Rishi Sunak’s reckless decision to approve Rosebank, the UK’s largest undeveloped oil field, has just been declared unlawful. If Rosebank’s developers wish to proceed with drilling the fields reserves then they must now seek a fresh development consent that takes into account the project’s full emissions potential. Should Keir Starmer receive such a proposal then he must swiftly reject it – otherwise he risks imploding the party.
A split in Labour could emerge over whether to reject or allow oil and gas extraction at Rosebank. Whilst a clear divide in climate ambition between members of Cabinet was unveiled over airport expansion, the government sailed through the week with little headache. But approving Rosebank would trigger loud anger across the Labour movement, with The Guardian reporting MPs and even Cabinet members could oppose such a move.
‘Rosebank is a bad deal for Britain’
If Labour’s goal is to ensure people experience the benefits of growth and pay less for energy then Rosebank is not the answer. Rosebank’s oil, as confirmed by its developers, will predominantly be sold abroad on the open market. Households across the country will not see a reduction in their energy bill payments because of drilling at Rosebank. However, taxpayers will pay for a large chunk of the field’s development cost in tax breaks for the profiteering companies behind Rosebank.
This project is a bad deal for Britain. Rosebank’s profits will mainly land in the pockets of its developer Equinor, a Norwegian state owned energy company. Meanwhile, in the words of trade union leaders “Rosebank is betraying Scottish workers” by shipping contracts overseas to the Middle East. Not to mention that the oil field’s construction would include a gas pipeline through a Marine Protected Area threatening precious ocean life.
READ MORE: ‘A third runway would shred Britain’s green credibility’
‘Rosebank would undermine Labour’s progress’
Since entering Downing Street the Prime Minister has taken bold steps to deliver his mission of making Britain a clean energy superpower. In the first six months of Starmer’s government Britain has experienced an increase in solar, attracted billions of pounds worth of inward investment for the green transition creating jobs and won respect from governments around the world.
With its Nationally Determined Contribution committing to 81% of emissions reductions by 2035 Labour is setting the pace for international climate action. In particular, the government’s commitment to become the first G7 producing nation to end licenses for new oil and gas, a position backed by a majority of British business leaders, makes it well placed to work with like minded partners such as Denmark, through the Beyond Oil and Gas Alliance, to help facilitate a fair and orderly global transition away from fossil fuels.
However, if Rosebank were to ever go ahead then Starmer’s hard graft would be undermined. Green investors would likely be swayed away from Britain. And because burning Rosebank’s oil and gas reserves would create more than 200 million tonnes of CO2 (more than three times the emissions saved by Labour’s Clean Power Plan), Labour’s diplomatic gains on climate would be instantly eliminated.
READ MORE: Heathrow – Labour’s environment group speaks out
‘Avoid red on red’
Reform and the Conservatives want Labour to combust over Rosebank. They will push myths that Starmer is responsible for job losses. They will pit Labour as green extremists. But it is their ill understanding of the North Sea’s geology, which shows depleting oil and gas reserves, and desire to remain locked into volatile fossil fuel markets which is leaving communities behind.
Labour inherited an oil and gas industry in terminal decline. Analysis by Uplift shows jobs under the last government more than halved despite hundreds of new licences being issued. In fact voters punished the Conservatives for their misguided promise to ‘max out’ the North Sea’s fossil reserves. Labour must be more confident in communicating this.
Should Starmer need it then political support across the Labour movement for stopping Rosebank will not be hard to find. Multiple Cabinet members and several government ministers as well as senior backbenchers have all stated their past opposition to the project. Beyond Westminster the Welsh Labour government and Scottish Labour MSPs have too. Labour Metro Mayors across England have argued against new oil and gas licenses as the route to fixing Britain’s broken energy system.
By saying no to Rosebank Keir Starmer can avoid senseless red-on-red, show voters that he is a Prime Minister who stands up for their interests and that his government is committed to real change.
Read more on Rachel Reeves’ growth plans:
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