The government is consulting on new guidance for the offshore oil and gas industry following the Supreme Court judgement in the legal challenge over climate emissions brought by Sarah Finch.
The court ruled in June 2024 that planning applications for onshore production should take into account the carbon emissions from using oil and gas, known as scope 3, indirect or downstream emissions.
The judgement was based on the court’s interpretation of a directive, incorporated into UK law, on environmental impact assessments. But the rules for offshore hydrocarbon production are similar.
The government has now decided to develop extra guidance on environmental impact assessments and scope 3 emissions for offshore projects.
The guidance is expected to be published in Spring 2025. In the meantime, some decisions on offshore EIAs will be deferred, the government has said.
What the guidance proposes
Baseline
The consultation says operators should calculate the difference between scope 3 greenhouse gas emissions and a baseline, which describes the current state of the environment.
Relevant scope 3 emissions
The Supreme Court focussed on emissions from burning refined oil. But the guidance suggests operators should consider scope 3 emissions from other activities, such as transport of produced oil and gas and the refining process. They should also explain how scope 3 emissions are estimated.
Significant effects
The judgement ruled that “all likely significant effects” must be assessed. The draft guidance sets out how to evaluate the significance of likely effects of scope 3 emissions on climate.
Other issues
The consultation also sets out guidance on how to consider cumulative effects, mitigation measures and environmental protection objectives.
Consultation responses
The consultation is seeking the views of anyone interested in the offshore oil and gas industry, including trade associations, nature conservation bodies, environmental organisations, government departments, public bodies, academics and lawyers.
Responses should be sent by email to finch.qanda@energysecurity.gov.uk by 8 January 2025.
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