Jackdaw gas field approval triggers backlash from environmentalists

Andy Burnham faced a backlash from environmental campaigners after the UK Government approved plans to begin drilling in the Jackdaw gas field in the North Sea.

Energy Secretary Miatta Fahnbulleh backed the scheme, which is expected to start supplying gas to British homes and firms within weeks.

She is now under pressure to approve the separate Rosebank oil and gas field as a further sign of commitment to the North Sea and domestic energy production.

The Government announced a new fund to funnel North Sea tax revenues into green energy schemes but the Prime Minister was condemned by environmental groups for the decision to back Jackdaw.

The approval ends months of speculation about the future of the Jackdaw project, which owner Adura said could deliver around 6% of UK North Sea gas production.

Ms Fahnbulleh said the move will “support the country’s energy security with homegrown gas this winter” although she acknowledged it would not bring down household bills.

Gas is expected to start flowing by the end of the month after Ms Fahnbulleh agreed that regulator the North Sea Transition Authority could approve the scheme.

Mr Burnham said the decision will “protect hundreds of jobs and help keep millions of homes warm”, but stressed it would not hinder the Government’s targets on renewable energy.

He said: “At a time when people are really struggling, it’s right that we look in a responsible way at maximising the existing energy reserves we have in Britain that could help.

“We’re committed to moving towards renewable energy and reaching net zero by 2050.

“But even on our ambitious climate path, we’ll still require oil and gas as part of our energy needs for decades to come.”

The drilling project is one of two – alongside the Rosebank oil field off Shetland – which were approved by the previous Conservative government.

Both were approved for drilling licences in June 2022, but this was overturned by the Scottish courts after a challenge from environmental campaigners.

This came after a UK Supreme Court ruling that developers had to account for the climate impact caused by burning fossil fuels in their planning applications.

Fresh public consultations on the proposals took place this year and closed in August, and the Government gave the green light to Jackdaw on Wednesday morning.

Ms Fahnbulleh said: “This decision will support the country’s energy security with homegrown gas this winter and help minimise the UK’s use of imported higher emission fuels as we continue our transition to renewables and nuclear.

“The decision is compatible with our legally binding climate commitments, and we remain resolute in ending new licences for oil and gas and achieving net zero by 2050.”

A decision on Rosebank, the largest untapped oil field in the North Sea, is being made separately.

“Jackdaw is producing gas that predominantly is used in the domestic market, Rosebank is a different proposition because it is oil that is exported,” Ms Fahnbulleh told BBC Radio Scotland.

The chief executive of Adura – the joint venture between Shell and Norway’s Equinor which is behind both schemes – called for Rosebank to also be approved.

Adura boss Neil McCulloch said: “Jackdaw represents a significant prize in its own right: £2.1 billion of investment and enough gas to heat the equivalent of around 1.4 million UK homes at peak production.

“Our attention now turns to Rosebank. It follows Jackdaw in the regulatory process, but the case for approval is equally strong. We believe that applying the same rigorous, evidence-based approach can lead to a similarly positive decision.”

The Prime Minister said he was taking a “pragmatic” approach to the North Sea.

Labour’s 2024 manifesto committed to issuing no new oil and gas licences for the North Sea.

However, proponents of Jackdaw and Rosebank within the party have argued that neither are new fossil fuel fields, given the wheels were in motion to tap them ahead of Labour coming to power.

But environmental campaigners hit out at Mr Burnham’s Government.

Labour MP Alex Sobel said: “My view hasn’t changed. Jackdaw won’t draw gas for many years.

“It won’t make an impact on global prices and will give mixed messages in terms of investment of both renewables and decarbonisation of home heating.”

Ami McCarthy, head of politics for Greenpeace UK, said: “Approving Jackdaw shows the toxic grip fossil fuel lobbyists still hold over our energy policy.

“Andy Burnham promised pragmatism, but there is nothing pragmatic about rubber-stamping a project that won’t lower energy bills, won’t boost energy security and will create just 27 full-time jobs.”

Kate Norgrove, WWF chief impact officer, said: “This is a disappointing decision and the Government now urgently needs to show that it remains 100% committed to the clean energy transition by rejecting the even more damaging Rosebank oil field.”

Tessa Khan, executive director of campaign group Uplift, said Labour’s climate credibility is “on the line now” with Rosebank becoming the defining test.

She said: “Approving it would see the Government knowingly breach safe climate limits.”

Green Party of England and Wales leader Zack Polanski said the decision to approve Jackdaw was “climate vandalism”.

He said: “Today’s decision by Labour is a betrayal of all of our futures. Labour has abandoned all credibility in the fight against climate change.”

But Tory leader Kemi Badenoch said Labour should have taken the decision to approve Jackdaw earlier instead of “faffing about”.