UK Government Acknowledges Unlawful Approval of Major Oilfield
In a significant legal development, the UK government has conceded in court that the approval process for the Rosebank oilfield, the largest untapped reserve in the country located off Shetland, was conducted unlawfully. This revelation emerged during a judicial review initiated by climate advocacy groups targeting both Rosebank and the nearby Jackdaw gas field in the North Sea.
Legal Proceedings Highlight Environmental Oversights
During discussions at the Court of Session in Edinburgh, Chris Pirie KC, representing the government, admitted that environmental assessments neglected to consider the climate impact stemming from the combustion of oil and gas extracted from these fields.
The approvals for Rosebank and Jackdaw were granted on September 27, 2023, and June 1, 2022, respectively, under the previous Conservative administration. The government was mandated to evaluate environmental impact assessments that account for emissions related to extracting fossil fuels but failed to include potential greenhouse gases released when these fuels are eventually burned.
In a separate ruling earlier this year, the UK Supreme Court established that both extraction and combustion emissions must be factored into environmental assessments. This ruling has led Greenpeace and Uplift to argue that drilling operations at Rosebank and Jackdaw should be suspended until comprehensive assessments are completed.
The judicial review may lead to a pivotal decision by Sir Keir Starmer’s Labour government regarding whether drilling should proceed.
If approved by Lord Ericht, any pause could prompt Energy Secretary Ed Miliband’s current administration to require additional information on climate impacts before making a renewed decision.
Industry Response and Future Implications
The companies involved—Shell, Equinor, and Ithaca Energy—maintain they should continue drilling based on earlier approvals granted in good faith. Christine O’Neill KC for Shell argued that halting operations temporarily would not only disrupt progress but could effectively terminate the Jackdaw project.
Lord Ericht questioned this assertion; however, O’Neill emphasized that Shell acted lawfully in relying on government consent and should not face penalties for past approvals. She acknowledged an error in law regarding Jackdaw’s approval but argued that determining each project’s contribution to climate change is inherently complex.
As hearings continue, a judgment from Lord Ericht is anticipated in the coming weeks or months. This case underscores ongoing tensions between energy development and environmental stewardship as global leaders gather for climate discussions in Azerbaijan.
Looking forward, how this judicial outcome will influence future energy policies remains uncertain but critical as nations grapple with balancing economic growth and climate responsibilities.