinating reading but shocking. In parts, I found it enlightening, although I was already aware of some of the issues involved. The report highlights the importance of the Arctic region which is

“one of the least understood places”

on the planet, with its unique wildlife and ecosystems, and is also home to almost 10% of the world’s known conventional oil and gas resources.

Many of us have seen—I always have to get in a plug for the BBC’s natural history unit, which is based in Bristol—on the “Frozen Planet” series some of the wonders of the Arctic. Some years ago, I was fortunate enough to visit Svalbard as a guest of the Norwegian Government, which was incredibly eye-opening not only in understanding the geopolitics of the region and the way in which the Arctic states work together but in seeing first hand some of the effects of climate change.

Climate change is having more of an impact on the Arctic than anywhere else; the report highlights that the Arctic is warming at twice the rate of the rest of the planet and fast approaching several tipping points, which would have worldwide ramifications. As has already been mentioned, it is deeply ironic that the climate change that is damaging the Arctic is also opening up the area for the north-west shipping routes and greater exploitation of the Arctic’s oil and gas resources, fisheries and minerals, because global warming is causing the ice cap to melt. The consequence of allowing that opening up is to accelerate the climate change that caused the ice cap to melt in the first place. This is a difficult issue to resolve, but how do we balance the need to protect the Arctic environment with the desire of the Arctic states, the oil and gas companies and others to exploit the region’s natural resources—the fossil fuels, other minerals and fisheries—and to open up new shipping routes?

In his response, I hope that the Minister will also outline what he sees as the UK’s role in the Arctic and what contribution we should make. We are not a member of the Arctic Council, but we have observer status—one of only six states to have permanent observer status—and we are a close neighbour, as my hon. Friend the Member for Edinburgh North and Leith (Mark Lazarowicz) mentioned. We have a long history and strong environmental, political, economic and scientific interests in the region, so what does the Minister see as our role in future? It is worth noting as a general point that climate change poses the biggest threat to the Arctic environment, yet we are the ones causing it. We have a responsibility to deal with the issues, because the consequences will be felt globally. Climate change is caused by global factors, it is not a matter for the Arctic states alone to resolve.

I want to say a little more about the impact of climate change. The Environmental Audit Committee heard evidence that the current situation met the Intergovernmental Panel on Climate Change’s definition of “dangerous change”, and an expert witness said:

“We are going to get into a ghastly situation for the planet at some point and whether it is happening next year or it is going to take a few decades is the only question”.

Not only is the ice cap retreating, but snow cover is decreasing and there is increased precipitation, rising temperatures in the permafrost, melting glaciers and more.

The report notes evidence that climate change is

“having a profound impact on many species”,

such as polar bears, reindeer and walruses, and much of the Arctic’s biodiversity is shared with other parts of the world, including the UK. For example, 15% of the world’s migratory bird species spend their breeding season in the Arctic. Although this has not been mentioned much so far in our debate, the effect of all the changes on indigenous people is also important.

The report details some key tipping points, which are points at which rapid changes take place out of all proportion to the climate change driving them. When those points are reached, the climate change effects on the Arctic might be massively accelerated. The tipping points include the Arctic becoming ice-free in the summer within a decade or even sooner. The retreat of the ice cap, in both extent and density, is accelerating. The Arctic Methane Emergency Group reported to the Committee that

“the rate of warming of the Arctic could double or even triple, once the Arctic Ocean is ice-free in September. And it could double again, once the ocean is ice-free for half the year”.

A particularly alarming potential tipping point identified by the Committee—I admit that I was not that familiar with it previously, and I found this section of the report quite shocking—is the thawing of permafrost, which would cause the release of methane, a greenhouse gas that does not get the attention that carbon dioxide emissions do, but has a warming effect 72 times more than CO₂ has over 20 years. The report acknowledges the lack of consensus on how close we are to those tipping points, but the direction of travel is not in doubt. As was noted by the Committee, geo-engineering for the Arctic does not currently offer a credible long-term solution for tackling climate change. A more realistic and lower risk intervention would be to tackle black carbon, and I hope that the Minister will say something about that in his response.

On drilling for oil and gas in the Arctic, I reiterate the Committee’s concern about what

“appears to be a lack of strategic thinking and policy coherence within Government on this issue, illustrated by its failure to demonstrate how future oil and gas extraction from the Arctic can be reconciled to commitments to limit temperature rises to 2°C.”

