Source · Select Committees · Environmental Audit Committee
First Report - The financial sector and the UK's net zero transition
Environmental Audit Committee
HC 277
Published 29 November 2023
Recommendations
7
Rejected
Set a clear date for ending new North Sea oil and gas licensing rounds.
Recommendation
We reiterate the recommendation of our earlier report that the Government set a clear date for ending new oil and gas licensing rounds in the North Sea: this date should fall well before 2050. (Paragraph 57) Plans for transition: reporting …
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Government Response Summary
The government rejects setting an end date for new oil and gas licensing rounds, arguing that the domestic industry is vital for energy security and the Offshore Petroleum Licensing Bill will ensure regular annual licensing.
Conclusions (2)
4
Conclusion
Rejected
Para 54
We absolutely agree with the Minister for Energy Efficiency and Green Finance that energy security and net zero are two sides of the same coin. However, we are concerned that many believe that the Government is sending mixed signals to the market which in turn affects investment decisions in the …
Government Response Summary
The government rejects the premise of sending mixed signals, strongly affirming its commitment to achieving net zero and energy security by replacing fossil fuels with renewables and nuclear. It details significant public and private investments, funding programmes, and action plans already in place to accelerate the clean energy transition and support green industries.
5
Conclusion
Rejected
Para 55
We have previously concluded in our report ‘Accelerating the transition from fossil fuels and securing energy supplies’ that there is not a consensus on the speed of transition from fossil fuels as the Government endeavours to reach net zero by 2050. While the scientific consensus is clear that planned production …
Government Response Summary
The government rejects the committee's concern regarding the balance of North Sea assets and renewables, asserting that the domestic oil and gas industry remains vital for energy security. It states that new licensing, supported by existing and new legislation, ensures a managed decline of oil and gas production compatible with net zero targets.