A Review of Offshore Decommissioning Regulations in Three Countries: Strengths and Weaknesses

Abstract The decommissioning of offshore structures around the world will be a persisting problem in the coming decades as many structures will exceed their shelf life, or when reservoirs are no longer productive. This paper examines an overview of the global offshore decommissioning legal regime, and a summary of regulations in countries that are deemed to be more experienced in decommissioning such as the UK, Norway and USA. Two oil-producing countries in South East Asia, Malaysia and Thailand are also reviewed to identify potential gaps in decommissioning legislation for countries in its infancy in decommissioning. The differences were identified in terms of decommissioning preparation, decommissioning technical execution, additional environmental requirements and financial security framework. In conclusion, the majority of the regulations covering the technical section are similar within all countries studied. Major differences lie in two overarching philosophies of the framework – a prescriptive regime versus a goal-setting regime. Other decommissioning aspects appear to attract increasing attention, such as in expanding clarity on in situ decommissioning, residual liabilities, optimising finance related issues of decommissioning and offshore to onshore waste movement. These gaps in the existing framework can be filled by taking an evidence-based stand in developing the framework.