The UK oil and gas sector faces more legal challenges following the Scottish court’s decision

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Legal challenges against two major oil and gas projects will be allowed to continue after a ruling by Scotland’s highest civil court casts further doubt on the future of fossil fuel production in Britain.

The country’s Court of Session has set a November 12 hearing date for the two judicial review cases brought by climate change campaign groups Uplift and Greenpeace against the Rosebank and Jackdaw developments in the North Sea.

It raises the prospect that the projects will have to reapply for planning permission from a Labor government that is more hostile than its Tory predecessor to domestic fossil fuel development.

The Rosebank and Jackdaw projects are being developed by Equinor with its partner Ithaca Energy and Shell. Equinor says Rosebank would account for around 7% of UK oil production, while Shell says Jackdaw would produce enough gas to heat the equivalent of around 1.4 million UK homes.

They were granted development consent in 2023 and 2022 under the former Conservative government, which wanted to boost domestic oil and gas production.

However, campaigners say the government should have taken into account emissions from consumers burning oil and gas from the fields, for example in cars, boilers and power stations. These are known as Scope 3 emissions.

Last month, the government said it would not contest the two judicial review applications.

It followed a landmark legal ruling in June, when the UK’s Supreme Court found that a local council in England should have taken Scope 3 emissions into account when it granted planning permission for an oil drilling project in Horse Hill, Surrey.

This was followed by a decision this month when the High Court in London ruled against planning permission for a metallurgical coal mine in West Cumbria, north-west England, also on the basis that its Scope 3 emissions did not were taken into account.

Since taking office in July, the Labor government has delivered on its manifesto pledge to try to move away from oil and gas in favor of renewable energy.

It has increased the tax rate on oil and gas forces and plans to stop issuing new oil and gas exploration licenses for new fields. However, it said it would not revoke existing licenses and was consulting on new environmental guidance for the industry.

A Shell spokesman said no decision had been made on the merits of the case and would argue in November that “the existing consent for the Jackdaw development should remain in place”.

Shell added: “Jackdaw is a vital project for the UK’s energy security which is already underway.”

An Equinor spokesman said it did not comment on ongoing litigation, adding that the Rosebank project would bring investment, jobs and energy security and was “vital to the UK”.

Tessa Khan, chief executive at climate change campaign group Uplift, said it was “a relief” that the arguments against Rosebank “will not have a fair trial in court”.

Ithaca Energy has not commented.