Commons Sense

House of Commons · Ministerial Statement

Russian Oil Import Ban

09 March 2022 · 37 other contributors

Opened by Kwasi Kwarteng Con Constituency

Summarised by AI from the official record, so it can contain mistakes.

At a glance

Kwasi Kwarteng raised concerns about russian oil import ban in the House of Commons. A government minister responded. Other MPs also contributed.

Key points

  • UK is halting the import of Russian oil following US and other allies
  • This action targets 44% of Russia's oil exports and exacerbates Russia's financial crisis
  • Phase-out will be gradual to allow businesses to transition and find alternatives

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Government Statement

The UK, following the United States and other allies, is halting the import of Russian oil to respond to Vladimir Putin's invasion of Ukraine. This action targets 44% of Russia’s exports and contributes to a financial crisis in Russia as the rouble has fallen by nearly 42%. The phase-out will be gradual, allowing businesses time to transition and find alternative suppliers with support from a new taskforce on oil. Despite Russia supplying only 8% of UK oil demand, it is crucial for the UK to move towards energy security through investment in North Sea production and cleaner power sources such as renewables and nuclear.

Other contributors (37)
  • Ed Miliband Lab Doncaster North

    Question

    What assessment has been made regarding the impact of banning Russian oil on petrol and diesel prices? Also, what lessons can be learned to ensure better energy security?

    Minister reply

    The Government acknowledges the need for a careful transition and will work closely with businesses and unions. Regarding energy security, we agree that developing home-grown zero-carbon power is essential but stress the importance of maintaining North Sea oil and gas production.

  • Ed Miliband Lab Doncaster North

    Question

    The MP echoed support for President Zelensky's leadership during the conflict. He questioned the impact of bans on Russian oil imports, suggesting that although only 4% of UK gas comes from Russia, due to an integrated market, high wholesale prices will affect domestic energy costs. Miliband called for accelerated investment in renewables and nuclear power to reduce dependency on foreign fossil fuels.

    Minister reply

    Kwarteng acknowledged the questions raised by Miliband and agreed that a greater focus must be placed on renewables and nuclear power while respecting North Sea gas as a transition fuel.

  • Robert Jenrick Reform Newark

    Question

    Jenrick welcomed Kwarteng’s statement, advocating for pragmatic energy policy including accelerated investment in renewables and potential lifting of the onshore wind moratorium.

    Minister reply

    Kwarteng agreed with Jenrick's points about diversifying away from hostile powers and supporting all possible technologies to enhance resilience.

  • Stephen Flynn SNP Aberdeen South

    Question

    Flynn questioned the potential for retaliatory action by Putin, emphasising Scotland’s significant renewable resources. He asked about additional support for renewables and commitment to using North sea oil and gas revenues to insulate households from cost increases.

    Minister reply

    Kwarteng defended the transition deal in Scotland and affirmed the Government's commitment to price caps while also supporting renewables; he noted lifting of the ban on onshore wind last year.

  • Bernard Jenkin Con Harwich and North Essex

    Question

    Jenkin expressed concern over short-term energy security and price issues, urging for more urgent action than what was outlined.

    Minister reply

    Kwarteng confirmed the Department’s awareness of urgency but highlighted previous Government failures in nuclear investment; he stated that plans are being developed to address current challenges.

  • Darren Jones Lab Bristol North West

    Question

    Jones asked for legislation amendment regarding public procurement rules from Gazprom due to many local authorities, NHS trusts, and other bodies locked into contracts with the Russian company.

    Minister reply

    Kwarteng clarified that the UK subsidiary of Gazprom is separate from its parent entity but assured readiness to take necessary steps if issues arise.

  • Desmond Swayne Con New Forest West

    Question

    When we sanction Russia, we also sanction ourselves. We need to be clear with the British people that this is a sacrifice we are expecting them to make when the Ukrainians are making so much greater sacrifice.

    Minister reply

    People in this country have an intuitive and heartfelt feeling for the people of Ukraine. People understand they must endure hardships in solidarity with the heroic efforts made by the Ukrainian people, as seen through the generosity shown within constituencies.

  • Question

    The Government are right to get off Russian oil and gas but wrong to propose replacing it with new domestic production. Our dependence on fossil fuels is what got us into this energy crisis in the first place.

    Minister reply

    We need investment in the North sea, despite differing views between the hon. Lady and myself. The idea of simply switching off oil and gas is absurd.

  • Question

    Does he agree that oil will remain a key source of energy for some time to come as we are transitioning?

    Minister reply

    We had a discussion at the IEA ministerial last week where we agreed to release our stock, an American initiative supported by us. We need international cooperation to ensure sufficient supply and manage price increases.

