The UK government also announced the establishment of an energy wealth fund using tax revenue from oil and gas extraction, with an initial £2bn of funding, to invest in renewable and low carbon energy projects.
At Prime Minister’s Questions, Conservative leader Kemi Badenoch thanked Burnham for “finally” approving Jackdaw but accused the government of “dithering” over the decision.
She also urged Labour to repeal its ban on all new oil and gas licences.
“We have the resources, the expertise and the people. What we have lost is the confidence to make tough decisions,” she said.
The prime minister said he had made a decision that the previous Tory government had “messed up”.
He said they had got decisions wrong because they did not give any regard to climate obligations, and that “these things have to be considered in the round”.
Burnham also said he had asked the chancellor and energy secretary to look into whether standing charges could be removed from gas bills.
