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Cabinet split emerges over controversial Rosebank oilfield decision

Cabinet split emerges over controversial Rosebank oilfield decision

Summary

The UK government has not decided whether to approve drilling at the Rosebank oilfield, and Energy Secretary Miatta Fahnbulleh is weighing the application. Chancellor John Healey reportedly supports approval, while Fahnbulleh has questioned Rosebank’s contribution to UK energy security and its environmental impact; a decision is expected before year-end.

Key Facts

  • Fahnbulleh is responsible for deciding whether to approve the Rosebank licence, though the prime minister could make the final call if ministers disagree.
  • Healey reportedly backs approval and has said oil and gas revenues could contribute to a new energy wealth fund.
  • Fahnbulleh said the case for approving the Jackdaw gasfield does not apply to Rosebank, which is an oilfield whose output would mainly be exported.
  • Rosebank is expected to produce about seven times the emissions of Jackdaw, according to the article.
  • Fahnbulleh is understood to believe Rosebank would contribute less to UK energy security because most of its oil would be exported.
  • Labour MPs have warned of significant opposition within the party if the government approves Rosebank, and some have discussed seeking a parliamentary vote.
  • A final decision on Rosebank is expected before the end of the year.
  • Fahnbulleh said a planned energy wealth fund would receive £2bn in the budget and support renewables, nuclear power and other clean energy projects.
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