OEUK news

OEUK responds to world’s first leasing round for powering oil and gas rigs with renewable energy

24 March 2023

Offshore Energies UK (OEUK), the leading representative body for the offshore energy sector, has today (March 24) responded to the results of a leasing round that will enable companies to utilise offshore wind energy to power oil and gas installations.

The Innovation and Targeted Oil and Gas (INTOG) initiative is a seabed leasing round, which is designed to enable offshore wind energy to directly supply offshore oil and gas platforms with renewable-generated electricity.

Crown Estate Scotland has today offered 13 successful applicants lease agreements, which will enable companies to get started on the innovative offshore wind developments.

Currently, platforms in the UKCS are primarily powered by gas turbines, or in some cases diesel generators. Electrification has an enormous potential to cut the emissions associated with operating offshore assets.

Commenting on the announcement, OEUK CEO David Whitehouse said:

“By the mid-2030s oil and gas will still provide half our energy needs, so supplying as much of this demand as possible from domestic production will help to control import emissions while protecting the critical skills and jobs needed for the energy transition.

“It’s therefore essential that the oil and gas we use during that time is produced as sustainably as possible, and electrification will be one of many solutions needed to make that happen.

“The projects selected in today’s announcement will play a big part in the transformation of the North Sea – providing low carbon electricity to power oil and gas installations and help decarbonise the sector.

“This is a particularly significant milestone as it will not only help the sector achieve the emissions reduction goals set out in the North Sea Transition Deal, but will also kickstart the floating wind market at scale – positioning the UK as a centre for excellence in low carbon solutions.”

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