Offshore emissions reduction of 50% by 2030 ‘appears within reach’ – regulator

A target to reduce emissions in the UK’s offshore energy sector “appears within reach”, a report has said, as a further drop of 4% was logged.

Regulator the North Sea Transition Authority (NSTA) is tasked with monitoring the emissions caused by production in the UK Continental Shelf (UKCS).

According to a report released on Tuesday, greenhouse gas emissions dropped by 4% in 2023, marking a 28% reduction in the previous five years.

But the average emissions per barrel of oil produced increased, from 22 kilogrammes of carbon dioxide to 24 kg, although this increase is expected as offshore basins mature, according to the NSTA.

North Sea producers have committed to reach net zero by 2050, with interim targets including a 90% drop by 2040 and 50% by 2030, with achieving the goals described as being “vital” to “preserve widespread support for the sector”.

The first of these interim targets, the report found, is close to being made.

“In the NSTA Business as Usual scenario (BAU) – which carries forward implemented measures, but assumes no further abatement to create a baseline – achieving the 2030 target of 50% appears within reach, which is a great testament to the work already done, but just one step on the way and does not diminish the urgency of further abatement,” the report said.

But it added: “While the NSTA recognises that operators have done impressive work, the 2030 target is the absolute minimum and further action is required to ensure that industry gets on long-term emission reduction pathways, and also meets and surpasses its targets.

“Rapid and sustained emissions reduction continues to be critical, as operators will need to deliver reductions long after 2030.

“They are already making decisions that will impact their ability to meet commitments up to and beyond the end of this decade and play their part in supporting the government on net zero.”

About half of the reductions achieved between 2018 and 2023, the report said, were related to active measures taken by the regulator and producers, while the other half related to production ceasing or nearing cessation.

Of the emissions generated in 2023, 79% related to energy generation for offshore assets, while 17% related to flaring and 3% related to venting.

Hedvig Ljungerud, the director of strategy at the NSTA, urged producers to continue to take action to clean up their work.

“Cutting greenhouse gas emissions by more than a quarter in five years is an impressive achievement in the North Sea, where operators have taken real action and made substantial investments,” she said.

“However, for domestic production to be justified, it must continue to become cleaner.

“The NSTA will hold industry to account on emissions reductions, including on decisions today that could have an impact for decades to come, to ensure the nation can benefit from its domestic resource even as we transition.”

But with the offshore sector accounting for just over 3% of the UK’s total emissions and gas imported by pipeline from Norway being cleaner than domestic production, the report added there was still “potential for improvement”.

Mark Wilson, the operations director at OEUK – a body which represents hundreds of firms working in the North Sea – said action to cut emissions had been “commendable”, adding: “It is recognised though, that there is work to be done.

“While there is a need for renewable energies in the energy transition, we will still need oil and gas for decades to come.

“There is currently an unnecessary decline in oil and gas production, and this requires to be addressed with supportive policies and the unlocking of investment.

“We need to prioritise a homegrown energy transition leveraging the expertise of our skilled workforce, over carbon intensive imports.

“To accelerate our journey to a net-zero future, we should ensure a transition that is fair, secure, and sustainable, ensuring energy independence.”