Industry groups in north-east Scotland have said the decision on the Jackdaw gas field is “hugely welcome”, but the pending decision on the Rosebank oil field is “every bit as vital”.
Meanwhile, the Scottish Government has called for the Treasury’s income from oil and gas to be placed in a “future generations fund”.
Months of speculation about the Jackdaw offshore development, which is in the North Sea 150 miles to the east of Aberdeen, were brought to an end by the decision on Wednesday morning.
Groups representing the offshore industry have long called for the UK Government to approve the new development, stressing the economic and energy security benefits.
However, environmental groups say there is no case for new drilling if climate commitments are to be met.
Russell Borthwick, chief executive of Aberdeen & Grampian Chamber of Commerce, said: “This is a hugely welcome decision, and exactly the sort of pragmatic call the North Sea has been crying out for.
“Jackdaw is 99.9% complete and, with approval now secured, gas from this field will be flowing into homes up and down the country within weeks.
“This is a direct, tangible boost to the UK’s energy security at a time when it matters most.
“Every molecule of gas we produce in the North Sea, under some of the world’s highest environmental standards, is a molecule we don’t have to import on a tanker from overseas.”
He added: “But Jackdaw cannot be the end of the story. Rosebank is every bit as vital to our energy security and every bit as ready to deliver for the UK supply chain anchored here in the north east of Scotland.
“Government must now move with the same urgency and pragmatism and get Rosebank over the line without further delay.”
The Scottish Government’s energy minister Stephen Gethins said the economic benefits of the Jackdaw field must be felt in Scotland.
He said: “Perhaps the most significant failure of the past half-century of Westminster energy policy has been the failure to establish a futures fund.
“The UK has been almost the only country to discover oil and gas but not deliver a long-term benefit from a finite resource. That must change today.
“It is crucial that all further income from oil and gas resources taken by the UK Treasury is placed in a future generations fund. That would deliver a long-term benefit from a limited resource.”
He continued: “I am sure that the Prime Minister will agree that it is absolutely critical that if any new production goes ahead, then the economic benefits should be felt in Scotland and should be used to bring energy bills down, rather than flowing to plug more short-term spending gaps by the Treasury.
“The UK Government must also replace the Energy Profits Levy with a fair system that protects jobs, energy security and investment in our energy sector.”
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