MPs launch inquiry into long-term viability of the North Sea oil and gas industry
North Sea oil and gas industry contributes approximately £17bn to the UK’s balance of trade and supporting over 300,000 jobs
Image credit: Steven Straiton
The Scottish Affairs Committee will launch an inquiry into the long-term viability of the North Sea oil and gas industry following concerns over falling production and declining investment.
The North Sea oil and gas industry provides around three quarters of the UK’s total energy mix, contributing approximately £17bn to the UK’s balance of trade and supporting over 300,000 jobs.
But with concern growing over falling production over the long term, as well as the environmental impact of decommissioned extraction sites, MPs will this summer take evidence on how best to create a sustainable future for the industry.
Committee chair Pete Wishart said: “Scotland’s oil and gas sector has a long been one the UK’s strongest industries but has undoubtedly gone through a tough time in recent years. The volatility in the price of energy prices has made some types of oil and gas extraction in the North Sea unaffordable, and caused a significant contraction of the sector.
“Nonetheless, we can be proud of being home to a world-leading, high tech job provider that supports so many jobs, provides the backbone of our energy mix and vital tax revenue. We have launched this inquiry to understand the long-term prospects for the sector and understand what role the Government can play in supporting it. We’ll look at how to maximise Scotland’s world-renowned expertise, particularly in relation to growing industries like renewables.
“This will include how we can extract the greatest value from reserves in the North Sea, and how we can ensure the sector in Scotland plays a leading role in oil and gas around the world.”
Exclusive interview with Paul Wheelhouse, Minister for Business, Innovation and Energy
Oil industry welcomed news that Philip Hammond will allow the tax history of oil and gas fields to be transferred after a sale, allowing buyers to claim greater relief when it comes to...
Reports suggest the Treasury is in line to receive around £1bn in tax revenues from the industry in the coming financial year
Holyrood asked five economists for their views about key questions on the Scottish economy
Vodafone today announced the commencement of trials of the world’s first air traffic control drone tracking and safety technology.
Vodafone explores some of the ways IoT is significantly improving public sector service delivery