The International Trade Council commends the recent announcement of a comprehensive energy partnership between the United States and the United Kingdom. President Joe Biden and British Prime Minister Rishi Sunak unveiled the agreement, known as the U.K.-U.S. Energy Security and Affordability Partnership, with the aim of reducing global reliance on Russian energy exports, stabilizing Western energy markets, and enhancing collaboration on energy efficiency, nuclear power, and renewables.
A new group led by senior British and White House officials will steer the partnership. As part of the deal, the United States commits to exporting at least 9-10 billion cubic meters of liquefied natural gas (LNG) to the UK over the next year—more than double the 2021 export amount. This increase in US gas exports to Europe will benefit both the UK and its European partners as they seek to replenish gas storage next year.
In a joint statement, Biden and Sunak emphasized the importance of deepening cooperation between allied countries during the global energy crisis resulting from Russia's illegal invasion of Ukraine. The US and the UK pledge to intensify their collaborative efforts to support international energy security, affordability, and sustainability as Europe reduces its dependence on Russian energy.
This initiative follows the adoption of a $60-per-barrel price cap on Russian oil by the Group of Seven major industrial nations, the European Union, and Australia, aimed at preventing price spikes and depriving Russian President Vladimir Putin of war funding in Ukraine.
The US-UK bilateral agreement includes a commitment to work proactively to identify and resolve any challenges faced by exporters and importers while reducing global reliance on Russian energy. The partnership will also expedite the development of clean hydrogen derived from natural gas and renewable sources and promote nuclear power as a secure energy source.