The OGA Strategy places an obligation on the oil and gas industry to assist the Secretary of State in meeting the net zero carbon by 2050 target. The revised Strategy amends the MER UK Strategy.
The main changes to the revised Strategy were:
- Clarifying that net zero is part of MER in the Central Obligation and embedding this change throughout the Strategy in relevant Supporting Obligations and economic definitions
- Including net zero as part of Maximising Economic Recovery (MER) in the Central Obligation and embedding this change throughout the Strategy in relevant Supporting Obligations and economic definitions
- Reinforcing behaviours that enable effective supply chain collaboration
- Including a new governance Supporting Obligation
- Including a new carbon storage Supporting Obligation
- Moving the collaboration ‘Required Action’ to the ‘Supporting Obligations’
- Clarifying how the NSTA will include carbon costs in economic calculations
The NSTA also made several other changes to reflect stewardship and other changes in the basin’s operating environment over the past four years.
Economic recovery of oil and gas need not be in conflict with the transition to net zero, and the oil and gas industry has the skills, technology and capital to help unlock solutions required to help the UK achieve the net zero target.
However, the NSTA takes the view that industry should go considerably faster and farther in reducing its own carbon footprint, or risk losing its social licence to operate. The revised Strategy positions the UK Continental Shelf as a key enabler for the transition towards net zero carbon.
The revised Strategy came into force on 11 February 2021.