The Australian Government will implement the following overarching actions to support the development of an Australian offshore decommissioning industry:
1. Make decommissioning more efficient
- Establish intergovernmental agreements with state and territory governments to enhance cooperation between all levels of government on decommissioning policy.
- Develop an updated decommissioning cost estimate, a first step in benchmarking decommissioning costs, that will inform government priorities, support competition, efficiency, and innovation across the decommissioning value chain.
- Support coordination and planning with industry on upcoming decommissioning activity to create efficiencies and reduce costs without compromising environmental protections.
2. Improve visibility of the decommissioning pipeline and safeguard the marine environment
- Improve industry decommissioning reporting requirements and enhance transparency across the pipeline of decommissioning activity to help businesses plan investment decisions.
- Implement new guidance to improve regulatory certainty for the community and for industry, including guidance on the removal of offshore infrastructure.
- Develop rigorous financial assurance reforms to ensure industry prepares for decommissioning and to give the community confidence that industry is managing its decommissioning obligations responsibly.
- Continue to progress the review of Australia’s offshore environmental management framework to ensure it is fit for purpose and reflects best practice. This work includes clarifying consultation requirements for offshore petroleum activities.
- Consider policy options to identify, monitor, and remediate plugged wells that are seeping.
3. Be a trusted partner and advisor to industry, communities and the workforce
- Deepen engagement with advanced offshore decommissioning jurisdictions, including the UK and Norway, to ensure Australia emulates international best practice.
- Pursue an appropriate level of benefit sharing to ensure that First Nations groups and industry are partners in the transition to net zero.
- Coordinate with the Net Zero Economy Agency where decommissioning, as part of the net zero transformation, could benefit from more community engagement and participation.
4. Drive alignment between government programs to support an offshore decommissioning industry
- Support industry to connect with government funding bodies to ensure the decommissioning industry can identify financing opportunities to increase their participation across the entire supply chain.
- Ensure government-led decommissioning activity, such as the Northern Endeavour, prioritises investment opportunities and local content requirements for Australian businesses where possible.
- Work with the decommissioning industry to identify industry and government mechanisms to finance supporting infrastructure, where needed.
- Work with states and territories to link decommissioning industry participants with green metals manufacturers, and promote onshore value-adding opportunities for decommissioning offshore infrastructure.
5. Support a skilled, diverse and safe offshore decommissioning workforce
- Continue to review Australia’s offshore safety frameworks to protect the work health and safety of workers in the offshore safety resources sector, including those working on offshore decommissioning.
- Work with unions, industry, and the local community, with state governments and with Jobs and Skills Councils to ensure a skilled workforce is developed to support a growing offshore decommissioning industry.