British Gas owner Centrica has announced a partnership deal with energy giant Equinor to bring gas to the UK in a deal believed to be worth around £20 billion.
The deal will see Centrica receive five billion cubic metres of gas a year until 2035 and the boss of the British Gas owner, Chris O’Shea said this deal will provide security for the UK energy sector.
The chief of the Confederation of British Industry (CBI) said he is calling on the government to provide a “serious plan” to slash energy costs.
O’Shea said, “Equinor is a valued partner and this landmark agreement underscores the vital role that natural gas plays as a transition fuel as we navigate towards a low carbon energy future.
“Over the last few years, we’ve seen first-hand how important energy security is.
“Today’s deal not only ensures the UK’s energy security has improved but also paves the way for a burgeoning hydrogen market.
“The deal represents a significant investment in the UK’s future, showing that Centrica will make bold investments that drive forward the energy transition while delivering value for our shareholders.”
Equinor’s president and chief executive Anders Opedal said: “For nearly 50 years, we have supported the UK’s energy security with reliable gas supplies.
“In addition, we have advanced offshore wind and pioneered decarbonisation solutions.
“We are pleased to strengthen the energy partnership further through a new gas sales agreement with our longstanding customer and partner Centrica.”
