Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Climate activists challenge Britain's support of North Sea oil and gas producers

07/28/2021 | 02:11am EDT
FILE PHOTO: Drilling rigs are parked up in the Cromarty Firth near Invergordon, Scotland

LONDON (Reuters) - The British High Court has agreed to hear a case by environmental campaigners claiming that the government's support of North Sea oil and gas companies conflicted with its plans to slash the country's carbon emissions by 2050.

The legal challenge revolves around tax breaks oil and gas producers receive in order to help cover costs for dismantling and clearing up ageing infrastructure, in what is known as decommissioning.

The case names as defendants the Oil and Gas Authority (OGA) which oversees the North Sea industry as well as the Secretary of State for Business, Energy and Industrial Strategy (BEIS) Kwasi Kwarteng.

The OGA earlier this year said it will focus on "managing the declining production and maximising value" from the North Sea, one of the world's oldest offshore oil and gas basins, as part of the government's plans to reduce greenhouse gas emissions to net zero by 2050.

The claimants argue that the decommissioning tax breaks are not consistent with the government's net zero emissions targets. Many countries offer producers decommissioning tax relief.

"Instead of using public money to prop up the oil and gas industry, the UK should be funding a just transition that retrains workers and builds the low-carbon industries of the future," Mikaela Loach, one of the three claimants, said in a statement.

The OGA said in a statement that its strategy "which includes net zero requirements on industry, is the primary tool the OGA has to hold industry to account on emission reductions."  

BEIS did not immediately respond to a request for comment.

Royal Dutch Shell and BP, which have both operated in the North Sea for decades, paid no taxes to the British government in 2019 as a result decommissioning tax relief, according to the firms' tax reports.

(Reporting by Ron Bousso; editing by David Evans)


ę Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
LONDON BRENT OIL 0.94% 78.01 Delayed Quote.49.38%
ROYAL DUTCH SHELL PLC 0.11% 17.992 Real-time Quote.23.11%
WTI 0.93% 73.961 Delayed Quote.52.07%
Latest news "Economy & Forex"
05:33pUK warned visa plan to fix truck driver shortage will not solve crunch
RE
05:09pChina welcomes Huawei executive home, Trudeau hugs Canadians freed by Beijing
RE
04:26pChina detains HNA chair, CEO
RE
04:15pChina welcomes Huawei executive home
RE
03:42pDPR, NSCDC arrest 8 illegal LPG dealers in Maiduguri
PU
03:00pU.S. Republican senators slam release of Huawei's Meng
RE
02:44pU.s. cdc says 2.53 mln people received an additional covid-19 vaccine dose since august 13, 2021
RE
02:44pU.s. cdc says delivered 471,821,155 doses of covid-19 vaccine as of sept 25 vs 470,630,875 doses delivered as of sept 24
RE
02:44pU.s. cdc says administered 389,372,689 doses of covid-19 vaccine as of sept 25 vs 388,567,109 doses administered as of sept 24
RE
02:43pU.s. cdc says 213,177,462 individuals have received at least one dose of covid-19 vaccine as of sept 25 vs 212,861,380 individuals as of sept 24
RE
Latest news "Economy & Forex"