The Progressive Case for Extending North Sea Gas Licences
23rd Mar 2026
My blog this week is different, it is not aimed at the usual EUA audience but is instead directed towards the 400 plus Labour MPs in parliament.
“In the increasingly polarised debate over Britain’s energy future, extending North Sea gas licences is often painted as an abandonment of climate ambition. But a progressive reading of the evidence suggests the opposite: carefully managed extensions can support workers, safeguard energy security, and accelerate not hinder the transition to clean energy.
“First, extending existing licences can help protect jobs and communities at risk from abrupt shifts in national energy policy. Trade unions including GMB and Unite have warned that a sudden halt to domestic production could put workers at risk and increase reliance on imports, with serious implications for national security and energy affordability. They are not defending fossil fuels for the sake of it; they are defending workers, skills, and communities. A progressive strategy must ensure that thousands of people currently working in the North Sea are not left behind as the UK decarbonises.
“Second, domestic production under extended licences can help stabilise energy supply during a period of geopolitical volatility. The UK still faces a large balance of payments deficit driven in part by imported fuel, the majority ironically from the Norwegian side of the North Sea. The continuing to use the North Sea as a transitional resource reduces this dependence while supporting the shift toward renewables such as offshore wind, which the North Sea is uniquely positioned to expand at scale.
“Third, extending licences does not conflict with a clean‑energy future when done under a regulated, transitional framework. The carbon footprint of piped gas from the North Sea is lower than imported LNG from the US. And revenue earned from UK gas extraction, including income tax from the workforce, can bolster the UK’s finances and be spent on priorities such as the NHS, defence and even student loan support.
“A progressive case for extending licences is therefore not about clinging to the past. It is about protecting people, ensuring energy security, and using the remaining value of the North Sea to fund the clean‑energy industries of tomorrow.”
Mike Foster
EUA's Chief Executive
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