Lord Taylor of Warwick – 2016 Parliamentary Question to the Department for Energy and Climate Change

The below Parliamentary question was asked by Lord Taylor of Warwick on 2016-04-11.

To ask Her Majesty’s Government how they plan to help revive the UK’s oil industry.

Lord Bourne of Aberystwyth

At the Budget, my rt. hon. Friend the Chancellor of the Exchequer announced a radical £1bn package to support the North Sea Oil and Gas industry, including reductions to the headline rates of tax and targeted measures to encourage investment in exploration, infrastructure and late-life assets.

This package will ensure the UK has one of the most competitive tax regimes for oil and gas in the world, safeguarding jobs and investment.

The Budget measures build on the action plan the Prime Minister set out in January to help build a bridge to the future for the industry, which included:

• A £20m package of new investment in exploration, innovation and skills;

• A new Inter-Ministerial Group on Oil and Gas to coordinate the UK’s response to the oil price crash and focus on vital issues such as exports, skills and investment, and;

• Funding for the £250m City Deal Package for Aberdeen, which includes a new energy innovation centre to support exploiting remaining reserves.

In addition, we have established the Oil and Gas Authority (OGA) and it is already helping industry to drive down costs and improve efficiencies. Subject to the will of parliament, the OGA will transition to a fully empowered, strong, independent regulator in summer 2016.