In their response, the Government argue that Arctic production is required to meet global demand and to provide domestic energy security. They use data from the International Energy Agency report, “World Energy Outlook 2011”, which forecasts world oil demand in 2035, which would be consistent with a 50% chance of meeting our goal of limiting the increase in average global temperature to 2°. The Government argue that the extent to which global demand outstrips supply could be met by new Arctic production capacity. We have already heard other speakers cast some doubt on whether that increased production is necessary.

In its “World Energy Outlook 2012” report, however, the IEA stated:

“In view of the technical and environmental challenges and high cost of operating in extreme weather conditions, including the problems of dealing with ice floes and shipping in water that remains frozen for much of the year, we do not expect the Arctic offshore to make a large contribution to global oil supply during the Outlook period.”

In addition, data in the same report suggest that projected oil demand in 2035 could be met entirely by currently producing, already discovered fields.

Will the Minister respond to those projections in the latest “World Energy Outlook” report? Will he also set out in more detail how the Government’s position is consistent with their decarbonisation targets and what the chances are of keeping global temperature rises below 2°C?

The Government stated in their response that they supported

“the use of the highest environmental and drilling standards in the Arctic”,

but that they were not in a position to determine what constitutes such standards, which was a matter for the countries of jurisdiction. The Government’s claim is undermined by a recent report in The Guardian, on Tuesday 15 January, which shows that they tried to water down planned EU regulations on deep-sea oil drilling. Leaked European Union documents given to The Guardian show that the Government tried to remove the proposal of several EU members to recognise an “oil spill response gap”—if adverse weather conditions make it impossible to clean up a spill, causing it to be left for weeks or months, and if this gap is too great, companies could be prevented from drilling.

There is further evidence that the UK, far from thinking that this was a matter for the countries of jurisdiction, has tried to water down EU proposals to force drilling operators to lodge their emergency response plans with Governments, which would provide greater transparency in seeing whether operators complied with Government regulations. I will be grateful if the Minister responds to that story in The Guardian and tells us whether he regards that as an accurate account of the UK’s position in the EU negotiations.

The Committee detailed key problems associated with oil and gas extraction in the Arctic that makes it particularly risky, from extreme weather conditions to lack of time to clear up an oil spill if it happens towards the end of summer drilling, or the distance and unavailability of infrastructure to manage accidents at remote Arctic drilling locations. Indeed, a review by Pew Environment Group of oil spill response in the US Arctic ocean concluded that companies were not adequately prepared for a spill in the Arctic, as has been mentioned by other speakers. Recent events suggest that the Committee is right to be concerned by the heightened risks attached to oil and gas extraction. Shell’s attempts at Arctic oil exploration, on which it has so far spent $4.5 billion, have been put on hold following a series of mishaps including its Arctic oil rig, the Kulluk, running aground off Alaska in gale-force winds on new year’s eve. On 8 January the Obama Administration launched a 60-day review into whether Shell should even be permitted to drill in the Arctic.

I turn to marine diversity in the Arctic. The other day, we debated the Antarctic Bill and the importance of establishing marine protected zones there. I very much welcome that, and we should press ahead with our efforts to establish such zones in our overseas territories around the world. I am pleased that the Government are committed to working towards a new global mechanism to regulate the conservation of marine biodiversity in areas beyond national jurisdiction, and that they will press for a new implementing agreement under the United Nations convention on the law of the sea to deliver that. It will provide a means of establishing marine protected areas in the high seas, and presumably the future creation of offshore oil and gas no-go zones.

I led a Westminster Hall debate on preserving our marine ecosystems back in July, following an agreement at Rio+ that a decision should be taken by the UN General Assembly in 2014. It would be good to know what steps the Government have taken with others who were in favour of an agreement at Rio+, such as Brazil, Australia, the European Union, South Africa, India and the Pacific islands, to move this agenda forward, and what representations have been made to the UN General Assembly towards delivering a new implementing agreement under UNCLOS. In the meantime, will the Government revisit the Committee’s recommendation that there should be a moratorium on drilling in the Arctic until a number of reasonable conditions are met, first and foremost until the regulatory regimes of all Arctic states impose the highest available environmental standards, with the risk standard adopted as low as possible?

