Offshore Energies UK warns of risks to UK energy security

A report from Offshore Energies UK (OEUK) warns that the United Kingdom faces significant economic and energy security risks due to declining domestic energy production. The industry group argues that reforming the current fiscal and regulatory frameworks could unlock approximately £50 billion in new investment and support 111 viable projects, including the Rosebank and Jackdaw fields.

OEUK suggests that scrapping the Energy Profits Levy (EPL) windfall tax by next January, rather than waiting until 2030, could help the UK meet up to half of its oil and gas needs domestically, reducing reliance on imports. The report notes that the UK currently imports over 40% of its energy and spent £84 billion on foreign energy last year. Furthermore, the offshore industry supports roughly 245,000 jobs and generates £36.7 billion in annual gross value added.

While the industry emphasizes the potential for £105 billion in offshore renewable energy projects over the next decade, environmental group Uplift has criticized the report, labeling its claims a “fantasy” and urging the government to reject what they describe as the “self-interested demands” of oil companies.