Miliband Concedes to Pressure on North Sea Drilling Policy

Energy Secretary Ed Miliband is preparing to approve development at the Jackdaw gasfield. Industry sources say the move responds to mounting concerns about supply and rising costs.

What the Jackdaw decision would mean

Jackdaw could provide gas to more than one million homes this coming winter. It would be the first North Sea drilling approval in nearly ten years.

Officials say the Iran war has intensified worries about energy security. Energy bosses and manufacturers urged faster domestic production.

Cost pressures on households and industry

Cornwall Insight forecasts household energy bills will rise about 18 percent after June. It predicts the price cap will increase by roughly £288.

Thousands of manufacturers pressed the government to act. Octopus Energy chief Greg Jackson warned against continued “wishful thinking” on energy.

Political and legal background

The Jackdaw licence has been in limbo since a 2024 High Court ruling. The court found the licence understated the field’s carbon footprint.

The project is under assessment by the Offshore Petroleum Regulator for Environment and Decommissioning. Ministers are unlikely to make a final call before May local elections.

Prime Minister Keir Starmer said he cannot approve drilling projects. He said that responsibility rests with the energy secretary.

Net zero tensions and other fields

Reports indicate Miliband no longer sees Jackdaw as incompatible with net zero targets. He still opposes exploiting oil reserves at Rosebank.

The energy secretary has previously described Rosebank development as an act of “climate vandalism”. That stance remains firm.

Industry demands and party politics

The Conservative Party vowed to scrap certain carbon taxes to ease costs for refineries and firms. Ineos chief Sir Jim Ratcliffe backed that proposal.

Ratcliffe has criticised the Emissions Trading Scheme, arguing it harms manufacturing. Trade body Make UK urged drilling in Britain’s largest oil field to avert a crisis.

Analysts say Mr Miliband appears to have conceded to mounting pressure on North Sea drilling policy. Filmogaz.com will monitor further developments.