ENERGY NEWS
11
MAY 2021
UK NORTH SEA
Energy Review By Tsvetana Paraskova
The North Sea Transition Deal and its implications on the oil and gas sector was this past month’s highlight of the UK North Sea industry, which also saw production and development updates and a flurry of new services contracts.
The UK Government said at the end of March that a landmark North Sea Transition Deal was reached with industry—a deal to support the oil and gas industry’s transition to clean, green energy, while supporting 40,000 jobs. The key commitments in the Deal include the sector setting early targets to reduce emissions by 10% by 2025 and 25% by 2027, while it has committed to cut emissions by 50% by 2030. The agreement is expected to see joint government and oil and gas sector investment of up to £16 billion by 2030 to reduce carbon emissions. This includes up to £3 billion to replace fossil fuel-based power supplies on oil and gas platforms with renewable energy, up to £3 billion on Carbon Capture Usage and Storage, and up to £10 billion for hydrogen production. “We will not leave oil and gas workers behind in the United Kingdom’s irreversible shift away from fossil fuels. Through this landmark sector deal, we will harness the skills, capabilities and pent-up private investment potential of the oil and gas sector to power the green industrial revolution, turning its focus to the next-generation clean technologies the UK needs to support a green economy,” Business and Energy Secretary Kwasi Kwarteng said. “The North Sea Transition Deal is a transformative partnership which will harness the expertise of the UK offshore oil and gas industry to urgently meet the country’s climate ambitions of net zero emissions by 2050,” said Deirdre Michie, Chief Executive of the offshore industry organisation, OGUK, whose more than 400 members support the deal. “It will unlock billions of pounds of investment and see government and industry work together to deliver a homegrown energy transition, realising innovative low carbon solutions that can be exported globally,” Michie added.
Continues >
UK NORTH SEA REVIEW SPONSORED BY
"OSSO is a value focused provider of specialist fluid temperature control and separation solutions."
www.ossoltd.com
