North Sea Transition Deal lays foundation for innovation investment

North Sea Transition Deal lays foundation for innovation investment

Former Conservative prime minister Harold Macmillan's “middle way” and New Labour's “third way” describe an approach that seeks to occupy the “radical centre” between two extremes.

This week, the UK Government and OGUK chartered a course for a similar pragmatic balance through the landmark North Sea Transition Deal.

The deal is the first of its kind by any G7 country. It will deliver a major acceleration in low-carbon energy technology to ensure the UK is net zero by 2050, whilst ensuring offshore oil and gas continues to power our homes, hospitals and the economy, in an increasingly environmentally friendly way.

By signing the deal, industry commits to dramatically cutting its emissions – 25% less by 2027 and 50% by 2030. In total, oil and gas will deliver a 60 million tonne drop in emissions – equivalent to taking 2.5m cars off the road. This will show the UK oil and gas sector really is setting the standard to the world on operating in a responsible, climate-friendly way.

The government commits to providing an internationally competitive playing field to ensure the UK Continental Shelf remains attractive to investors for decades to come.

This is absolutely crucial. As UN special envoy on climate action and finance Mark