UK decommissioning issues

Tidying and simplifying the rules on decommissioning oil and gas facilities in the UK North Sea is one of the pressing issues facing John Hutton, the new minister to lead the Department for Business, Enterprise, and Regulatory Reform (DBERR), formerly known as the Department for Trade & Industry.Oil companies have complained that in its present state the Petroleum Act 1998 is unfair and complex because it requires every company that has had an interest in an offshore installation to draw up a decommissioning plan, even if it sells the interest or the entire asset. Although some companies have received exemptions from decommissioning liabilities because of special circumstances, Sectio...

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