What action should the UK government take to support the oil and gas industry?
There are encouraging signs Scotland’s oil and gas industry is emerging from its recent downturn, thanks to the efforts of the men and women who have made it an international success story. Despite raising £330 billion in tax revenues for the UK Treasury, Westminster has repeatedly failed to provide adequate support for the industry and the families which depend upon it.
We will press the UK government to deliver a strong deal for the oil and gas sector. This must include targeted incentives to develop small pool discoveries, as well as further support to stimulate exploration activity and loan guarantees for critical infrastructure – measures which were promised in the UK Government’s 2016 Budget but have not been delivered.
We will work to ensure the UK government takes appropriate action on the taxation of late life oil and gas assets. They will also urge the UK government to provide incentives for oil and gas companies diversifying into renewables.
Scotland is uniquely well placed to capitalise on the opportunities presented by onshore decommissioning work. But we must have the right infrastructure in the right place. SNP support has already led to major investment at Dales Voe in Shetland. Our MPs will fight to win UK government investment and ensure Scotland is home to the UK’s first ultra-deep water decommissioning port and associated facilities.
Building on initiatives such as the Scottish Government’s Decommissioning Challenge Fund, and working closely with the industry and regulator, the SNP will seek to ensure our supply chain companies are strongly placed to compete effectively for contracts associated with decommissioning.