Offshore Industry: North Sea
The question
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential impact of policy on new North Sea oil and gas licences on (a) employment in the offshore energy sector, (b) energy security, (c) tax revenues from domestic oil and gas production and (d) levels of imported liquefied natural gas; and whether he plans to review the Energy Profits Levy, decarbonisation requirements for offshore installations and restrictions affecting new exploration and drilling activity.
Answered by Michael Shanks
The government has committed to not issue new licences to explore new fields.
We will need a wide range of skills to build the future offshore energy sector, and we are launching a North Sea Jobs Service, matching workers to secure well-paid jobs.
New licences would typically take up to 10 years to develop and would not make us energy secure.
LNG provides a flexible energy source during the transition and comprises 14% of supply.
We are taking a proportionate approach on tax, recognising the ongoing role of oil and gas, while ensuring the sector contributes more towards the transition.
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