One of the positives that can be taken from the Government’s response is their agreement to the Committee’s recommendation to publish a policy framework for the Arctic in 2013. I appreciate their sensitivity in not describing it as a strategy, given that we have only observer status and are not an Arctic state. As part of that framework, the Committee suggested opportunities for “grand bargains” that might be explored with potential observer states, including China, on wider environmental issues. In his evidence to the Committee, the then Under-Secretary, the hon. Member for North West Norfolk (Mr Bellingham), said that the Government would be pleased if more countries were granted observer status on the Arctic Council, and was not worried that this could dilute the UK’s influence. What is the Minister’s position on China’s request for observer status? Has his Department discussed with stakeholders on the council the potential for reaching “grand bargains”, if the granting of observer status could be linked to action on black carbon emissions from China?

Development of the policy framework will be overseen by the cross-Government Arctic network group. However, several concerns have been raised by non-governmental organisations working on Arctic policy about the transparency of the group, which is convened by the Foreign and Commonwealth Office bringing together key Departments to consider key Arctic issues. I urge the Minister to allow for greater public and parliamentary scrutiny of the group, to provide opportunities for NGOs to make representations to it, to require it to publish notes of its meetings, and so on.

I thank the Committee, particularly the Chair, for this debate. I hope that this is just the start of wider attention to Arctic issues. They are incredibly important not just for the UK, but for the future of our planet.

--- Later in debate ---

[Mr Swire]

I do not think my hon. Friend would be arguing for that, seeing as the Government are limited in their jurisdiction in the area, and seeing as they do not own any oil companies exploring in the area. For the British Government to make a unilateral proclamation about unlimited liability in that area would be seen by some as somewhat condescending and interfering. However, clearly, environmental protection should be at the forefront. That is why a lot of British companies—in terms of deep sea drilling, and the kind of measures and safety measures that we have learnt over years in the North sea—could have a very real application to safe drilling in that sensitive part of the world.

The hon. Member for Bristol East asked a technical question about the threat of methane released from permafrost. Continued warming of Arctic land masses will lead to a large-scale melting of permafrost, which may well release large quantities of methane, a potent greenhouse gas. Although the magnitude of any release is uncertain, it has potential to significantly accelerate global warming. While the amount of methane currently being released is small compared with other sources, that contained below permafrost and land ice is thought to be huge. The Arctic Council’s Arctic Monitoring and Assessment Programme is looking at methane release in the Arctic as part of its Task Force on Short-Lived Climate Forcers.

The hon. Lady also asked how serious black carbon is in the Arctic. It is definitely an issue for consideration. The United Nations Environment Programme report into black carbon produced last year concluded that emissions of black carbon particles into the atmosphere can have a significant impact on human health and both direct and indirect climate impacts. For example, some emissions can be transported long distances and deposited as soot on Arctic ice or snow, which decreases surface reflectivity—albedo—and increases ice melt because of the additional warming effect. The Arctic Council’s AMAP produced a report in November 2011 on the effects of black carbon and has a task force that is following up that work. It is currently drawing up its work programme.

The hon. Lady also asked about the report in The Guardian, the issue of higher standards for drilling in the Arctic, and the allegation in that report that we are in some way undermining the EU’s attempts to apply them in our own backyard. All I will say is that she should not believe everything she reads in the papers, let alone The Guardian. However, negotiations are continuing with the EU on the proposed directive to regulate offshore oil and gas activities, and the UK is working to ensure that the highest levels of safety and environmental protection are upheld in an effective manner. It is worth saying that the UK already has a robust regime in place to regulate offshore oil and gas. Environmental safety is paramount, and offshore operations are only permitted in the UK where there is a thorough and comprehensive oil spill response plan in place.

The hon. Lady asked what more we are doing to move forward marine protection issues at the United Nations. I will write to her on that point and provide an update. She also asked about the Arctic policy framework. We will produce the Arctic policy framework in the summer of 2013. That will be a dynamic process involving interested stakeholders, and it will outline the Government’s policy and approach in more detail.

The hon. Lady also asked how the UK’s influence in the Arctic Council would be affected if observer status is granted to applicant countries. We do not believe that the UK’s influence will be impacted. Most of our influence on the council comes through scientific engagement with the working groups. We will continue to provide that, regardless of the status of other countries with respect to the Arctic Council.

[Kerry McCarthy]

The Minister may be about to answer this question, but I specifically asked about the UK’s attitude towards China being given observer status and whether we would welcome that.