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Insider UK
National
Peter A Walker

Most Scots see North Sea energy industry 'as a benefit to economy'

Most Scots think North Sea energy firms benefit the economy - and that the UK should work to supply its own oil and gas.

Some 61% of adults in Scotland think the energy firms operating in British waters have a positive effect on the UK economy, according to Survation research for True North.

Just over 9% of the 1,009 people asked said it had a negative effect, while some 75% of people told the pollster that the UK should meet its demand for oil and gas from domestic production, rather than importing energy from overseas.

Just 11% said it should import to meet demand, while 14% said they did not know.

Fergus Mutch, managing partner at advisory firm True North, said: “Energy firms operating in the North Sea have been much vilified by governments over the past year, and yet people recognise the key role they play in delivering energy security and creating the revenues and high-quality jobs that are so critical to growing our economy.

“And, crucially, it will be these companies which lead the way in delivering the government’s objectives in a transition away from oil and gas towards renewables in the years ahead.

“However, in the here and now, it makes no sense to pull the rug from underneath the energy sector by importing more fossil fuels at a higher cost and carbon footprint, while we have reserves on our doorstep which can satisfy demand and a highly skilled workforce.”

The poll was released on the day the consultation on the Scottish Government’s Energy Strategy and Just Transition ends.

In its current form, it has a presumption against any new exploration in the North Sea for oil or gas.

Mutch said: “By a factor of seven to one, people across Scotland understand this argument — and industry will hope to see a subtle, pragmatic shift in emphasis away from a presumption against oil and gas once the Scottish Government reviews its draft energy strategy.”

The energy strategy also sets out what plans should be for electricity production, including what Holyrood wants from the solar power industry. At the moment, Scotland has about 400 megawatts of solar generation capacity.

But Thomas McMillan, chairman of Solar Energy Scotland, urged the Scottish Government to set a target of between four and six gigawatts - between 10 and 15 times as much - of electricity to be generated from the source by 2030.

McMillan said solar firms in Scotland had “provided the evidence to show how we can deliver” that amount of energy for the grid by the end of the decade, but warned if the “target isn’t set, the grid won’t be scaled up to allow us to make that happen”.

“A solar industry on that scale would mean thousands of new renewables jobs across Scotland alongside lower bills for households and industry alike,” he said.

“It would also mean every effort was being made to decarbonise Scotland’s energy supply. It’s now up to the Scottish Government to make this happen and let solar shine.”

Net Zero Secretary Mairi McAllan said: “Delivering on our climate obligations is an absolute priority for this government, but so too is our unwavering commitment to ensuring the journey to net zero is just.

“This government will never allow to be repeated, that which was done to our mining and steel communities under UK governments of the past.“

She added: “In a climate emergency and as our oil and gas basin is a maturing resource it is right that we take action to deliver a fair, planned and just transition, ensuring the oil and gas sector, and the communities it supports, are helped to transition to a cleaner, greener energy system.

“Our draft energy strategy and just transition plan sets out our vision to deliver this: an energy system that delivers affordable, resilient and clean energy supplies. And we are backing our plans with significant investment.”

A Scottish Government spokesman added that solar power has an “important role to play in Scotland’s transition to net zero” and as part of the consulting on the draft energy strategy people are being asked “whether we should look to set a deployment ambition for solar” and feedback from this will be reviewed.

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