Chris Mason: The Budget is imminent as tricky things pile up for Burnham

1 hour ago 1
SEE YOUR AD HERE

Last week, Energy Secretary Miatta Fahnbulleh approved drilling in the Jackdaw field in the North Sea, about 150 miles east of Aberdeen.

This is principally a gas field and Fahnbulleh grounded her justification in providing the UK with greater energy security, at a time of war in Ukraine and in the Middle East.

The gas, she said, could be tapped into and serve British homes and businesses pretty much straight away, with the tax revenue put into an "energy wealth fund", with the aim being to invest in renewable and low carbon energy projects.

But what about the Rosebank field, 80 miles north west of the Shetland islands, with its focus on oil?

Labour figures in and outside government acknowledge this is a much, much harder sell to plenty in their own party and beyond. Some, who want to see the project go ahead, fear that the energy secretary is not likely to be convinced that it should.

It is in that context that we should see allies of the chancellor pointedly making it known that he is in favour of it.

His public language was quite telling on the day Jackdaw was approved, when he was talking about the Energy Wealth Fund: "It means the extra tax revenues that come from North Sea oil and gas can be directed into developing more clean energy projects for the future."

Note his reference to oil. Fahnbulleh said that Rosebank was "a different proposition" to Jackdaw.

Can those who worry, in particular, about the emissions from a new oil field, be won over by an argument grounded in this being a geopolitically pragmatic and environmentally credible part of transition to cleaner fuels?

Some Labour MPs hope so, but they know it's a tall order to persuade some, including some in government – which could, if it was approved, raise the question of ministerial resignations. Let's see.

Read Entire Article