Environmentalists sue UK over oil and gas licences

• Environmentalists are suing the UK government for granting 31 oil and gas exploration licenses without considering the effects on marine life.
• The North Sea Transitional Authority issued the licenses in May despite the government’s commitment to shift away from fossil fuels and towards renewable energy.
• The Starmer government’s promised ban on exploration licensing could face legal challenges from companies that have already invested in successful exploration deals.

An ocean conservation entity is suing the UK state over 31 oil and gas exploration licenses issued by the previous government earlier this year.

Oceana UK claims issuing authorities did not consider the effects of exploration on marine life, Reuters reported. The entity is part of a group called the Ocean Alliance Against Offshore Drilling, which has written to current Energy Secretary Ed Miliband asking him to accept the suit.

“By admitting the case, the government can deliver on promises to the public and signal a clear departure from the previous administration’s continued reliance on fossil fuels,” the group said.

UK North Sea Transition Authority, formerly the Oil and Gas Authority, issue 31 exploration licenses in May as the Sunak government tried to juggle energy security and a transition that required an end to oil and gas production, according to supporters.

The licenses were expected to add about 600 million barrels of oil equivalent by 2060, or 545 million barrels of oil equivalent by 2050. Interestingly, some of those awarded in May were in areas previously allocated for licenses to offshore wind energy.

“Following discussions with our partners in The Crown Estate and Crown Estate Scotland, we have for the first time introduced a new clause for overlapping oil and gas licenses and wind leases,” NSTA said.

However, when the Starmer government took office, they were quick to launch an offensive against the oil and gas industry after promising to further increase taxes and end the granting of exploration licences. The ban was not made official, but the press did reported that it is in the works.

This course of action could also put the government in legal trouble, The Guardian reported recently, as companies could challenge Downing Street for costing them a lot of money spent on successful exploration deals.

By Irina Slav for Oilprice.com

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