The result of the Conservative Party members ballot, at 12.40pm, confirmed that Liz Truss will be the UK’s new prime minister.
There have been reports that Ms Truss is considering a £100bn package to help households with rising energy bills. But there has been no detail or confirmation.
We’re compiling reaction to the election from people and organisations with an interest in onshore oil and gas. We will update throughout the day as we get more comments.
Ms Truss, a member of the government since 2012 and a former management accountant for Shell, received 81,326 votes, 47% of eligible Conservative members. Her rival, Rishi Sunak, got 60,399 votes.
“Strengthen windfall tax on excess profits”
Dave Timms, head of political affairs at Friends of the Earth, said:
“As our new prime minister, Liz Truss will have to get in step with the majority of people who are dreading a devastating winter of soaring fuel and food bills, amid a spiralling cost of living crisis.
“This means putting people and the planet first by strengthening the windfall tax on the excess profits of oil and gas giants to fund a package of emergency support and energy efficiency measures.
“It’s saying no to lifting the ban on fracking, no to new coal and no to exploiting more North Sea oil and gas. These out of touch, short-sighted proposals will do little to tackle the energy crisis and will only lock us into expensive and polluting fossil fuels for decades to come.
“Truss has the solutions to address both the energy and climate crises at her fingertips. Her first actions must be immediate targeted support and investing in a nationwide, street-by-street home insulation programme, which could save millions of people £1,000 or more on their energy bills.
“Energy efficiency measures and cheap renewables are the best fixes for boosting energy security and bringing down fuel bills – they’re quick to develop and are universally popular with the public.”
IGas shares up
Shares in the shale gas company, IGas, rose more than 18% this morning to more than 96p.
“Need to freeze energy bills”
The Labour leader, Keir Starmer, said:
“I’d like to congratulate our next Prime Minister Liz Truss as she prepares for office. But after 12 years of the Tories all we have to show for it is low wages, high prices, and a Tory cost of living crisis. Only Labour can deliver the fresh start our country needs.”
Responding to reports that Liz Truss was considering freezing energy prices, Keir Starmer commented before the announcement:
We need to freeze energy bills, that’s why Labour set that out very, very clearly, weeks ago now. So I want to see that happen. It’s very important that it’s very clear who pays for this, we’ve been clear that oil and gas companies who’ve made excess profits this year should have a windfall tax, which would then pay for the energy freeze.
So yes, we want an energy freeze. It’s vital for families and households across the country. I want to see that happen. There’s no justification for an incoming prime minister not doing it, because the political will is there across the political parties.
Shale gas industry congratulations
The onshore industry organisation, UKOOG, tweeted congratulations to the new party leader. UKOOG has been pushing for relaxation of the earthquake limits on fracking and proposals for fast-tracking shale gas schemes through the planning system.
Green Party MP Caroline Lucas tweeted
Just when we see the back of a law-breaking, Parliament-proroguing, office-abusing PM in Boris Johnson – he’s replaced by a climate-wrecking, handout-refusing, redistribution-opposing, Brexit ideologue PM in @trussliz— Caroline Lucas (@CarolineLucas) September 5, 2022
Buckle up, it’s going to be a rough ride #ToryLeadershipRace
“Disaster for UK and climate”
Green Party co-leader, Carla Denyer, said:
“Liz Truss being selected to become prime minister, by such a small and unrepresentative group of people, is a disaster for the UK and the climate. The reported plans to encourage the oil and gas industry will do nothing to help households as they struggle with eye-watering energy bills.”
Greenpeace UK said the priorities for the new prime minister would be to freeze energy bills, insulate homes, no new oil and gas developments and rapidly expand cheaper renewables.
“Freeze energy bills”
Scotland’s first minister tweeted:
Congratulations to Liz Truss. Our political differences are deep, but I will seek to build a good working relationship with her as I did with last 3 PMs.— Nicola Sturgeon (@NicolaSturgeon) September 5, 2022
She must now freeze energy bills for people & businesses, deliver more cash support, and increase funding for public services
“Beware of creating stranded assets”
Sam Hall, of the Conservative Environment Network, said:
“Liz Truss will take office at a time of multiple crises with environmental issues at their core.”
He referred her to the organisation’s blog which sets out what it thinks she should do. It warned new oil and gas developments would take “several years for new exploration to result in production”.
“For that reason, she should be wary of creating stranded assets at a time when oil and gas demand will fall sharply, thanks to Putin’s war in Ukraine putting rocket-boosters under European decarbonisation. In addition, the maturity of the North Sea basin means UK production costs are higher than elsewhere.”
“Follow-through on promises”
Union Jack Oil, which has investments in the Wressle site in Lincolnshire, and West Newton in East Yorkshire, tweeted:
#ujo— Union Jack Oil plc (@UnionJackOilplc) September 5, 2022
We are not in the business of politics, but it would be very nice to see Liz Truss follow through on her promises to the oil and gas industry. With Biscathorpe needing approval next month, support within government for hydrocarbon extraction will see it happen! 💪
UKOG shares up
Shares in UK Oil & Gas, which has repeatedly said it is not a fracking company, rose 21% during the morning to 0.1p.
“Good time to become a divestment campaigner”
UK Divest responded:
“Ex-Shell Liz Truss wants to approve 130 new oil and gas licenses which will fuel the cost of living crisis and climate breakdown. If you’re not a divestment campaigner, now’s as good a time as any to start.”
“New oil and gas licences won’t help”
The Stop Cambo campaign against new drilling in the Cambo field off Shetland tweeted:
YES! Liz Truss wants to approve 130 new oil and gas licenses, which will do NOTHING to address the:— StopCambo #StopJackdaw (@StopCambo) September 5, 2022
💸Cost of living crisis
At a time when we need action more than ever, more oil and gas will only make things worse.
Total #girlboss move 👏
“Clean energy answers”
Labour’s energy spokesperson, Ed Miliband, tweeted:
“The answer to the fossil fuel crisis is a clean energy sprint. Solar and wind energy are currently nine times cheaper than gas. But Truss wants to block solar, says nothing about lifting the onshore wind ban, not the mission we need to insulate homes.”