close
close

No new oil and gas licences and huge renewables boost in Labour’s energy plans

Labour has confirmed it will not issue new licences for North Sea oil and gas as it outlines its plans to make the UK a “clean energy superpower”.

The party has identified clean energy as one of the government’s top priorities as it seeks to forge an agreement with the Conservatives on the climate and environmental crisis, which it describes as “the biggest long-term challenge we face.”

Labour’s manifesto says the party will present a “green prosperity plan” that aims to invest in the climate transition. This plan, the party claims, will create 650,000 green jobs, reduce bills and ensure energy independence.

The manifesto confirms £8.3 billion for public company Great British Energy to invest in clean energy.

It promised to double the use of onshore wind energy, triple the use of solar energy and quadruple the use of offshore wind energy.

The party also supports new nuclear facilities, carbon capture and storage, hydrogen and marine energy, but confirmed Labor would not issue new licenses for new oil and gas fields “because they won’t cut a penny off your bills, they can’t deliver our energy security and will only accelerate the deepening climate crisis.”

But in response to criticism from, among others, the Unite union, about potential job losses, Labour has also insisted that existing licences will not be withdrawn and that the North Sea will be managed in a way that does not threaten jobs.

The party said the clean energy plans would be partly funded by closing loopholes in the windfall profits tax levied on oil and gas companies.

It also promised to double funding for low-carbon insulation and heating to £13.2 billion over the next parliament, and a promise was made to give Ofgem more powers over consumer protection and minimum energy efficiency standards for privately rented homes.

Cromarty Firth Drilling PlatformsCromarty Firth Drilling Platforms

The oil rig is being moved using tugboats and other drilling rigs that have been left in the Cromarty Firth near Invergordon in the Scottish Highlands (Andrew Milligan/PA)

And as Labour seeks to keep consumers on the sidelines amid the “culture war” that has erupted in recent months over the move to net zero, the manifesto adds: “No one will be forced to unplug as a result of our plans.”

Shadow Energy Secretary Ed Miliband said: “Labour is offering the country the most ambitious climate and energy plan in British history, investing in our country through Great British Energy, our publicly owned energy company, so that we can cut our energy bills for good, make our country energy secure, create good jobs and protect our home for our children and grandchildren, ending the climate crisis.”

Linking the climate crisis to its environmental plans, Labor has pledged to create three new national forests, plant millions of trees and new woodland, expand habitats such as wetlands and peatlands, reduce waste and clean up the country’s coastlines, lakes and rivers.

The party pledged to implement the environmental, clean air and water goals of the Environmental Protection Act and promised to build houses without lowering environmental standards.

While there is a commitment to supporting British farmers while protecting the environment, which aims to deliver high-standard local food to the public sector, the manifesto makes no mention of the amount of money Labor would commit to a flagship nature-friendly farming program to replace EU subsidies .

This is likely to come up in Labour’s first spending review if it wins power.

Country Land and Business Association (CLA) president Victoria Vyvyan said there were no details provided on the agriculture budget, rural development or planning reforms.

“This manifesto shows that Labor is listening, and we welcome the way in which they have engaged with us, but more work needs to be done to deliver the serious changes to the business environment that the countryside needs,” she warned.

Labour has also promised to work with farmers and scientists to eradicate bovine TB, ending the “ineffective” extermination of badgers, and introducing a ban on trail hunting – prompting criticism from the Countryside Alliance, which said it was unable to deliver the changes, then claimed it respected the countryside.

Countryside Alliance chief executive Tim Bonner said: “This is an unjustified and divisive attack on the rural community, at odds with the community’s priorities for the countryside.”

Environmental campaigners welcomed the manifesto’s measures but warned that more needed to be done to tackle the climate crisis.

Greenpeace’s head of policy, Rebecca Newsom, said: “Despite some serious environmental shortcomings, the party clearly recognises the huge opportunity for greener jobs, warmer homes and cleaner air that a green economy creates.

“Unlike the Conservatives, Labour will end climate-damaging oil and gas drilling and focus on renewable energy, delivering real energy security and lower bills,” she said.

But she warned that “you can’t deliver real change with small changes” and said Labour’s plan did not go far enough, calling on the party to tax super-rich and polluting companies.

Mike Childs, head of policy at Friends Of The Earth, added: “Economic prudence may be Labour’s guiding principle, but there is nothing prudent about failing to invest in measures that will secure our future, create clean, safe jobs in green industries, revive our ailing economy and prevent the massive damage that lies ahead.

“It is high time for parties to stop treating climate and nature as secondary issues.”

But David Whitehouse, chief executive of industry body Offshore Energies, said achieving affordable net zero emissions required both renewables and “our domestic oil and gas sector”, adding that the organisation was concerned about proposals to end oil and gas concessions.

“We are making clear to all parties that we need a flow of new licences to successfully deliver our domestic energy transition, to secure jobs and our energy security, and to create the investment conditions that businesses need to stay in the UK.

“We also need a globally competitive tax framework based on fair rates of return; Windfall profits taxes undermine this. Labor has big ambitions and we need the right investment environment,” he insisted.