Energy giant bp contributes more than £17billion to the UK economy, according to a new study by Oxford Economics.
The firm's 2023 UK Economic Impact Report reveals that its presence is even more significant to Scotland's economy - where it supports 11,000 jobs - thanks largely to its North Sea operations, which are run out of Aberdeen.
The study also shows that bp spent £720million with suppliers in Scotland throughout last year, including £300million alone with service firms, such as engineering companies.
bp supported a total of £2.2billion in gross value added (GVA) contribution to the economy of Scotland in 2023. Across the UK as a whole, that number is £17.1billion, including £4.3billion in tax for the UK Government.
Impact
The firm produced 59 million barrels of oil and gas from its North Sea operations throughout 2023, including new production from the Seagull field.
The business is also investing heavily in the energy transition through its joint venture with Aberdeen City Council by building the Aberdeen Hydrogen Hub, a green hydrogen production, storage and distribution facility, powered by a new solar plant and additional renewable energy sources.
It is also moving forward with the planning of the Morven offshore wind farm in the North Sea, off the coast of Aberdeenshire, with partner EnBW.
Doris Reiter, bp's North Sea senior vice president, said: "2024 marks a major milestone for bp in Scotland and indeed for our company – 60 years operating in the North Sea, a business that I proudly lead today alongside my skilled and talented colleagues on and offshore.
"I believe bp’s legacy in regions like the North Sea provides the foundations from which a successful energy transition can be delivered. I’m seeing it already in our North Sea headquarters in Aberdeen where teams supporting our oil and gas business now work alongside colleagues involved in offshore wind, hydrogen and CCS projects."
'Essential reading for politicians'
Ryan Crighton, policy director at Aberdeen & Grampian Chamber of Commerce, said: "This report is essential reading for our politicians as we enter the final weeks of the General Election campaign; a campaign during which major energy companies have unfairly been framed as a problem for the UK, rather than the solution to some of our biggest challenges.
"Companies like bp make an enormous contribution to the UK economy, as is evidence by this research. For every person it directly employs in Scotland, the company supports another four jobs in the supply chain.
"Protecting that supply chain should be a top priority for all parties as we enter this key moment in the energy transition - and to do that, our policy makers need to work in partnership with the companies, like bp, which are bringing forward the investment we need to get to net zero."
Click here to read the full report.