The European Parliament has given the green light to a new directive designed to increase the safety of offshore oil and gas operations.
The new rules will require oil and gas firms to prove their ability to cover potential liabilities deriving from their operations. They will also place an onus on companies to submit major-hazard reports and emergency-response plans before drilling operations can start.
All operators will need to ensure they have access to “sufficient physical, human and financial resources to minimise and rectify the impact of a major accident”. No licence will be granted unless the applicant has provided evidence that “adequate provision has been, or will be made to cover liabilities potentially deriving from its offshore oil and gas operations”.
Prior to starting operations, drilling companies will be required to submit a special report to the national authorities, describing the drilling installation, potential major hazards and what special arrangements are in place to protect workers.
Companies will also have to provide an internal emergency plan, which must contain a full description of the equipment and resources available, action to be taken in the event of an incident, and all arrangements made to limit risks and give the authorities early warning.
At the same time, EU member states will have to prepare external emergency-response plans covering all offshore drilling installations within their jurisdiction. These plans will specify the role and financial obligations of drilling companies, as well as the roles of relevant authorities and emergency-response teams.
“We need more important standards when it comes to risk management,” said Ivo Belet, who steered the legislation through parliament. “We believe that the rules we are currently coming up with can be used as a template at international level.”
Robert Paterson, Oil & Gas UK’s health, safety and employment director, welcomed the directive.
“In this, the 25th anniversary year of Piper Alpha — which was the world’s worst offshore disaster — we are heartened that the world-class goal-setting regulatory safety regime put in place after the disaster will be protected.
“In addition, we believe the directive will be the best way to achieve the objective of raising standards across the EU to the high levels already present in the North Sea.”
The vote in the European Parliament yesterday (21 May) saw MEPs vote 572 in favour of the new rules, with 103 against. There were also 13 abstentions.
Member states will have two years to transpose the new rules.
