A revised strategy from the UK Oil & Gas Authority has been submitted to the UK parliament, featuring for the first time an obligation on the energy industry to support the UK’s net zero target.
A revised strategy from the UK Oil & Gas Authority has been submitted to the UK parliament, featuring for the first time an obligation on the energy industry to support the UK’s net zero target.
In addition to the net zero obligation, the revised strategy also requires industry to work in such a way that encourages collaboration with the supply chain and actively supports carbon capture and storage projects.
Alongside the direction set out in the strategy, industry is also making progress in commitments to reducing production of greenhouse gas emissions well as stewarding towards emission reductions. The OGA will track, monitor, benchmark and report on this overall emissions reduction. It published its first benchmarking report on emissions from flaring and venting earlier this year.
The OGA’s analysis of energy integration showed that integration has the potential to make a 30% contribution towards the country’s overall net zero target, primarily through CCS projects and through CCS plus hydrogen production. Adding offshore renewables (wind, wave and tidal) could take that up to 60% of the abatement required in 2050.
Dr Andy Samuel, OGA chief executive, said: ‘This is an important moment in the North Sea story, bringing a key sector of the economy into the overall net zero project.
‘We have a clear vision for how to achieve this, supporting industry to reduce production emissions and to provide the infrastructure, expertise and capital to unlock game-changing carbon capture and storage and hydrogen production at scale.
‘With around 30 energy transition projects already underway, this strategy lays the foundation for that vision to become a reality, unlocking significant high value opportunities.’
Meanwhile, the OGA said it welcomes the publication of the UK government’s Energy White Paper and ‘the recognition of the critical role that oil and gas is expected to play in helping deliver our energy needs, as well as enabling game changing energy transition solutions such as carbon capture’.
