Protecting the Arctic

Mark Lazarowicz Excerpts

Thursday 7th February 2013 Westminster Hall

[Mark Lazarowicz (Edinburgh North and Leith) (Lab/Co-op)]

It is a pleasure to serve under your chairmanship, Mr Sheridan, and to follow the hon. Member for Stroud (Neil Carmichael). I agree with the general drift of what he said.

This is an important report. I will not congratulate the Members of the Committee on it because that would be somewhat self-congratulatory. However, I want to put on the record my thanks and a tribute to the Chair of the Committee, my hon. Friend the Member for Stoke-on-Trent North (Joan Walley), for the way in which she has led the Committee on this report and for the other work that she has done since 2010 to make the Committee’s work a success. The report highlights some important issues.

Evidence of the importance of the issues covered in the report can be seen in the fact that since the Committee first announced its inquiry, when it was regarded as an esoteric subject for investigation, it has risen a long way up the political and public policy list of concerns, both in the UK and internationally. The report combines a useful summary of the facts and issues with an outline of policy choices facing the UK, the wider world community, international networks and organisations.

Some might ask why a UK parliamentary Committee should be interested in Arctic policy, given that our country is not physically in the Arctic circle. That question was answered to some extent by the hon. Member for Stroud. Leaving aside the fact that when one represents and lives in a constituency 400 miles north of London on the east coast of Scotland, one can feel that one is in the Arctic circle, particularly at this time of the year, the UK does in many ways have a direct interest in what happens in the Arctic.

As my hon. Friend the Member for Stoke-on-Trent North pointed out, UK companies are increasingly involved in a big way—and potentially even more—in drilling for petroleum and gas in Arctic waters. That raises many issues about how they are controlled and managed, as they are UK-based companies. My hon. Friend also referred to migratory biodiversity. That includes birds, marine life and fish stocks. That is important to the UK’s commercial interests. There is some evidence that, as waters warm, fish stocks may move further north. There are also some suggestions that, if the thermohaline circulation were to change even in a minimal way, they might actually move south. That is an indication of how the scientific evidence is inconclusive on the effects of climate change on the Arctic. The point is that it is an area in which we have direct and immediate interests, both commercially and in our wider concerns about climate change.

I know that we are not within the Arctic circle. However, the UK is the nearest state to the Arctic of those that are not the Arctic nations. We are the furthest north, with Shetland only 400 miles from the Arctic circle, which is 1,000 miles from London. It is not that we are so far from the Arctic circle; as a state we have a direct interest in what happens in that area. As my hon. Friend the Member for Stoke-on-Trent North pointed out, we in the UK have a long history of research and expertise in Arctic matters. The report showed that the Arctic community, including many of the Arctic nations, respects what UK research institutions and universities have been doing in the area over many years. We can certainly contribute to the research that is clearly needed by the expertise that we have in the UK.

As the Minister will know, the UK is a signatory to the 1920 Svalbard treaty. As such, the UK has equal right to participate in commercial activity in territories covered by that treaty within the Arctic circle. He will also know that there is an argument about whether that applies just to Svalbard and territorial waters, which is the Russian position, or to the entire exclusive economic zone, which would greatly extend the area in which the UK would have a legal right to participate, if that line were followed by the international community.

I believe the position we should support is the one taken by Norway, rather than Russia, but I am interested to know the UK position on the implications of the different interpretations of the Svalbard treaty. I make that point because it illustrates that we do have a legal and territorial interest, even within the Arctic circle itself. Above all, if we were to see the acceleration of sea ice melt, the Greenland ice cap, accelerated release of methane and other points made by my hon. Friend, the Chair, that would have major consequences for sea levels, to put it mildly, for the UK and the entire world.

These issues are, of course, linked to climate change and our report rightly underlines the importance of tackling climate change. Even if the most pessimistic forecasts for the Arctic were not to come true, there would still be major consequences, as our report points out. If the pessimistic forecasts are correct, the importance of taking action to mitigate the effects of climate change is underlined even more.

