OGA Says Social License to Operate Under Threat

OGA Says Social License to Operate Under Threat
The chairman of the UK's Oil and Gas Authority said the oil and gas industry's social license to operate is under serious threat.

The chairman of the UK’s Oil and Gas Authority (OGA) said the oil and gas industry's social license to operate is under serious threat and added that the sector must do more to help solve the challenges of climate change and the drive to net zero.

Tim Eggar called on industry to act much faster and go farther in reducing its carbon footprint. He also suggested industry would need to develop a package of measures, including:

  • A commitment to clear measurable greenhouse gas targets by the offshore sector.
  • Progress on carbon capture and storage.
  • Progress on energy integration opportunities.
  • An acceleration of the move to ensure there is a diverse array of skills and people for the long-term energy offshore and supply industry.

The OGA’s role is to regulate, influence and promote the UK oil and gas industry in order to maximize the economic recovery of the UK’s oil and gas resources, according to its website. Eggar has been chairman of the OGA for 10 months.

On Thursday, climate activist group Extinction Rebellion blocked the entrances of Shell’s offices in Aberdeen. On January 12 the group blocked a Shell petrol station in Glasgow and on January 6 the group boarded a gas rig in Dundee.

When asked to comment on the protest today, a Shell spokesperson told Rigzone, “the heightened awareness of climate change that we have seen over recent months is a good thing”.

“As a company, we agree that urgent action is needed. What will really accelerate change is effective policy, investment in technology innovation and deployment and changing customer behaviour,” the spokesperson added.

“As society moves to a lower-carbon future, we are committed to playing our part, by addressing our own emissions and helping customers to reduce theirs - because we all have a role to play,” the spokesperson continued.

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