Norway’s Oil and Gas Future Revealed. Prime Minister Sends Clear Signal

Despite a projected decline in production after the record year of 2025, the Norwegian government does not plan to impose restrictions on the oil and gas sector. This declaration was made during the Prime Minister’s speech to the Labour Party authorities. Meanwhile, a political debate is ongoing over the pace of the energy transition. Both opposition parties and industry organizations are weighing in.

Jonas Gahr Støre emphasized that Norway will continue to explore and produce oil and gas. In his view, the sector remains crucial for supplying energy to Europe. The government wants to limit the natural decline in production on the continental shelf. To this end, a special government report for parliament has been announced. The document will address strategic choices for the coming years.

The new initiative aims to provide the industry with greater regulatory predictability. According to the government, production declines are due to geological factors. The response will be further exploration and investment. The Prime Minister noted that these actions do not mean abandoning analytical work on the future transition. In this context, a commission on transformation will be established.

The Prime Minister’s announcement was positively received by the Conservative Party. Its representatives expect stability for the sector and an end to political disputes. They also remind that the concept of a new oil strategy was previously proposed by the opposition. For the industry, this means a possible consensus across party lines.

The Greens take a different view. Their leader, Arild Hermstad, believes Norway needs a plan to end the oil era. He points to the climate crisis and changes in European energy policy. A similar stance is presented by the Socialist Left Party, which advocates protecting jobs while moving away from fossil fuels. The dispute concerns the pace and direction of change.

The importance of Norwegian oil and gas has increased after Russia’s invasion of Ukraine. Industry organizations emphasize Norway’s role in ensuring Europe’s energy security. They also point to the need for stable political frameworks in times of uncertainty. The first concrete answers are expected from the parliamentary energy and environment committee’s position, scheduled for the end of January.