Liz Truss is ready to trigger a North Sea oil mini-boom if she becomes Prime Minister in a bid to convince energy companies they need to do more on the cost of living crisis.
The Tory leadership frontrunner, who is expected to be confirmed as PM next Monday, is set to awarded as many as 130 new drilling licences for oil and gas in the North Sea, according to reports.
The exploration licences will allow energy giants to chase the remaining estimated 15 billion barrels of gas and oil under the seas around the UK coast and would guarantee the 26,000 jobs in the sector based around Aberdeen.
Such a move would outrage climate change campaigners and do little to bring down the price of energy for consumers this winter.
But Truss’s team, led by Business Secretary Kwasi Kwarteng, could be negotiating a deal that will see energy companies plough their profits back into investment and to the immediate price crisis.
Last week British Gas announced that it will donate ten per cent of its profits to help its poorer customers manage rising gas and electricity bills.
Truss could be lining up oil and gas companies to announce a similar scheme as part of her still to be announced to plans to deal with the energy crisis.
Truss’s camp say she will not finalise her plans for crucial cost-of-living support before receiving the “full support and advice” leaving the public waiting to find out what help they will get with skyrocketing energy bills.
A campaign source said: “Liz and her team are working to ensure that they are able to hit the ground running if she is elected Prime Minister.”
The Tory leadership frontrunner has been accused by Labour of causing families “unnecessary worry” with her “flip-flopping” on potential measures to deal with the cost-of-living crisis.
Labour Party chairwoman Anneliese Dodds said oil drilling is not the answer to getting the cost of those bills down this winter.
On energy security, Dodds added: “We’ve set out plans to make sure that we would be having no more blockages on the delivery of domestic nuclear, we would be sprinting ahead with renewables for example onshore wind.”
Scottish Greens Environment spokesperson, Mark Ruskell MSP, said: “The science is clear. The climate crisis is the greatest crisis that will be faced by this generation or future generations. It needs radical action, not more climate vandalism from the Tories.
“We can't drill our way out of environmental breakdown and Liz Truss’s proposals will do nothing to reduce household bills. We already have more oil and gas in current production than we can safely burn to keep to our climate commitments.”
“We are approaching the end of the age of oil and gas, and the next Prime Minister must plan accordingly. That means revoking the Cambo licences and ensuring no new oil and gas licences whatsoever.”
"The UN has warned that it is code red for humanity, and governments need to start acting like it. Last year global leaders came together for COP 26, where they promised the earth. It is only nine months later and many of the warm words have turned to dust.”
"What we need is a major investment in renewable energy. If the next PM is to play their part in averting climate disaster they must divert the support that is being targeted at oil and gas towards the green industries of the future."
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