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ARTICLE · 22 MAY 2020

The Underestimated Risks Of Decommissioning

The primary focus on the risks associated with decommissioning is often on the complex offshore dismantling operations going wrong and the associated cost overruns which may result.

United KingdomEnvironment

Treat waste disposal offers with care

Decommissioning of assets from the UK Continental Shelf ("UKCS") is regulated by both domestic and international law, policy and obligations. The Petroleum Act 1988 (as amended) implements the OSPAR Convention and imposes a duty on operators to remove all offshore installations from the seabed. In the course of doing so, operators have a duty to submit and agree a decommissioning and abandonment programme with the Secretary of State for Energy, and ensure that this programme is carried out.

The relevant programme must consider the possibility for reuse and/or recycling and the operator must ensure that any subsequent buyer has a programme for the proper recycling and disposal of any materials. This is important in view of the fact that offshore installations, in particular, FPSOs (floating, production storage offloading units), often contain large quantities of hazardous substances such as trapped gas, asbestos, residual oils

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