Commonsense For Now as New North Sea Oil and Gas Goes Ahead – But National Grid Begins Experiment in Rationing Household Power

As the energy crisis and price inflation continue to bite – driven to a large extent by Net Zero carbon dioxide policies – the Government is set to give the green light to six new North Sea oil and gas fields, in a sign that some ministers at least have their heads screwed on. The Telegraph has the story.

Six North Sea oil and gas fields are set to be given the green light this year, The Telegraph has learnt, as Cabinet figures push back against “insane” demands to go further on net zero.

Rishi Sunak has asked Kwasi Kwarteng, the Business Secretary, to fast-track the licences amid Treasury fears over the economic impact of making the UK a net zero carbon emitter by 2050. …

The six oil and gas areas, which have already been given a preliminary licence by ministers, are expected to be given approval by Britain’s oil and gas regulator to begin construction of rigs in the North Sea.

Despite calls for all domestic fossil fuel extraction to be halted, ministers have pledged to continue to support oil and gas production while renewable energy sources are developed.

Drilling of oil and gas could begin in the Rosebank field, to the west of Shetland, and at the Jackdaw, Marigold, Brodick and Catcher sites in the central North Sea. A sixth site, Tolmount East, had been intended to be approved by the Oil and Gas Authority last year but is now expected in 2022.

The combined reserves of all six sites are thought to be enough to power the whole U.K. for six months, with 62 million tonnes of oil equivalent fuel in the ground.

A Whitehall source told The Telegraph: “The Business Secretary is pushing for more investment into the North Sea while we transition – not just for jobs and tax revenue, but for domestic energy security.

“Kwasi is actively resisting insane calls from Labour and the eco-lobby to turn off U.K. production. Doing so would trash energy security, kill off 200,000 jobs, and we would only end up importing more from foreign countries with dubious records.

“Over the long term, we need to generate more secure, affordable, low carbon power in the U.K. to achieve greater energy independence. The more clean power we generate in the U.K., the less exposed consumers will be to gas prices set by international markets.”

Worth reading in full.

It comes as the first experiment in the National Grid rationing household power usage at peak time to ease pressure on energy infrastructure gets underway.

Households will be paid to ration their power usage at peak times as the National Grid scrambles to reduce pressure on Britain’s energy infrastructure.

From Friday up to 1.4m households will be paid if they cut their normal electricity consumption at certain two-hour periods during the day, as an experiment to see how households’ behavior might be changed.  

The move is a pilot scheme intended to pave the way for a broader overhaul of the country’s billing system as the U.K. ditches reliable but dirty fossil fuel plants.

Officials want to encourage people to charge cars and use appliances at different times during the day and night to reduce the pressure on the electricity grid and limit the amount of new capacity that needs to be built as demand for electricity grows.

Worth reading in full.