Energy Secretary Miatta Fahnbulleh appears increasingly isolated within the government as officials signal a shift away from strict Net Zero commitments in favor of addressing the ongoing cost-of-living crisis. The development comes amid internal debate over the future of the Rosebank oil field in the North Sea, which holds an estimated 500 million barrels of oil.

Reports indicate that both Prime Minister and Chancellor John Healey are inclined to approve new drilling at Rosebank, despite Fahnbulleh’s prior environmental reservations. Fahnbulleh, known as a protégé of former Labour leader Ed Miliband, has maintained that she will have the final authority on the decision. However, a Labour source suggested that the approval would be a collective government decision, with Fahnbulleh’s role reduced to formal endorsement.

The emerging government stance favors prioritizing “cheap energy” over exclusively “clean energy,” reflecting concerns about energy affordability amid global uncertainties. Officials expressed apprehension that a potential defeat for former U.S. President Donald Trump in upcoming midterm elections could provoke heightened geopolitical tensions, particularly involving Iran, and lead to surges in global energy prices. In this context, some ministers reportedly emphasize “power sovereignty” and the immediate need for affordable energy supplies.

Fahnbulleh’s team issued a memo to MPs underscoring her status as the sole decision-maker on the Rosebank project, describing the process as quasi-judicial and excluding input from other cabinet members. Nevertheless, the inclusion of Rosebank’s projected tax revenue in the recent Budget suggests broader government coordination behind the scenes.

Further signaling the government's recalibration, Chancellor Healey penned an article stating that new clean energy initiatives will be subject to veto if they increase costs for taxpayers. This comes amid mounting concerns about the financial consequences of wind power curtailment, a practice known as “wasted wind,” where wind turbines are turned off due to grid capacity limitations. Recent figures show September was the most expensive month for energy since records began, with consumers facing a surcharge of £505 million to maintain grid stability.

The National Energy System Operator (NESO) has projected that payments to wind farms for curtailment could reach £9 billion by 2029, adding roughly £100 annually to household energy bills. On a single day last week, payments to wind farm operators to switch off turbines totaled nearly £7 million, while gas plants received over £40 million to cover shortfalls.

Energy consultant Kathryn Porter criticized the current policy allowing wind farms to connect to the grid well before the infrastructure is fully prepared, calling for improved timing to reduce costly last-minute interventions. A spokesperson for the Department of Energy reiterated that the decision on Rosebank remains a quasi-judicial matter, with Fahnbulleh as the sole decision authority.

The unfolding debate highlights tensions within the cabinet as the government balances its climate goals with immediate economic pressures and energy security concerns.