  • Question

    I urge the Government to act even faster on breaking this last lifeline to the Putin regime. I am also concerned about calls for a resumption of fracking, which would be a betrayal of our commitments in Glasgow.

    Minister reply

    I have been committed to increasing renewable power supply and production by reopening the pot one auction for onshore wind and introducing an annual auction for offshore wind.

  • Andrew Bowie Con West Aberdeenshire and Kincardine

    Question

    Despite energy security's importance, is it absurd that the Scottish Government’s official position continues to be no new licences, no new exploration, and no new drilling in the North sea?

    Minister reply

    The North sea transition deal is not an extinction deal as Members on the Opposition Benches would pursue. We will continue with a different approach.

  • Dave Doogan SNP Angus and Perthshire Glens

    Question

    What discussions does he plan to have with the Scottish Government to ensure we can meet our need for oil and gas with maximum economic benefit?

    Minister reply

    I am happy to talk to colleagues in the Scottish Government about these issues. A taskforce has been announced to manage the process.

  • Richard Fuller Con North Bedfordshire

    Question

    In regard to the UK’s Russian oil ban, I welcome my right hon. Friend’s commitment to keeping all options open but recognise that moving faster on transition puts greater costs on households from technology risk.

    Minister reply

    Energy efficiency is a big part of this conundrum, and we have had some successes and failures with the green homes grant.

  • Kerry McCarthy Lab Bristol East

    Question

    The Minister has been asked twice now specifically about fracking and has completely avoided answering the question. Would he like to have another go?

    Minister reply

    We will take a precautionary approach and support shale gas exploration if it can be done in a safe and sustainable way, as stated in 2019.

  • Question

    I welcome the Government’s fuel duty freeze but feel that we must do more to help hard-pressed motorists. Will he introduce PumpWatch to monitor prices from big oil companies?

    Minister reply

    No right hon or hon Member has done more for motorists over the last 12 years than my right hon Friend.

  • Sammy Wilson DUP East Antrim

    Question

    The Prime Minister’s decision not to concrete over wells that are already there is a first step to exploiting shale gas. Does he agree?

    Minister reply

    Our position on the moratorium has always been the same: if fracking can be done in a safe and sustainable way, we are open to it.

  • Question

    As we move towards a greener and more secure energy supply, will he commit to increasing capacity coming out of the Celtic sea?

    Minister reply

    Floating offshore wind is key to accelerating our renewables offer. We will set slightly more ambitious targets for our 2030 ambition.

  • Ben Bradshaw Lab Exeter

    Question

    Given the Conservatives have been in power for 12 years, why has not the moratorium on onshore wind put by David Cameron been lifted?

    Minister reply

    The moratorium on the pot one auction was lifted two years ago. In the fourth auction round, there is a separate pot ringfenced for onshore and solar technologies.

  • Andrew Murrison Con South West Wiltshire

    Question

    Given current high profits of BP and Shell, will the Government consider a windfall tax?

    Minister reply

    Issues related to taxation are within the remit of the Chancellor. A windfall tax would scare investment in North sea oil, destroy jobs and wealth creation.

  • Liz Saville-Roberts PC Dwyfor Meirionnydd

    Question

    Will rural fuel duty relief be extended to Wales given the rising prices?

    Minister reply

    The decision lies outside his power, but he is happy to talk with others in Government to address this issue.

  • John Lamont Con Berwickshire, Roxburgh and Selkirk

    Question

    Are the Government aware of current issues sourcing red and white diesel?

    Minister reply

    The red diesel phase-out was announced two years ago; he is happy to discuss managing this transition.

  • Mike Kane Lab Wythenshawe and Sale East

    Question

    Are the Government analysing businesses’ exposure due to rising fuel costs?

    Minister reply

    The Department looks at how price volatility affects supply chain and business, particularly energy intensive industries.

  • Lee Anderson Reform Ashfield

    Question

    With Russian coal imports, will the Government support domestic coking coal production?

    Minister reply

    The specific issue of Cumbrian coking mine is under judicial review. The intention is to move away from Russian hydrocarbons.

  • Wera Hobhouse LD Bath

    Question

    What are the Government’s plans for residential solar energy and battery storage?

    Minister reply

    The pot one auction has restarted, focusing on onshore wind and solar projects which will increase capacity.

  • Question

    What is his oil taskforce planning regarding securing heating oil availability?

    Minister reply

    The taskforce looks at sourcing supply at the cheapest rate, reducing reliance on Russia and lessening burden on people.

  • Geraint Davies Lab Cynon Valley

    Question

    Instead of fracking, will he support Welsh marine technologies and renewable projects?

    Minister reply

    He acknowledges the point made about Swansea bay tidal lagoon; generally, the Government have done a lot for marine renewables.

