Ofgem warns Britain may exhaust gas supplies this winter without intervention

Ofgem cautioned that Britain faces the possibility of exhausting its gas supply this winter if demand peaks and supply disruptions occur, citing dwindling North Sea reserves and reduced import capacity. The regulator warned that an extreme cold spell occurring only once in twenty years, together with the loss of the largest gas infrastructure element, could create a negative supply margin. To mitigate the risk, Ofgem approved a gas import agreement with Belgium and gave the green light for drilling at the Jackdaw field, expected to raise domestic output by about six percent.

Tory energy spokesman Andrew Bowie called the warning “utterly outrageous” and criticized the proposed solution of paying other nations for gas. Energy Secretary Miatta Fahnbulleh said domestically produced gas is preferable to imports and that the project would support jobs and an estimated £2.9 billion economic boost, while hinting that a separate oil project at Rosebank would be assessed separately.