My hon. Friend, the Chair, has spoken on those points so I will not expand in any more detail. However, I do want to endorse the comments made by the hon. Member for Stroud. There is a need for international action on Arctic issues. I fully accept that it is not just a question of our not having a direct sovereign interest in the Arctic areas. There is also the fact that the Arctic nations would be rightly concerned if non-Arctic nations were seen to be interfering in their national interests. Indeed, it would be counter-productive if we were seen to attempt to do that.

On the other hand, we have various obligations under international treaties, and legitimate interests under the law of the sea and conventions such as the one on migratory species. We need to be actively involved in putting forward the correct position in the international arena. I would go further. I think we should be aiming to seek some type of international regime, similar to that of the Antarctic treaty, while taking into account the real differences between the Arctic and the Antarctic.

One way to move towards that would be to try to develop the idea of an Arctic sanctuary, which has been proposed by a number of environmental organisations. That would certainly extend the area in which there was international agreement among various nations with interests in Arctic issues.

Ideally, I would like to see a move towards an Arctic treaty. I accept that the UK Government do want to pursue what might seem an unlikely international agreement. However, there is some interest, not just among some Arctic nations, in having a wider international regime. There is also a growing move internationally among many environmental organisations, NGOs, civic organisations, to put the arrangements for the Arctic on a much wider international footing. That is something that should be welcomed by the Arctic nations as it would protect their interests against activities in the Arctic that might be less beneficial than those they carry out themselves.

I ask the Minister to indicate whether the UK would be prepared to start raising in the international arena the possibility of moving towards international arrangements, such as those I have mentioned, that might lead to an Arctic sanctuary or, ultimately, an Arctic treaty. It would be a long time before that could be achieved, I am sure, but now is a good time to put it on the agenda, particularly with our friends in the European Union, but also more widely in the international arenas in which the UK participates.

--- Later in debate ---

[The Minister of State, Foreign and Commonwealth Office (Mr Hugo Swire)]

It is a great pleasure, Mr Sheridan, to serve under your chairmanship this afternoon. It is arctic out there in the real world, so it is topical to be discussing this matter. I thank the Environmental Audit Committee for its timely report on the Arctic, and all hon. Members who have taken part in this debate on an important, complex and emotive issue. I am particularly grateful to my hon. Friend the Member for Stroud (Neil Carmichael) for orientating us to the part of the world in question by reminding us of the respective localities of polar bears and penguins.

I want to stress up front that the Government are absolutely committed to playing a constructive role in the Arctic. There is much debate, both here in Parliament and out in the wider world, on exactly what that role should be, and I want to take this opportunity to outline the Government’s views and approach before addressing the specific points raised by hon. Members.

The Arctic region has long been of strategic interest to the United Kingdom. The speed of climate change in the Arctic and the associated impacts and opportunities mean that developments in the region will increasingly affect key UK policy interests. As the hon. Member for Bristol East (Kerry McCarthy) said, those interests include energy security, shipping, fishing, trade, use of resources, and the environment, and many were touched on during the debate. The Government are committed to protecting and promoting them.

The Government’s approach to the Arctic, as outlined in our response to the Committee’s report, which is effectively what we are discussing, is based on respect: respect for the sovereign rights of Arctic states over their territory; respect for the rights and interests of the indigenous peoples who live in the Arctic; and respect for the environment. Sometimes it is difficult to balance all those, and some may say that we have it wrong, either generally or on specific policies. Adopting an approach to the Arctic that does not respect all three elements would be counter-productive to our influence and ultimately our interests.

Some criticism of the Government’s response has centred on lack of leadership or ambition. We must recognise that the UK is not an Arctic state or a full member of the Arctic Council, and we believe that, on the whole, leadership for the Arctic rests with the Arctic states. They are the countries with the most direct interest across the piece and the most experience of living, working and operating in the Arctic. It is they, first and foremost, whom we look to and rely on to ensure a peaceful, well-governed Arctic with a sustainable future.

The hon. Member for Bristol East asked about our vision for the Arctic, and what leadership we will provide. It is wrong to say that the UK should not, and does not show leadership on issues affecting the Arctic. No one can be in any doubt that climate change is the greatest threat facing the Arctic, and the consequences of climate change are driving the changes we are seeing there. The UK is a global leader on pressing for reduced emissions of greenhouse gases and understanding their impact. We are, therefore, leading the fight on tackling the underlying cause of the threats facing the Arctic.

