Australia Lays Out Decommissioning Roadmap

Source: Woodside

Australia’s Department of Industry has released an Australian Offshore Resources Decommissioning Roadmap that supports the Australian Government’s plan for a Future Made in Australia.

Oil and gas titleholders will spend an estimated $60 billion to decommission offshore infrastructure over the next 30-50 years. The Roadmap outlines how the government can ensure that offshore decommissioning activities benefit the Australian economy and the environment. This includes:

• maximising the amount of decommissioning activity that happens domestically

• growing Australia’s industrial capability in decommissioning activities

• creating safe, high-quality jobs to service a decommissioning industry

• ensuring the industry pays for decommissioning

• building the capacity of Australia's recycling and waste management industry to manage decommissioned material.

Industry body Australian Energy Producers has welcomed the Roadmap which it says recognises the importance of “Australia’s strong and successful gas sector” as it embarks on a major scope of decommissioning works over the next decade.  

Australian Energy Producers Chief Executive Samantha McCulloch said the Roadmap recognised the significant economic and employment benefits associated with the industry’s investment in offshore decommissioning.  

“For decades, these offshore oil and gas facilities have delivered energy security and substantial economic benefits for all Australians, and this next wave of investment in decommissioning will extend that economic contribution,” McCulloch said.

“The Roadmap acknowledges the need for a skilled workforce, clear and efficient regulations and improved collaboration across jurisdictions to maximise economic and environmental outcomes.”

McCulloch said Australia can benefit from the experience of the UK and Norway in developing international best practice environment and safety standards as well as financial assurance frameworks.

“Regulations that provide clarity and certainty for industry are essential, including addressing the current ambiguity on consultation requirements that is delaying decommissioning activities as well as urgently needed new gas supply projects.”