Oil & Gas UK’s responds to Queen’s SpeechNews // June 9, 2014
The UK government’s legislative programme outlined in the Queen’s Speech included a section on the Wood Report, which Oil & Gas UK strongly supports as a correct prescription to help maximise economic recovery from the UK Continental Shelf.
Oil & Gas UK however does not agree that the whole cost of the new regulator should be borne by industry.
Commenting on this, Oil & Gas UK CEO Malcolm Webb said: "We must disagree with the government seeking to absolve itself from all financial involvement or responsibility for the new Regulator.
"This is not a question of the size of the bill. Production taxes paid by this industry each year run into many billions of pounds and the total cost of the new regulator will be a very tiny fraction of that. It is rather a question of good governance, transparency and fairness that at least a part of the cost of the regulator should continue to be borne by the Department of Energy.
“We look forward to hearing further progress soon on the formation of the regulator.”