PEMBROKESHIRE Senedd Members Paul Davies and Samuel Kurtz have welcomed a pledge by Conservative leader Kemi Badenoch to scrap net zero requirements on oil and gas companies drilling in the North Sea.

The announcement is part of Ms Badenoch’s plan to overhaul the North Sea Transition Authority by replacing its twelve-page mandate with a single instruction to extract the maximum possible amount of fossil fuel. She pointed to Norway’s continued exploitation of its North Sea reserves and pledged that a future Conservative government would remove barriers to domestic production.

Industry analysts say that under current rules, the UK still imports around 40 per cent of its oil and gas, despite 75 per cent of national energy needs being met by fossil fuels. Proponents argue that boosting domestic supply could reduce reliance on imports and strengthen energy security, while critics warn it risks undermining the UK’s 2030 and 2050 climate targets.

Pembrokeshire’s role in UK energy

Pembrokeshire is already one of the UK’s most important energy hubs. The Valero oil refinery at Pembroke is the largest in the UK, processing up to 270,000 barrels of crude oil per day. Alongside this, the Dragon LNG and South Hook LNG terminals at Milford Haven handle around 30 per cent of the UK’s gas supply, importing liquefied natural gas from Qatar, the US and other sources.

The proposed Celtic Freeport, which covers Milford Haven and Port Talbot, is expected to create up to 16,000 jobs across South Wales by combining new floating offshore wind opportunities with the region’s existing petrochemical and refining expertise.

Supporters of Badenoch’s pledge argue that expanding North Sea production would directly benefit Pembrokeshire by increasing throughput at Valero and securing long-term activity for the LNG terminals, while also strengthening supply chains and skilled employment across the region.

Local voices

Preseli Pembrokeshire MS Paul Davies said: “Energy prices in the UK are too high and whilst fossil fuels are still an important part of the energy mix, it’s vital that they are extracted responsibly. We know that other European countries are tapping into these valuable resources, and the UK should be doing what it can to extract oil and gas too.

“Ms Badenoch’s announcement marks a move towards backing the domestic energy industry, supporting skilled jobs, and protecting our energy security. Pembrokeshire plays an important role in meeting the nation’s energy needs and so I’m pleased that the Leader of the Conservative party has recognised the importance of the sector and has committed to reducing our dependence on imports by supporting domestic production.”

Carmarthen West and South Pembrokeshire MS Samuel Kurtz added: “Pembrokeshire has a proud history at the heart of the UK’s oil and gas industry, and I have long championed the sector and the wider supply chain that supports it. Kemi Badenoch’s pledge to remove unnecessary net zero restrictions on North Sea operators is a welcome step in unlocking the full potential of our domestic energy resources.

“With initiatives such as the Celtic Freeport, Pembrokeshire is uniquely positioned to benefit from a growing domestic petrochemical industry, creating highly skilled jobs and driving prosperity across the region. Supporting our oil and gas sector responsibly ensures energy security for the nation while seizing new opportunities for local economic growth. This is a clear chance to build on Pembrokeshire’s energy heritage and secure a strong, prosperous future for our communities.”

National debate

Labour ministers have maintained their opposition to new North Sea drilling licences, arguing that more extraction will not cut bills or improve security, while campaigners warn it would jeopardise the UK’s climate commitments. However, industry figures suggest that linking new resources to existing infrastructure — known as “tiebacks” — could extend the life of the North Sea and provide billions of barrels more output by 2050.

For Pembrokeshire, the debate is not just political but practical: the region already sits at the centre of Britain’s energy network, and decisions taken in Westminster about the future of North Sea oil and gas could have direct consequences for the jobs, industry and communities along the Haven Waterway.