Climate change is not the only issue. The UK can and does play a leading role in a wide range of international policies that could affect the Arctic. For example, we are pressing for global agreement on an implementing mechanism for designated marine protected areas in the high seas, and for reduced emissions from global shipping. The Government’s response to the Committee’s report outlines those in more detail.

It is wrong to say that we do not lead and that we have no role to play. A second central tenet of the Government’s approach to the Arctic is co-operation. The UK’s aim has always been to work closely and co-operatively with the Arctic states and others on the issues facing the Arctic. The Government are keen for the UK to continue to engage bilaterally and multilaterally with all Arctic states, supporting, politically and through the provision of science, policies that will help ensure a successful and sustainable future for the Arctic.

A point that was raised many times in the evidence to the Committee was the central role that science can play in influencing the policy of the Arctic states and the Arctic Council. The Government’s response to the Committee’s report makes it clear that the Government will continue to encourage, through the Natural Environment Research Council’s Arctic office and more broadly, scientific engagement with the work of the Arctic Council to this end.

The hon. Member for Stoke-on-Trent North (Joan Walley), who chairs the Select Committee, was publicly lauded by my hon. Friend the Member for Richmond Park (Zac Goldsmith) and clearly does a good job. She raised some important points, and I will address them in turn. The first point she wanted me to respond to was the International Energy Agency’s figures. Under the new policy scenario in its 2012 “World Energy Outlook” report, the world will consume 99.7 million barrels of oil a day in 2035, compared with 87.4 million barrels a day in 2011. Over the same period, production from existing sources of crude oil will have declined from around 65 million barrels a day to 26 million barrels a day, so new sources of oil will be needed to make up the difference. While seeking to limit emissions, we have to accept that major economic developments in parts of the world will result in greater energy use in the medium term. For example, while oil consumption is expected to fall significantly in the OECD, it will rise elsewhere, notably in India and China. What we can realistically seek to achieve is to limit the growth of emissions through international agreements, notably the United Nations framework convention on climate change, and by encouraging the increasing use of low-carbon technologies.

My hon. Friend the Member for Stroud—I pay tribute to his work on the Antarctic Bill; I was privileged to take part in the proceedings—made valuable points about our legitimate jurisdiction in the Antarctic, in contrast to our lack of jurisdiction in the Arctic. However, he is right that we can, by using examples of best practice and leadership, show those who have a responsibility and a role in the Arctic what we are seeking to achieve in the Antarctic. That is a valuable lesson. I would say that, although the Committee’s response is critical on the whole of the Government’s response, others are not. Denmark’s Arctic ambassador, for example, thought it struck a very reasonable tone, balancing concerns against the plain facts of our status as an observer to the Council and a non-Arctic state.

My hon. Friend also asked me about the Arctic Council. The UK recognises the Arctic Council as the pre-eminent regional forum, which provides an opportunity to consider many key Arctic issues, especially those relating to the environment and sustainable development. We believe that the Arctic Council could benefit from greater participation and exchange of expertise from the UK and other state observers.

My hon. Friend also asked about science. I want to reinforce the points made by many this afternoon and particularly when evidence was given to the Committee, that science is an excellent lever for influencing the development of Arctic policies. Promoting UK science in forums such as the Arctic Council has been central to our strategy for influencing Arctic decision making and will continue to be so. That, again, reinforces my point about best practice in terms of what we are seeking to do in the Antarctic.

The hon. Member for Edinburgh North and Leith (Mark Lazarowicz) asked about the Svalbard—or Spitsbergen—treaty. Just to remind hon. Members, the 1920 treaty of Paris set out the conditions under which Norwegian sovereignty over Svalbard was recognised. Those include non-discrimination between the parties to the treaty and a limit on the royalties chargeable on minerals extracted. The UK is a party to that treaty. No country disputes Norwegian sovereignty in the Svalbard archipelago, although there are different interpretations of the treaty’s applicability to maritime zones surrounding Svalbard. We consider that the treaty applies to the maritime zones generated by Svalbard, but Norway disagrees. However, we support the careful stewardship that Norway exercises in protecting the Svalbard environment. There is no hydrocarbon activity currently taking place on the Svalbard continental shelf.

