“This is a massive backward step – for the climate, for the economy and for good quality jobs. Both the security of our planet for future generations and the UK’s future prosperity is dependent on greening our economy and that requires large scale investment.
“Labour have chosen to wear their fiscal rules as a millstone around their neck. A different approach through tax reforms, in particular by introducing a wealth tax on the super-rich, could help pay for the green transition. There is more than enough money in the economy to pay for this. Indeed, the Green Party would go further and faster, investing at least double what Labour originally pledged, so we can turbo charge the transition to a green economy.
“Greens recognise that investing in a green future will provide people with economic, social and environmental security. By decarbonising industry, insulating buildings, and ramping up renewable energy infrastructure, the UK can drastically reduce emissions, cut household bills and create new, good quality, well-paid and secure jobs in every corner of the country.
“Investing in this secure future is a political choice. By ditching its green investment plan, and making a series of other U-turns, Labour has clearly signalled that it is turning its back on a fairer, greener future.
The Labour party is expected to make a further announcement today.
Former Conservative Treasurer Lord Michael Spencer. Credit: LBC / YouTube
Michael Spencer, who has donated millions to the Conservative Party, is the largest shareholder in North Sea exploration firm Deltic Energy.
A company whose largest shareholder is a former Conservative treasurer and major party donor has been awarded two new North Sea exploration licences, DeSmog can reveal.
It was announced on Wednesday (31 January) that Deltic Energy had been awarded the new licences in the latest North Sea oil and gas licensing round.
Conservative peer Michael Spencer currently holds an 18.8 percent (£4.5 million) stake in the firm.
Spencer has donated over £6 million to the Conservative Party since 2005 and was appointed to the Lords by Boris Johnon in September 2020. The billionaire financier is a former party treasurer and raised an estimated £70 million for the Tories between 2006 and 2010. He currently serves as a director of the Conservative Party Foundation – the party’s multi-million pound endowment fund, created under his watch in 2009 to manage “legacy funds to support the long-term finance” of the party.
The Guardian and the Good Law Project also revealed today that EnQuest Heather, a subsidiary of EnQuest,` had been awarded a new oil and gas licence. EnQuest Chief Executive Officer Amjad Bseisu has donated nearly £500,000 to the Conservative Party in the last decade and has lobbied to maximise oil and gas exploration in the North Sea.
DeSmog revealed in May 2023 that EnQuest had been awarded licences to explore carbon dioxide storage under the North Sea.
Jolyon Maugham, executive director of the Good Law Project told DeSmog that: “The Electoral Commission records these contributions as donations to the Conservative Party. But, given the extraordinary correlation between donations to the Tories and valuable awards from the government, I wonder whether it would be more accurate to brand them as investments?”
Both personally and through his family office IPGL, Spencer has donated more than £100,000 to the Conservative Party and its candidates since Rishi Sunak became prime minister in October 2022.
Sunak has been advocating forcefully for North Sea oil and gas exploration in recent months, saying that the UK plans to “max out” the UK’s reserves. In addition to its two new licences, Deltic currently has interests in five licences covering nine North Sea areas, known as blocks. New licences were also awarded this week to fossil fuel giants Shell and Equinor.
“Rishi Sunak’s obsession with doling out new North Sea licences now starts to make some sense,” Tessa Khan, executive director of Uplift, told DeSmog. “It’s clear there is no public benefit from the policy… But new fields could make a tidy little profit for a handful of oil and gas executives and their shareholders, including Conservative Party donors.”
Through the Offshore Petroleum Licensing Bill, passed by MPs last week, the government is attempting to bind future administrations to annual North Sea oil and gas licensing rounds.
This is despite the International Energy Agency stating that new fossil fuel exploration is “incompatible” with the Paris Agreement target of limiting global heating to 1.5C.
This week, the Climate Change Committee – the independent body that advises the government on its net zero policies – warned that mixed messages, including new fossil fuel projects, have damaged the UK’s international climate standing.
Spencer told DeSmog that: “I believe it is totally in the best interest of the UK to replace imported oil and gas by energy extracted from our own North Sea.”
North Sea gas carries higher emissions than imports from Norway, while there is no guarantee that oil and gas extracted under the new licences will be used to supply the UK, given that it is mined by private companies that sell it on the open international market.
