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John Swinney vows to keep BP in Aberdeen as energy giant ‘considers exit’ from North Sea

John Swinney vows to keep BP in Aberdeen as energy giant ‘considers exit’ from North Sea

The SNP leader was in Aberdeen on the campaign trail ahead of the elections as he addressed the concerning rumours.

First Minister John Swinney vows to push Downing Street into axing the “damaging” windfall tax and ensure crucial energy operators like BP continue investing in Aberdeen.

Reports this weekend indicated the energy giant has begun an internal review of its north-east operations – though a final decision is yet to be made.

BP is one of the biggest energy companies in the region, supporting about 1,000 jobs from its headquarters in Aberdeen.

The firm had announced plans to ditch its base in Dyce and relocate to a smaller office building in 2023.

These were later thrown out and company bosses stressed their commitment to keeping their operations in the North Sea.

But according to Bloomberg News reports, the company’s future in Aberdeen could be at stake as part of efforts to ​cut debt and refocus on higher-return oil and gas projects.

John Swinney on BP exit worries

Mr Swinney expressed his grave concern about BP’s potential exit while campaigning in Aberdeen ahead of Thursday’s Holyrood election.

He spent the morning chatting to voters at Hazlehead Park, with various senior Aberdeen members of the party.

The SNP’s leader in Westminster Stephen Flynn, who is standing in this ward, was also present but not made available for interviews.

After speaking with a few locals, he offered his take on the news emerging this weekend about BP.

“They’re an important company in the North Sea sector,” he said.

“I have regular discussions with BP and I want the company to know that I’m keen to make sure they are able to continue their operations in the north-east.

“I think the root of the problem here is the Energy Profits Levy, which has been causing damage for some time.

“The damage is now acute and I’ve made the point directly to the Prime Minister that EPL has got to be removed. I think it’s totally counterproductive.

“So I would want to reassure members of the public and BP of my determination to make sure EPL is removed and I’ll press that case with the UK Government.”

Can the Scottish Government help?

The SNP had previously opposed new drilling in the North Sea.

However, Mr Swinney appears to have softened his party’s stance, saying that energy security must be considered, along with the impact on the climate.

Even though Westminster controls North Sea licencing, industry leaders have stressed the “powerful voice” of the Scottish Government must be heard.

Mr Swinney told The P&J: “We still have a need for oil and gas for decades to come but the sector is declining far too fast.

“There hasn’t been a sufficiently dynamic increase in renewable activity because some of the big constraining issues are access to the grid, which are issues under the control of the UK Government.”

But what about issues the Scottish Government can control?

SNP to boost ETZ by tens of millions’

The SNP leader vowed that, if re-elected, his party would work within the powers it has to boost the industry – with investment in the Energy Transition Zone.

Last year, he pledged to match the £40 million being ploughed into the scheme by Sir Ian Wood if the Nationalists remain in power.

“We’ve got to take steps to manage that transition more effectively,” Mr Swinney said.

He added that new drilling would be based on whether that has a larger carbon imprint than importing from abroad.

But he appears not to be fundamentally opposed to the idea.

He concluded: “I would rather that we consider the use of our own resources in contrast to importing, if we can justify that on environmental grounds.

“And we’ve got to be mindful of the importance of energy security considerations in all of these decisions that we’ve got to make.”


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