Trump proposes that Starmer taps into North Sea oil reserves
The UK government is considering expanding oil projects in the North Sea, following a series of calls from former US President Donald Trump to drill more oil from the region. This decision comes amidst rising energy costs and increasing pressure on the new Labour leader, Keir Starmer, to tackle rising energy bills.
During a press conference at Chequers, Trump urged Starmer to take advantage of the North Sea's oil reserves to lower energy costs. Trump, known for his support of fossil fuels, has often criticised renewable energy, labelling it an 'expensive joke.' However, Starmer has maintained that renewable energy will form part of the UK's energy mix.
Trump's calls for more North Sea drilling are not new. During his visit to his Turnberry golf course in Scotland, Trump criticised taxes hitting energy giants' profits and claimed that oil in surrounding waters is a 'treasure chest' that companies have been discouraged from exploiting.
The British Conservative Party, led by Prime Minister Boris Johnson, has supported the promotion of oil extraction in the North Sea to reduce energy costs. Kemi Badenoch, a prominent Conservative, has stated that the party aims to 'maximize extraction' of oil and gas to lower prices.
Energy costs in the UK are four times higher than the US for industrial users, according to analysts who have blamed a high tax regime and lower production levels in the North Sea for the higher prices. Reform UK, a political party, has pledged to end net zero commitments and all related subsidies for the sector.
Wind energy, on the other hand, accounted for nearly a third of the UK's total electricity generation in 2020. Ed Miliband's Department for Energy Security and Net Zero could allow drilling projects by Equinor and Shell at Rosebank and Jackdaw respectively.
Trump's comments will likely add pressure on Starmer to address energy bills in the UK. Starmer, who has been 'absolutely determined' to lower energy costs for households and businesses, has yet to announce a clear energy policy.
The UK government's decision to ban issuing new oil and gas licences in the North Sea in 2019 remains a contentious issue. Trump, during his tenure, often praised the North Sea as a 'great asset' and criticised the ban on drilling. However, the Prime Minister has indicated that the UK could begin expanding oil projects in the near term.
This is not the first time the US president has challenged Starmer on the North Sea. Trump claimed he did not know Peter Mandelson, who was sacked as ambassador over historic links to Jeffrey Epstein, but he has been vocal in his calls for the Labour leader to utilise the North Sea's oil reserves.
As the UK grapples with rising energy costs and the transition to a more sustainable energy future, the debate over the role of the North Sea in the country's energy mix continues.
