EXCLUSIVE: GMB General Secretary Gary Smith, whose trade union donates to Labour, said the UK Government had “over-promised” on plans for the publicly-owned GB Energy.
A trade union leader has accused the Labour Government of “closing” Aberdeen by phasing out North Sea oil and gas.
Gary Smith of the GMB also dismissed the plan to headquarter the publicly-owned GB Energy in the city.
He blasted: “The risk is they are going to open a shiny new office with a dozen civil servants in Aberdeen on a high street full of charity shops because they are closing the city down.”
He added: “There is a disappointment and a growing sense of betrayal around Great British Energy.”
Smith, whose union bankrolls Labour, made the comments as he delivered his verdict on the new Government.
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He was positive about strengthening workers’ rights and taking control of British Steel, but hit out at Keir Starmer’s energy policy.
He was scathing about the commitment on no new oil and gas licenses to explore new fields and expressed frustration about GB Energy.
Labour promised before the election to cut energy bills and claimed GB Energy would lead to a jobs bonanza, but prices have gone up and Smith said the jobs have not materialised.
The GMB General Secretary said: “Cutting off investment into oil and gas is bonkers. We could be getting investment into oil and gas that will allow us to create jobs.
“Just switching off investment in the North Sea is absolute madness. It’s bad for national security, it’s bad for jobs and the truth is it’s catastrophic for the environment because we are importing oil and gas, which is far more carbon intensive than producing it ourselves.”
He said of net zero: “We don’t disagree with the destination. We realise that climate change is a huge threat. We want to build a low carbon future, but you do not do that by closing down Aberdeen, by shutting off domestic oil and gas production.”
Asked if he believed GB Energy was a white elephant project, he said:
“As it currently stands, I think people are feeling very, very disappointed and even betrayed.”
He said of the job losses at Grangemouth and in the wider energy industry: “I do fear that they have over-promised in terms of GB Energy.”
Smith also criticised the UK Government over cuts to welfare and the impact they will have on workers.
He said cuts to Personal Independence Payment, which helps disabled workers who are in employment, are “cruel”.
Smith said: “We have got members who get support in their work and they are literally terrified about what is coming around the corner.
“I worry that the way we are going to deal with disability benefits is actually going to be very damaging for society and very damaging for the individuals.”
He added: “There have been mis-steps by the Labour Government. They are not great at communicating the stuff they do right and well. I am not sure that people fully understand their mission and story.”
He said: “They’ve got to accept that they’ve made a whole number of mistakes which has been to their detriment.”
SNP MSP Kevin Stewart: “Labour promised that GB Energy would create 1,000 new jobs in the North-East. So far it has created none and the Chair has admitted that it will take at least 20 years to create these roles. We were also told that GB Energy was going to help bring down energy bills by £300 but instead bills have gone in the opposite direction, soaring by nearly £300 since Labour came to power.
“Just this week the UK Labour Government gave the go ahead to a carbon capture project in England whilst it continues to dither in giving backing to Project Acorn in Aberdeenshire. Scotland has the natural resources and skilled workforce required to be a renewables superpower but is continually treated as an afterthought by successive UK governments. We have the energy, we just need the power.”
A DESNZ spokesperson said: “The government is delivering the next generation of good jobs for North Sea workers, including in carbon capture, hydrogen and offshore wind.
“We have already taken rapid steps to deliver a fair and orderly transition, with the biggest ever investment in offshore wind and two first of a kind carbon capture and storage clusters.
“This comes alongside Great British Energy, headquartered in Aberdeen, which has already announced a £300m investment into British supply chains, unlocking significant investment and helping to create thousands of skilled jobs.”
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