The proposal, set to be unveiled during a speech in Scotland next month, has ignited a debate regarding its feasibility and potential consequences.
According to The Sunday Times, Labour’s energy plans aim to only borrow funds for investment in green enterprises, with an optimistic projection of creating up to half a million jobs in the renewables industry, including 50,000 in Scotland alone.
The party argues that blocking new licenses for oil and gas exploration in the North Sea is essential in order to achieve climate targets and secure energy sustainability for the future.
A Labour source quoted by The Sunday Times stated, “They will do nothing to cut bills, as the Tories have acknowledged. They undermine our energy security and would drive a coach and horse through our climate targets.”
However, Labour also emphasises that they would continue to utilise existing oil and gas wells in a sustainable manner as the UK transitions towards becoming a “clean energy superpower”.
Gary Smith, General Secretary at GMB Union, argues that curtailing domestic production would heighten dependence on oil and gas imports from the Middle East and Russia.
Smith points out that despite the net zero 2050 target, the UK is expected to rely on fossil fuels for several more decades.
Speaking to the Financial Times, Gary Smith, cautioned against impeding the industry and instead advocated for collaborative efforts with the sector to foster investment in future-oriented green technologies.