David Cameron’s 2014 commitment to go ‘all out for shale gas’ may have been a controversial one, but now he has secured power this could be huge news for the oil and gas industry in the UK.
The results are in, and Conservative leader David Cameron will return to Downing Street as Prime Minister after leading his party to an overall majority in a shock result at this year’s general election.
Many believed the days of a single-party government were over, but Cameron and the Tories have surpassed the 326 seats needed to secure victory for the party, with former coalition partners the Liberal Democrats winning just eight seats.
Energy policies did not appear a priority during campaigning, but there is no doubt that the outcome of this election will have a massive effect on the energy industry for at least the next five years. The budget announcement earlier this year supported continued investment in the North Sea with tax cuts and policies amounting to £1.3 billion of aid for the sector, and it would appear the Conservatives will further support the oil and gas industry now they are alone in parliament.
Energy Secretary loses seat
Ed Davey, the UK’s Energy Secretary and a member of the Liberal Democrat party, lost his seat in parliament to Conservative rival James Berry. The Liberal Democrats had campaigned with ‘Keep Britain Green’ energy policies, aiming to reduce carbon emissions by at least 40% by 2030. They also intended to boost investment in renewable energy, having set up the Green Investment Bank which invested public money into renewable projects in a manner similar to a private investor.
The Conservatives, however, have promised to remove all new subsidies for wind farm technology, thereby ‘halting the spread’ of onshore wind. Cameron has said he will back ‘good value’ green energy and continue to support the UK Climate Change act, but the UK awaits his final policies surrounding renewable energy.
‘All out for shale gas’
Cameron’s 2014 commitment to go ‘all out for shale gas’ may have been a controversial one, but now he has secured power this could be huge news for the oil and gas industry in the UK. Estimates suggest up to £6 billion of shale gas annually could be produced in Lancashire for the next three decades.