OGA launches investigation into possible licence breach
The Oil and Gas Authority (OGA) has opened an investigation into a possible breach of field Production Consents, contrary to the requirements of the licences.
The investigation follows an Enquiry which concluded that there was sufficient initial evidence to merit a full Investigation into a potential failure to comply with such Consents.
The investigation will now among other things:
- gather and assess further information to enable the OGA to reach a decision
- offer the company concerned the opportunity to provide written representations
- decide how the case should be resolved
The investigation follows the publication in October 2020 of the Thematic Review into Industry Compliance with Regulatory Obligations.
The Review, which examined compliance in six areas of interaction between the OGA and licensees, identified some very good, and improving, practice, but also noted the need for further improvement and warned that sanctions could follow in cases where breaches were found.
The Review itself followed a June 2019 OGA letter to licensees and infrastructure owners which outlined the OGA’s regulatory approach. While praising a great deal of constructive engagement, the letter noted that ‘too many issues [were] taking too long to resolve’ and warned that ‘we will be progressively more proactive in using the OGA’s powers’.
Notes to Editors
- The investigation has been launched under the OGA’s Sanction Procedure
- The OGA has the duty to regulate the industry and has communicated to industry the strategic significance the OGA places on regulatory compliance to support industry’s “social licence to operate”.
- Follow us on Twitter at @OGAuthority
For more information, go to email@example.com or call 07785 0671610Keep me informed