Khan added that: “new drilling won’t make any difference to our bills, which ministers have admitted; it won’t boost energy security in that the UK has burned most of its gas; and it won’t provide a secure future for the workforce, which has halved in the past decade despite hundreds of licences being issued.
“The prime minister now needs to come clean with the public on any discussions he’s had with Spencer, or any of his party’s other oil and gas donors,” Khan said. “Sunak cannot continue to privilege the short term interests of a few, rich oil execs over the needs of millions of ordinary people who are struggling to afford to heat their homes.”
North Sea licences are awarded by the North Sea Transition Authority, a non-departmental public body owned and funded by the Department for Energy Security and Net Zero. There is no evidence that Deltic or Spencer used political contacts to secure the licences.
According to the NSTA, licensees have to “meet certain financial criteria” and meet the adequate “technical capability”, but there is no published guidance on avoiding conflicts of interest.
The NTSA, Deltic and EnQuest declined to comment on the record. The Department of Energy Security and Net Zero has been approached for comment.
Spencer and Deltic
Spencer has a number of oil and gas interests. His House of Lords register of interests shows that he has a stake in Pantheon Resources, a UK company exploring for oil in Alaska, and Cluff Energy Africa, described as an “early stage oil prospecting company seeking licences in Africa (Angola and Sierra Leone)”.
Until December last year, Spencer also held shares in Petrofac, an oilfield services firm heavily involved in the North Sea, including the controversial Cambo project.
Spencer has publicly advocated for the fossil fuel industry. He told LBC’s Nick Ferrari last September that the UK “sadly has opposed further investment in North Sea oil and gas”. Spencer used the interview to praise then Prime Minister Liz Truss for opposing windfall taxes on the sector, calling them “not Tory policy” and “not pro-business”. He has also expressed support for the controversial policy of fracking for shale gas.
Spencer is the chair of the Centre for Policy Studies, an influential Conservative think tank whose director was the co-author of the 2019 Tory manifesto. A number of fellow board members have financial interests in oil and gas firms.
The Conservatives received £3.5 million from polluters, fossil fuel interests, and climate deniers in 2022, and took over £400,000 from individuals and companies in the fossil fuel industry in 2020 and 2021 as the government weighed up decisions on North Sea oil and gas licences.
Dithering on renewable energy and insulation will leave people in Britain ‘colder and poorer’, campaigners warn
Rishi Sunak is facing further attacks on his plans to expand oil and gas exploration in the North Sea this week. The Offshore Petroleum Licensing Bill – to be debated in the Commons on Monday – has already triggered widespread protests, including the resignation of Chris Skidmore, a former Conservative energy minister.
The bill aims to boost fossil fuel extraction by establishing a new system under which licences for North Sea oil and gas projects will be awarded annually.
Green groups and analysts are lining up to criticise it. UpLift, which campaigns for green energy, pointed out that the bill, which the government says will “max out” the UK’s reserves, will actually result in only a 2% rise in North Sea gas output. “The remaining 98% of gas demand will come from existing North Sea fields,” its analysis finds.
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“Sunak, like his predecessor Liz Truss, is obsessing over oil and gas, but dithering on renewables and insulation which will boost UK energy security and lower bills,” said Tessa Khan, executive director of UpLift. “And it’s making people in this country colder and poorer.”
Image of InBedWithBigOil by Not Here To Be Liked + Hex Prints from Just Stop Oil’s You May Find Yourself… art auction. Featuring Rishi Sunak, Fossil Fuels and Rupert Murdoch.
James Hansen says limit will be passed ‘for all practical purposes’ by May though other experts predict that will happen in 2030s
The internationally agreed threshold to prevent the Earth from spiraling into a new superheated era will be “passed for all practical purposes” during 2024, the man known as the godfather of climate science has warned.
James Hansen, the former Nasa scientist credited for alerting the world to the dangers of climate change in the 1980s, said that global heating caused by the burning of fossil fuels, amplified by the naturally reoccurring El Niño climatic event, will by May push temperatures to as much as 1.7C (3F) above the average experienced before industrialization.
This temperature high, measured over the 12-month period to May, will not by itself break the commitment made by the world’s governments to limit global heating to 1.5C (2.7F) above the time before the dominance of coal, oil and gas. Scientists say the 1.5C ceiling cannot be considered breached until a string of several years exceed this limit, with this moment considered most likely to happen at some point in the 2030s.
