Jackdaw gas field gets green light
The UK government has approved the Jackdaw gas field, expected to boost domestic gas production by 6% and supply homes from this winter, while launching a £2 billion Energy Wealth Fund to invest in renewables and support the green transition.
The Energy Secretary has granted consent for gas production at the Jackdaw field, allowing it to supply British homes and businesses from this winter. The decision follows regulatory assessment and public consultation, with the project expected to increase domestic gas output by around 6% at its peak. This move aims to strengthen the UK’s energy security amid global supply instability and protect hundreds of jobs in the North Sea sector.
The Chancellor announced a new Energy Wealth Fund, starting with a £2 billion investment funded by North Sea oil and gas tax revenues. The fund will support renewable and low-carbon energy projects, helping to reduce reliance on imported fossil fuels and accelerate the green transition. Revenues from existing North Sea fields will continue to flow into the fund over time.
The Jackdaw project was assessed against legally binding carbon emission limits and found compatible with the UK’s net-zero by 2050 target. The Energy Secretary confirmed the decision aligns with the government’s manifesto commitment to manage existing fields without issuing new exploration licences. The project will utilise existing infrastructure and maintain an emissions intensity below the UK average.
The approval follows a Supreme Court ruling requiring environmental impact assessments for oil and gas extraction. The government emphasised that while the UK advances its renewable energy goals, oil and gas will remain part of the energy mix for decades. The decision aims to balance energy security, economic benefits, and climate commitments during the transition to cleaner energy sources.