We don’t know enough about the Labour vision, “GB Energy” (GBE) to say confidently what it might deliver.
As one member put it; “I’m not holding my breath on GBE working! A major energy company on something like £8billion over 5-years? No chance!” Our offshore members are well versed in costs for development across the sector. We also don’t know what GBE will actually do? Will it invest in renewable projects like wind, hydrogen, solar, or will it produce its own energy? As indicated, £8billion over 5-years probably won’t cut it, so private investment will be needed.
Labour came to power on the ticket of “CHANGE” but is relying on the market actually ‘change’? Surely this is the
same Tory led free-market political policy which Thatcher put in place when she sold the British National Oil Corporation (BNOC) nearly 40-years ago? A policy that failed workers and the country!
Some in the press suggest there’s a plan for GBE to work with Crown Estate (apparently the King owns all the seabed!) to free up more money for investment. Again, nobody is clear on what this might deliver. At the moment the only thing we can say with any confidence is what Ed Milliband, the new Secretary of State for Energy Security and Net Zero, said - he expects it to be five years before GBE will start to turn a profit. Really! And if you get voted out in five years where does that leave us? Remember BNOC!
Offshore energy workers and communities are looking for a great deal more from this Labour Government. ‘Change’ should mean just that, a different way of working, a move away from what has gone before.
What we desperately need is a plan. What the plan should deliver is - real and meaningful ‘change’ which deals with the issues that matter most to workers and communities, the people this government are supposed to represent!
Look at Norway; a $1.6 trillion sovereign wealth fund, producing hydrogen, doing carbon capture, manufacturing
compressors run on hydrogen, fuel cells, electric and hydrogen powered ferries, and the list goes on!
Look at Denmark, or just one city, Esjberg; the local municipality controls the port, there’s around 5,000 jobs in
the wind sector (in a population of just 70,000) they have just signed a $1billion investment plan with a Danish pension fund, Pension Denmark, which is jointly owned by Trade Unions and Employers, and Denmark also has an extensive manufacturing base.
Members feel the change needed in the UK is captured by industry commentator Dick Winchester who sits on the Scottish Governments Energy Advisory Board. Writing in Energy Voice in early June, he said;
“About ten years ago the writer and New Yorker magazine cartoonist Tom Toro published his now
famous cartoon showing three children and an adult around a campfire in the middle of a desert with the
caption “Yes, the planet got destroyed. But for a beautiful moment in time we created a lot of value for
shareholders.”
“Whilst funny in that it was a perfect example of cynicism it also reflected reality as it was then and
indeed, pretty much as it still is today.”
He finished the article saying;
“Tom Toro was right; shareholders are controlling the agenda. This can’t be allowed to continue. At some
point consumers will need to take back control. [ ] …an all-electric monopoly on energy is no more
acceptable than a fossil fuel one. Shareholders’ interests mustn’t rule. The planet’s and the people’s
interests must.”
Other members pointed to a quote from a journalist who has covered the energy sector for 40-years. Jeremy Cresswell did an opinion piece about the GB Energy idea and his views were pretty much the same as our members. One line reads;
“I fear that any GB Energy stakes in developments will be miniscule bordering on pointless. In any case, the UK
State should simply take 5%, 10% or whatever of every project completed, end of.”
Norway and Denmark have public investment and ownership. They take a share of the risk, equity stakes, and
secure a share of profits. Both countries have a plan. We could quote other analysts and journalists but you get the drift, give us a plan!
There is in fact a plan available; “Our Power – Offshore Workers Demands for a Just Energy Transition.” This report/plan was produced by the Climate groups, Platform and Friends of the Earth Scotland. It took them almost 2-years to complete and involved over 1,000 offshore energy workers. We’ve reproduced the “demands” of the plan across pages 4 & 5, the full report can be downloaded using this link:
https://platformlondon.org/app/uploads/2023/03/OurPower-Report-1.pdf
Is “Our Power” a credible plan? This is what the General Secretary of the STUC, Roz Foyer said about it;
“In stark contrast to Industry reports and Government consultations about a Just Transition,
this research starts from the perspective of workers – enabling them to identify their key demands and
only then developing policy proposals that flow from these. The recommendations should be seriously
considered by policy makers.”
RMT, Unite and other trade union members participated along with workers from across the sector. The demands are reasonable and achievable, Labour policy makers should take note
Published in our newsletter, Outage 4 (August 2024)