A Tory MP has launched a spectacular attack on Rishi Sunak’s climate record as he announced he was quitting.
Former energy minister Chris Kingswood, who led a Government review of net zero, warned: “I can no longer stand by.”
His decision creates another by-election nightmare for the Prime Minister. Mr Kingswood has resigned with immediate effect from the Conservative Party and will formally stand down as an MP when Parliament returns after the Christmas break on Monday.
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In a statement posted on X, the Tory who signed the UK’s net zero commitment by 2050 into law said he was resigning as he could not support proposed new legislation that “clearly promotes the production of new oil and gas” by handing out more North Sea drilling licence.
He said the “future will judge harshly” anyone who backs the Offshore Petroleum Licensing Bill, which is due to be voted on by MPs on Monday.
“I can… no longer condone nor continue to support a government that is committed to a course of action that I know is wrong and will cause future harm,” he wrote in the excoriating statement. “To fail to act, rather than merely speak out, is to tolerate a status quo that cannot be sustained. I am therefore resigning my party whip and instead intend to be free from any party-political allegiance.”
He added: “I can no longer stand by. The climate crisis that we face is too important to politicise or to ignore.”
Mr Skidmore said the Bill that will be debated next week “achieves nothing apart from to send a global signal that the UK is rowing ever further back from its climate commitments”
… In September 2022, he was appointed by the Truss government to chair the Independent Government Review on Net Zero.[5] On 5 January 2024, Skidmore announced that he would resign his party whip and his Parliamentary seat in protest at the introduction of the Offshore Petroleum Licensing Bill.[6]
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On 27 June 2019, as Interim Minister for Energy and Clean Growth, Skidmore signed the UK’s Net Zero Pledge into law, becoming the first major economy to do so.
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Net zero
On 26 September 2022 Skidmore launched the Net Zero Review, pledging to use the review to focus on the UK’s fight against climate change while maximising economic growth to ensure energy security and affordability for consumers and businesses.[28]
On 19 October 2022, Skidmore put out a statement on Twitter, in advance of a debate on fracking, saying that “[a]s the former Energy Minister who signed Net Zero into law”, he could not vote “to support fracking and undermine the pledges I made at the 2019 General Election”. The government was reportedly treating this vote as a confidence vote, putting Skidmore at risk of losing the Conservative Party whip.[29][30]
On 16 January 2023, Skidmore published “Mission Zero”,[31] the final report of the Net Zero Review. The 340 page report, containing 129 recommendations on how to deliver the UK’s net zero commitments, has been widely welcomed by the energy and climate sector.[32][33]
In June 2023, it was announced that Skidmore had been appointed to a professorship at the University of Bath to undertake research on sustainability and climate change.[34][35]
Although in November 2022 he had declared he would not stand again, in January 2024 Skidmore stated he would leave Parliament “as soon as possible”, stating that the relaxation of net zero targets was “the greatest mistake of [Rishi Sunak’s] premiership”.[36]
Resignation
On 26 November 2022, Skidmore announced that he would be standing down at the next general election, later stating in Parliament that ‘my constituency of Kingswood is being formally abolished in the boundary changes and there is nowhere for me to go.’[37][38][39]
However, on 5 January 2024 Skidmore announced that he would resign his party whip and his Parliamentary seat in protest at the introduction of the Offshore Petroleum Licensing Bill.[40]
dizzy: From the Resignation section immediately above, by resigning Skidmore is forcing a by-election in a seat that will cease to exist at the next general election expected this year. From his statement and the rest of the Wikipedia entry, it’s clear that he’s doing it because he’s opposed to Rishi Sunak’s energy policy. Part of his resignation statement reads “I cannot vote for a bill that clearly promotes the production of new oil and gas. While no one is denying that there is a role for existing oil and gas in the transition to net zero, the International Energy Agency, the UNCCC and the Committee on Climate Change have all stated that there must be no new additional oil and gas production on top of what has already been committed, if we are to both reach net area carbon dioxide emissions by 2050 and keep the chance of limiting temperature rises to 1.5 degrees.”
He ends his statement “I can no longer stand by. The climate crisis that we face is too important to politicise or to ignore. We all have a responsibility to act when and where we can to protect the future: I look forward to devoting my time in 2024 and beyond to making the future a better place, in whatever capacity I can.”
