Scottish Government asked to review oil policy

The Scottish government has been urged to ditch its “reckless” policy of being against oil and gas production in its upcoming energy strategy amid fears a crucial North Sea pipeline network is facing possible closure a decade earlier than planned.

In parliament, North East MSP Liam Kerr warned that the Scottish Government’s hostility towards the industry could sound the early death knell for the Forties Pipeline System following the closure of the Grangemouth oil refinery.

It comes as Ineos chief executive Andrew Gardner warned the Forties Pipeline System, which connects 80 offshore gas and oil fields to the UK mainland, may shut down as early as 2030.

The pipeline enables 29% of the UK’s oil and 30% of its gas to reach customers and was expected to keep running until the mid-2040s.

However, daily flows have plummeted from 1 million barrels of oil a day to just 200,000 and are set to fall further following rising tax raids and the drilling bans proposed by both Labour and the SNP.

At General Questions in the Scottish Parliament, Mr Kerr called on economy secretary Kate Forbes to confirm if the SNP’s policy of being against oil and gas production will remain in the Scottish Government’s energy strategy, which is due to be published.

He said: “The cabinet secretary’s complacency is extremely concerning.

“Industry voices and experts warn the Forties Pipeline, which connects 80 fields to the mainland and enables around 59% of oil and gas to reach customers, may shut down as early as 2030 due to the fiscal and licencing regime being pursued by both Scotland’s Governments.

“The GMB says both governments have taken a ‘hostile fundamentally dishonest position on the realities of oil and gas’.

“So will the cabinet secretary be honest, tell us when the delayed, discredited draft energy strategy finally be published and will the deeply damaging presumption against oil and gas be removed?”

In her response, Kate Forbes refused to give a date on when the energy strategy will be published.

She added: “This government is concerned about energy security and believes we should do everything in our power to support the transition.”

Scottish Conservative North East MSP Liam Kerr later said: “The SNP are betraying the North East by abandoning the oil and gas industry and Kate Forbes’ abject response will do little to improve confidence within the sector.

“No matter how much Kate Forbes tries to deflect, the SNP continue to suffocate the industry by opposing every new North Sea development.

“In the publication of the upcoming energy strategy, Kate Forbes and the SNP must drop the irresponsible playground politics, back North Sea oil and gas and safeguard our energy security.”

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