The Court of Session has given the green light to two legal challenges against the decision to approve the new Rosebank oil and gas field in the North Sea.
Permission has been granted to drill in the untapped field off Shetland, despite the objections of environmental groups.
Uplift and Greenpeace UK both applied to the Court of Session in Edinburgh for judicial reviews of the decisions made by the energy secretary under the Conservative government and by the oil and gas regulator, the North Sea Transition Authority (NSTA), to grant consent to the project last year.
In August the UK government announced that it would not seek to fight the legal challenge, with Norwegian state-owned oil giant, Equinor, and its partner, UK-based Ithaca Energy, to defend the field as Rosebank’s owners.
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That came after the Supreme Court issued a ruling in June that the climate impact of burning coal, oil and gas must be taken into account when decisions are made to approve fossil fuel projects.
If Uplift and Greenpeace are successful in their challenge, the owners will be forced to resubmit environmental assessments and the development would likely only go ahead if the UK government issues a new licence consistent with the law.
The Court of Session agreed to hear Uplift's case for a judicial review on all of the grounds argued.
Uplift’s application argues that the UK government failed to take into account the “scope three” downstream emissions from burning Rosebank’s oil and gas and their contribution to climate change.
The application states that the Energy Secretary’s consent for Rosebank was based on Equinor’s Environmental Impact Assessment (EIA), which deliberately excluded consideration of downstream emissions. It says this is irrational: “Carbon emissions will be an inevitable consequence of allowing extraction. The hydrocarbons would not be extracted if they were not going to be consumed.”
Uplift separately argues that approval of Rosebank is incompatible with the UK’s legally binding target of achieving net zero emissions by 2050.
Uplift also highlights what it says are breaches of the Marine and Coastal Access Act 2009, and argues that the North Sea Transition Authority’s approval of Rosebank was procedurally unfair and irrational because it gave no reasons for giving its consent.
Tessa Khan, climate lawyer and executive director of Uplift, said: “Rosebank is a bad deal for Britain so it’s a relief that the arguments against it will now get a fair hearing in court.
"Now the government accepts the decision to approve the field was unlawful, the oil and gas companies that own Rosebank are alone in trying to drive this disastrous project through court.
“Rosebank would do nothing to lower bills or boost our energy security as most of its oil would be exported and, because of huge tax breaks for new drilling, the UK public would effectively cover a huge chunk of the costs of developing it. It won’t provide long-term security for oil and gas workers and their communities, who want good clean energy jobs that have a future.
“The stakes in this case should not be underestimated. Experts have long warned that there can be no new oil and gas developments if we’re to have a hope of staying within safe climate limits. With every passing month, the evidence against a huge project like Rosebank mounts up, whether that’s months of flooded fields damaging UK food production, or extreme temperatures and lethal flooding across Europe. This case is about protecting ourselves against the worsening climate crisis and putting an end to oil and gas industry profiteering.”
The Rosebank project estimated to produce up to 500 million barrels of oil equivalent over its lifetime.
Campaigners say it will emit more CO² than the world’s 28 lowest-income countries combined do in a year, while doing nothing to reduce energy bills as most of its oil and gas will be exported.
The UK Government admitted in January "due to UK refinery specifications and global market conditions, around 80% of the oil produced in the UK is refined overseas". Equinor says energy will "ultimately end up in the UK grid".
A spokesperson for Equinor said: "Equinor – in principle – does not comment on ongoing litigation. Equinor welcomed regulatory approvals for the Rosebank development in 2023 and will continue to work closely with all relevant parties to progress the project.
"It is vital for the UK and will bring benefits in terms of local investment, jobs and energy security."
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