A decision on whether to proceed with the development of the giant Jackdaw North Sea gas field has moved a step closer with the launch of a public consultation. The offshore regulator has set a deadline of August 10 for submissions on commencing production at the site.
The project, spearheaded by Adura, a joint venture between Shell and Equinor, is presented as a measure to strengthen the UK's energy security and support jobs. An updated environmental impact assessment submitted for the project states that it will not "materially influence" greenhouse gas emissions. The assessment estimates that the Jackdaw field, alongside the Rosebank oil field, could contribute £28.7 billion to the economy and generate £1.8 billion in tax revenues by the end of the current parliamentary term.
Neil McCulloch, chief executive of Adura, stated that "Jackdaw is ready to make a major contribution to Britain’s energy needs by this winter." He added that the project, along with Rosebank, represents a significant economic opportunity and can help meet Britain's energy demands with lower associated emissions and within existing carbon budgets. Adura claims both projects have high economic intensity and lower carbon intensity compared to alternatives.
The Jackdaw project had previously received approval from the UK Government and the industry regulator in 2022. However, a ruling by the Court of Session in Edinburgh found that the consent was granted unlawfully, requiring developers to seek fresh approval. The Offshore Petroleum Regulator for Environment and Decommissioning has now opened the public consultation period.
Andrew Bowie, the Shadow Scottish Secretary, described the consultation's opening as a "pivotal moment" for the North Sea oil and gas industry. He noted that the development, which he stated Conservatives have supported, could create 3,500 jobs during construction and sustain 880 jobs throughout production.
The UK Government has confirmed that Energy Security Secretary Ed Miliband will consider the representations received during the consultation period when deciding whether to grant consent for the project. The environmental impact assessment indicated that the development would account for 0.02 percent of global greenhouse gas emissions, suggesting it would not materially influence future global greenhouse gas levels. The report also stated that the project aligns with measures necessary for achieving net zero.
Conversely, Tessa Khan, executive director of Uplift, has expressed skepticism, stating that the development will "have no impact on our energy bills and do precious little to increase our gas supply." Jack Middleton, an SNP MSP, acknowledged some "optimism in the industry" with the project moving into the consultation phase and has urged for the removal of the energy profits levy, which he claims is contributing to job losses.