UK Court Rules Rosebank Oilfield Development Unlawful Over Climate Concerns

The decision to greenlight a giant new oilfield off Shetland has been ruled unlawful by the courts in a major win for environmental campaigners.

The proposed Rosebank development - the UK's biggest untapped oilfield - had been given the go-ahead in 2023 under the previous government.

However, on Thursday, the court of session in Edinburgh sided with campaigners and climate experts, ruling that the original decisions to permit Rosebank and a second, smaller gas field called Jackdaw were unlawful, as they had not taken into account the carbon emissions created by burning any oil and gas produced.

Tessa Khan, from the campaign group Uplift, which has been at the forefront of the campaign to stop Rosebank, described the court ruling as a significant milestone. "This means that Rosebank cannot go ahead without accounting for its enormous climate harm," she stated.

Philip Evans, from Greenpeace, which, alongside Uplift, challenged the Rosebank and Jackdaw projects, characterised the judgment as "a historic win".

"The age of governments approving new drilling sites by ignoring their climate impacts is over," he said, adding that the courts agreed with climate campaigners: “Rosebank and Jackdaw are unlawful, and their full climate impacts must now be properly considered.”

Campaigners contended there was no economic, energy security, or climate rationale for drilling for more oil and gas in the North Sea, as the majority of any oil produced is sold on international markets and does not contribute to energy security for British consumers. The International Energy Agency has emphasised that no new oil and gas exploration should occur if the world aims to limit global heating to 1.5C above preindustrial temperatures.

Instead, trade unions and climate justice campaigners advocate for government investment in renewable energy to meet climate goals, support oil workers and their communities, and provide secure, affordable energy.

James Alexander, the chief executive of the UK Sustainable Investment and Finance Association, supported this call, stating that renewable energy is the "UK's key growth sector of the future". He urged focus on upskilling efforts and attracting private investment.

Thursday's ruling means the decisions regarding Jackdaw and Rosebank will return to the UK government, which has promised not to grant new licences for oil and gas in the dwindling North Sea basin. However, this does not preclude granting "production licences", which both Rosebank and Jackdaw would require.

A spokesperson for the Department for Energy Security and Net Zero (DESNZ) indicated that the government had already consulted on revised environmental guidance to consider emissions from burning extracted oil and gas, and is expected to report back in spring.

They further stated: "We will respond to this consultation as soon as possible, and developers will be able to apply for consents under this revised regime. Our priority is to deliver a fair, orderly and prosperous transition in the North Sea in line with our climate and legal obligations, which drives towards our clean energy future of energy security, lower bills, and good, long-term jobs."

A spokesperson for Equinor welcomed the judgment, allowing continued preparatory work on the Rosebank field while prohibiting drilling, asserting it would generate investment and jobs for the UK.

A spokesperson for Shell, the firm behind the Jackdaw field, also welcomed the decision, emphasising that it permits ongoing preparatory work while new consents are being sought. They stated urgent government action is needed for operators to make decisions about crucial UK energy infrastructure.

They noted that if Jackdaw proceeds, it would provide "enough fuel to heat 1.4 million UK homes," amid declining production from older gas fields and increasing reliance on imported gas.

Contrarily, Lauren MacDonald from the Stop Rosebank campaign argued that oil and gas companies do not prioritise Scotland’s interests. "Almost all of Rosebank's oil would be sold overseas, doing nothing to lower our bills or make us more secure," she claimed, adding that most profits would benefit the state-backed Norwegian firm, Equinor. "It's not fair that people here are now suffering the impacts of climate change, driven by fossil fuels, which will only worsen if companies are permitted to establish large new drilling sites."