Our Man in Holyrood: Boost gas production to reduce foreign imports, MSP Fergus Ewing argues one way to tackle the energy crisis is to increase domestic production

I’m sure many readers of the Courier will be aware and concerned with the statement in recent weeks from the energy regulator, Ofgem, reporting that the price of energy is set to rise by 54 per cent.

For years, people living within the Highlands have experienced the highest rates of fuel poverty in the country. Estimates now suggest the rise in energy prices could push a further 211,000 households into fuel poverty in the UK. The energy crisis is therefore an area of great concern to many families who are just trying to make ends meet in what have already been very trying times due to the pressures put on the economy during the Covid-19 pandemic.

Here in the Highlands, where we experience much colder winters, steep rises in energy prices are a real concern: particularly so for those older people who rely on it more heavily and may now face the decision of having to turn off their heating.

Ofgem’s announcement will mean that millions of households across Scotland will see their energy bills rise to an average £1971 from April – a rise of £693.

In recent years, we have seen a rise in working poverty as we see more families within work requiring financial assistance from the state to live and pay their bills. This rise in energy prices is therefore a real concern to me as your MSP and the impacts that this may have on our poorest families.

The Chancellor, Rishi Sunak, has responded to the energy price cap in a way which falls short of meeting the needs of many families who will struggle with the growing cost of living and undoubtedly throw many more into hardship.

With energy bills soaring, the UK government must now begin to increase gas storage capacity and boost gas production in the North Sea in order to avoid the over reliance on importing liquefied petroleum gas (LPG), which has a far greater carbon footprint when extracted abroad than here at home.

If we were to stop producing our own gas, and stop further exploration for more gas, we will also make climate change worse. This is because imported LNG emits two to three times more carbon. That has been proven by the Oil and Gas Authority.

And the main reason gas prices are high is the law of supply and demand. As gas fields worldwide deplete there has been insufficient investment in new fields to replace them. So demand has outstripped supply. We must produce more gas in the Scotland and the UK, both to reduce carbon emissions and also to bring about a reduction in the very high gas prices.

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