Rosebank and Jackdaw bosses call for 'timely approval' to make 'major contribution' to winter energy demands
Preparatory works has already begun at both Rosebank and Jackdaw ahead of potential approval of envinmental consent by the Labour UK government.
Bosses behind the Rosebank and Jackdaw North Sea plans have called on Ed Miliband to agree to “timely approval” of the projects - arguing they are “ready to make a major contribution to Britain’s energy needs by this winter”.
Adura, the joint venture between Shell and Norwegian state-owned Equinor, faces a final public consultation over its Jackdaw oil field proposals.
The Offshore Petroleum Regulator for Environment and Decommissioning (OPRED) consultation, which will run until August 10, forms part of the regulatory process required before Jackdaw can commence production of fossil fuels.
More than £3 million has already been invested in the Jackdaw and Rosebank projects so far, with a promise over 3,500 jobs to be created during peak construction and 880 roles sustained throughout production.
Fossil fuel bosses behind the plans have argued that if Jackdaw is approved quickly by UK Energy Secretary, Ed Miliband, it could provide more than 6 per cent of UK gas supply by this winter - enough to heat 1.4 million homes.
Meanwhile, a number of Scottish Labour MPs have said they are “worried” about the possibility of Mr Miliband becoming chancellor in a new government formed by prime minister-in--waiting Andy Burnham, given his opposition to new North Sea oil and gas production and his ability to block developments.
Neil McCulloch, chief executive of Adura, said: “Jackdaw is ready to make a major contribution to Britain’s energy needs by this winter. Alongside Rosebank, it represents a material economic opportunity that has already been realised through multibillion-pound investment - and can be sustained throughout the production life of both fields.
READ MORE: SNP MSP and former adviser breaks ranks with Swinney over Rosebank and Jackdaw North Sea approval
“With timely approval of Jackdaw and Rosebank, Adura can help unlock significant benefits: the energy that Britain needs, at lower associated emissions and within existing carbon budgets, alongside a major economic advantage in the national interest.”
The majority of the oil contained at the Rosebank site will be exported for refining overseas.
Labour won the 2024 general election with a manifesto pledge to end new oil and gas exploration licences, but many, including those within the party, believe approving Rosebank and Jackdaw would not go against the commitment - with the projects seeking environmental consent rather than a new drilling licence.
But concerns have been raised about the environmental impact of the two projects, with climate scientists and the International Energy Agency starkly warning that no new fossil fuels projects should be allowed if global emissions targets are to have a chance of remaining on track.
As much as 35.8m tonnes of carbon could be emitted from burning the gas at Jackdaw, the equivalent of around 90 per cent of Scotland’s total emissions in 2023.
The appeal comes as the SNP puts more pressure on Andy Burnham, expected to become the next prime minister, to end the windfall tax on oil and gas.
The energy profits levy has proven controversial, particularly in Scotland’s north east, after it was put in place to respond to outsized profits for energy giants during the cost-of-living crisis.
In a letter to the former Greater Manchester mayor, SNP Aberdeen Central MSP, Jack Middleton, argued that “the supply chains and investment we need to deliver our renewables future is being destroyed before our very eyes thanks to the energy profits levy and licensing decisions taken by Westminster”.
He added: “Put simply, our energy security, our economy and our net zero future hangs in the balance because of Westminster’s decision to rely on high-carbon imports as well as inflicting a punitive tax and licensing regime on Scotland’s energy.”
A UK government spokesperson said: “Our priority is to deliver a fair, orderly and prosperous transition in the North Sea in line with our climate and legal obligations, which drives our clean energy future of energy security, lower bills, and good long-term jobs.”
Reports have suggested that Mr Miliband, who was leader of the opposition between 2010 and 2015, could be in line to take over in No11 Downing Street when Andy Burnham become prime minister later this month.
A number of Scottish Labour MPs said they were concerned that Mr Miliband would block the Rosebank and Jackdaw projects from being given the go-ahead if he was appointed chancellor.
It comes after a group of Scottish Labour MPs said the North Sea oil and gas fields should be green lit.
But another MP said they would support the energy secretary taking the role because of his experience in government.
Rosebank is 80 miles to the west of Shetland. It contains around 300 million barrels of oil, making it the UK's last major undeveloped oil site.
Jackdaw is a large offshore gas field 150 miles east of Aberdeen.
As energy secretary, Mr Miliband is currently the decision maker over whether the two projects get the go ahead - but the decisions have been delayed for years.
One MP said: “People are worried about Ed Milband becoming chancellor and that he will be a blocker.
“He is totally intransigent when it comes to Rosebank and Jackdaw.
“It’s also hard to see how he could work with the oil and gas sector because they have such little confidence in him.”
Another said: "Ed has been a very effective Secretary of State and knows the energy sector very well.
“But if Andy Burnham wants to change direction or reset on a key issue like energy then the perception of who is saying it will matter just as much and sadly I am not sure Ed is the right messenger for that policy or language shift."
A third MP said: “I am worried, he’s a obviously clever guy but there’s got to be common sense when it comes to oil and gas.”
But another Scottish Labour MP said the former leader would be “excellent” because of his experience of “the machinery of government”.
They said: “I think Ed would make an excellent chancellor. He really knows how to make the machinery of government work.”r.
Mr Miliband had previously described the licence issued to Rosebank by the Conservatives as “climate vandalism”.
Mr Miliband’s team was approached for comment.
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