The hon. Gentleman also asked whether the UK supports the negotiation of an Arctic treaty. That would depend on the scope and objectives of any proposed treaty. Comparisons are sometimes made with the Antarctic treaty, but that treaty deals with matters of territorial sovereignty, which are not relevant in the Arctic. The United Nations convention on the law of the sea provides the framework for the international governance of the areas of the Arctic ocean beyond national jurisdiction. The Arctic states have recently, through the Arctic Council, agreed a legally binding framework on search and rescue and are negotiating on an oil spill response agreement. We believe that the international governance arrangements in the Arctic are sound, and it is the rules and policies underneath those that require greatest attention.

My hon. Friend the Member for Richmond Park asked about—

[Mark Lazarowicz]

Will the Minister give way?

[Mr Swire]

Yes, I will.

[Mark Lazarowicz]

I am sorry for the delay; I was trying to find the appropriate section of the report. I want to be absolutely clear: on the Svalbard treaty, is it the UK’s position that we regard it as applying to the entire exclusive economic zone on Svalbard? I am surprised if that is the case.

[Mr Swire]

I repeat the salient point that I think the hon. Gentleman is trying to get at: we consider that the treaty applies to the maritime zones generated by Svalbard, but Norway disagrees.

My hon. Friend the Member for Richmond Park asked about oil spill falls. Of course, we all have sympathy; the idea of an oil spillage occurring in that part of the world—I think it has happened there—is absolutely abhorrent and has terrifying consequences for the environment. However, determining how to ensure that those liable in the case of oil spills meet their liabilities, as he will well know, is a matter for the relevant countries. It is a matter for those jurisdictions to determine both the scope of such liabilities and the levels of compensation and penalties payable in the event of a spill.

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[Joan Walley]

I hope that this afternoon’s brief but important debate, with contributions from members of the Select Committee, who are clearly well informed and committed, will demonstrate, not least to the Minister, our determination to ensure that our report “Protecting the Arctic” is able to do just that. In the contribution of the hon. Member for Stroud (Neil Carmichael), it was very clear that he sees leadership as a way of making progress. I say to the Minister that the aim was to get this issue on to the Government’s radar this afternoon. Yes, we never do as much as we can do, and we can never achieve everything all the time, but we hope that this debate has demonstrated to the Government that we can go much further on protecting the Arctic, and that we can get the issue on to the agenda of many nation states.

I agree that it is not for us to say what should or should not be done, but we need to find collaborative ways of working—ways of working together, in partnership —and we all need to show leadership on this most complex issue to ensure that the challenges that we face on climate change and environmental protection are met. Keeping this pristine part of the world in that condition for the benefit of future generations is so important. I would therefore like to think that, when the Government come to produce the Arctic policy framework—whether a strategy or not—we will have contributed to that in some way.

The detailed points that my hon. Friend the Member for Edinburgh North and Leith (Mark Lazarowicz) made about the importance of a sanctuary and the Government’s acting on that are very important. I also flag up the point that was made about insurance liability. It might well be that even if the Government will not at this stage make it clear to British companies wanting to operate in the Arctic that they would expect all kinds of commitments about liability and so on, investors out there, who will be investing in some of the work, will take the message in our report very seriously indeed.

[Mark Lazarowicz]

Although I can accept the Government’s point of view that clearly we cannot take all the decisions unilaterally, we should at least be discussing this matter. We are major participants, in terms of commercial activity, in drilling in the Arctic area. Does my hon. Friend agree that it is important that the Government should at least ensure that these discussions are on the table, so that we can protect this environment in the way that she points out?

[Joan Walley]

My hon. Friend is absolutely right. In conclusion, I simply say to the Minister that there will be opportunities as we follow up our report. We will return to some of the scientific issues, and to Shell’s position as soon as it is legally able to give evidence to the Select Committee. We shall be in correspondence with the Government on this issue and ensuring, in the light of the recent recommendations from the Liaison Committee, that we are not just producing a report and leaving it on a table to make no difference whatever. If there is anything we can do, we shall do it. We are going to take the whole debate forward. Thank you, Mr Sheridan, for the opportunity briefly to air this important report this afternoon in Parliament.