Thursday 7 May 2020

OGA unveils strategy to force operators to support net zero goal

The Oil and Gas Authority has unveiled plans to force operators to follow low carbon obligations to help the country meet the 2050 net zero goal. 

Obligations include the reduction in flaring and greenhouse gas (GHG) emissions and developments in carbon capture and storage (CCS), hydrogen and offshore renewables.

The UK's oil and gas regulator believes maximising economic recovery of oil and gas need not be in conflict with the transition to net zero and that the industry has the skills, technology and capital to help unlock solutions required to help the UK achieve the target.

However, the OGA takes the view that industry should go considerably faster and farther in reducing its own carbon footprint, or risk losing its social licence to operate.

Dr Andy Samuel, OGA Chief Executive, said: "There are major issues facing the oil and gas industry, the global pandemic and the rapid fall in commodity prices and we are working closely with the government to safeguard the energy supply and as best as possible the thousands of jobs and skills which deliver it, in the face of these issues.

"In light of the UK’s need to maintain a secure energy supply which is cleaner and which supports and contributes to the country’s net zero ambition, we are reviewing our strategy to integrate net zero into everything we do."