Government licensing rounds for North Sea oil and gas extraction to be challenged in High Court
The High Court is set to hear a judicial review challenge of a decision by Energy Secretary Grant Shapps and the North Sea Transition Authority (NSTA) – previously known as the Oil and Gas Authority – to allow new North Sea oil and gas licensing rounds.
Environmental campaigners Uplift and Greenpeace are challenging Shapps' decision to adopt the UK Offshore Energy Environmental Assessment (OESEA4), the decision to adopt the Climate Compatibility Checkpoint, and the decision that, in light of the checkpoint tests, a 33rd offshore oil and gas licensing round is compatible with the UK climate objectives.
OESEA4 was adopted after a two-month consultation between March and May 2022. The document sets out the Government's plan for further licensing for offshore oil and gas exploration and production, among other things.
The climate compatibility checkpoint was also introduced last year following consultation. The checkpoint aims to evaluate the compatibility of new oil and gas licensing rounds with the UK's Net Zero objectives.
In October 2022, the NSTA opened the 33rd UK Offshore Licensing Round in compliance with the checkpoint. The licensing round mainly concerned four' priority cluster areas' in the Southern North Sea, which the authority said have known hydrocarbons, are close to infrastructure and have the potential to be developed quickly.
But the groups contend that all three decisions are unlawful because they failed to include any consideration of downstream gas (GHG) emissions of further oil and gas licensing rounds, failed to assess reasonable alternatives and failed to explain how the new round is compatible with the UK climate objectives.
A Department for Energy Security and Net Zero spokesperson said: “It’s vital we continue to solidify our energy supply and sovereignty, so we can drive down bills and safeguard our national energy security.
“Our plans to power up Britain include significant investment in new renewable and nuclear projects, but the transition to non-fossil forms of energy cannot happen overnight and even when we’re net zero, we will still need some oil and gas, as recognised by the independent Climate Change Committee.”
Leigh Day solicitor Rowan Smith is representing Uplift.
The hearing is scheduled for 25 and 26 July.
Adam Carey
