A cabinet split has emerged over the approval of drilling at the Rosebank oilfield, with Chancellor John Healey reportedly in favor of the project and Energy Secretary Miatta Fahnbulleh leaning towards rejection. The final decision rests with Fahnbulleh, but the views of Healey and Prime Minister Andy Burnham will carry significant weight. A decision is expected by year-end.
The decision on the Rosebank oilfield will impact the UK's energy policy, climate commitments, and the North Sea energy industry, with potential implications for energy security and the transition to clean power.
A cabinet split has emerged over the controversial Rosebank oilfield decision, with Chancellor John Healey reportedly in favor of approving drilling, while Energy Secretary Miatta Fahnbulleh is leaning towards rejection. Fahnbulleh is ultimately responsible for the decision, but the views of Healey and Prime Minister Andy Burnham will carry significant weight. A final decision is expected before the end of the year.
Fahnbulleh has stated that Rosebank, an oilfield mainly for export, differs from the Jackdaw gasfield, which caters to the domestic market. She emphasized that decisions must align with climate obligations and the energy transition, noting Rosebank's emissions are seven times greater than Jackdaw's and that it would do less for UK energy security due to its export focus.
Healey hinted at his support by anticipating oil and gas revenues for a new energy wealth fund, which Fahnbulleh has promised will be funded by North Sea revenues and receive £2 billion in the budget for renewables and clean energy projects. However, the exact source and generation of these revenues remain unclear.
Labour MPs have expressed potential pushback within the party if Rosebank is approved, with discussions of forcing a parliamentary vote. A spokesperson for the Department for Energy Security and Net Zero stated that any decision will take into account all relevant evidence, including environmental assessments.
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