  • Question

    Will domestic supply chain resilience include critical minerals like coking coal?

    Minister reply

    The first Government ever has a critical minerals strategy to be published in the next few weeks, led by Lee Rowley.

  • Alan Brown SNP Clyde

    Question

    Will he commit to agreeing a minimum floor price with SSE for Coire Glas pumped-storage hydro project?

    Minister reply

    He is interested in the technology, but needs to look at specific proposals and value for money.

  • Alexander Stafford Con Ribble Valley

    Question

    Is fracking a red herring compared to renewables from North sea?

    Minister reply

    They can look at various technologies; currently, the focus is on whether shale gas exploration can be done safely and sustainably.

  • Jonathan Edwards PC Carmarthen East and Dinefwr

    Question

    The Secretary of State mentioned in his statement the need to protect the Ukrainian people from further misery. Considering Ukraine's historical debt problems and the current invasion, can he assure the House that the British Government will be leading international efforts with the IMF, the World Bank and the G7 to offer Ukraine debt relief?

    Minister reply

    The issues about Ukrainian debt relief are for a much wider set of participants than are reflected in this House. We will do everything we can to support the Ukrainian people, and we are looking at every possible intervention that can in some way lessen the burden of this ferocious assault.

  • Richard Holden Con Basildon and Billericay

    Question

    The Secretary of State for his statement. The sanctions today are an excellent next step, but my constituents have two questions: how can they best support the Government’s actions with direct contributions themselves? Secondly, what is the UK going to do to boost our domestic oil, gas and coking coal supply?

    Minister reply

    My hon. Friend is absolutely right about critical minerals and security of supply; I have commissioned a critical minerals strategy. On financial and material support from constituents: there are lots of ways we can help. On securing domestic supplies, that is our most important consideration right now.

  • Margaret Ferrier Ind Rutherglen and Hamilton West

    Question

    Banning Russian oil will come at a cost every day for people across the UK, but what discussions has the Secretary of State had with the Chancellor about financially supporting green, clean and low-cost energy provision?

    Minister reply

    My right hon. Friend the Chancellor and I speak all the time about these issues. The hon. Member will appreciate that there is a spring statement, but at the beginning of February my right hon. Friend announced an extensive £9 billion of projects. We will be looking across the year at how this market develops.

  • Ben Spencer Con Runnymede and Weybridge

    Question

    I welcome the Secretary of State’s announcement today. He will know that we import quite a lot of aviation fuel from Russia, and his Department has done fantastic work in developing sustainable aviation fuel and its manufacture in the UK. Will he use this as an opportunity to drive that forward at even greater pace?

    Minister reply

    My hon. Friend raises a really important point. With the prospect of ferocious aggression and violence, one of the things we are thinking about is a more sustainable future. A very thin silver lining on a very dark cloud is the fact that we are talking about resilience and sustainability.

  • Rachael Maskell Lab Co-op York Central

    Question

    The pace at which we divest from Putin’s fossil fuels is important for stopping this war. Can the Secretary of State lead an alliance of countries that need to make such urgent diversification to ensure that we apply this pain to Putin’s regime as quickly as possible?

    Minister reply

    The hon. Lady is absolutely right. We must work internationally across countries and come up with an alliance that can confront Putin in that way. That is why we are having an extraordinary meeting of G7 Energy Ministers tomorrow.

  • James Davies Con Glaucus

    Question

    I welcome my right hon. Friend’s statement about a ban on Russian oil imports. Does he agree that the increasing need for self-reliance on energy sources means that it is right that we invest in renewable energy schemes in this country, including the possibility of a large tidal range facility in north Wales?

    Minister reply

    I hear the clamour for a tidal range facility in the Vale of Clwyd, and I am sympathetic towards it. My hon. Friend will acknowledge that for the first time ever in the fourth auction round we have a tidal stream auction pot.

  • Deidre Brock SNP Edinburgh North and Leith

    Question

    The Secretary of State said that he was 100% behind renewables, but I would like him to offer so much more support for tidal energy schemes, in which Scotland can play such an important role. It is a cleaner, greener and cheaper alternative to nuclear.

    Minister reply

    I recognise the hon. Lady’s commitment to tidal stream; she will be good enough to notice that this is the first time that any British Government have committed to supporting any marine energy renewable project.

Shadow Comment

Ed Miliband

The shadow minister supports the ban on Russian oil but questions its impact on petrol and diesel prices. He calls for a more robust transition to zero-carbon power, including lifting restrictions on onshore wind and expanding offshore wind capacity beyond 40 GW. The Labour party also urges ending any consideration of fracking due to its environmental risks and inefficacy in reducing energy prices quickly.

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