Brussels, 22/05/2013 (Agence Europe) - The European Parliament has given its green light to the directive to replace the current patchwork of laws governing offshore oil and gas drilling operations in the 27 EU member states in order to improve their safety. Operators will have to prove their ability to deal with potential incidents.
On Tuesday 21 May, the European Parliament voted in plenary session - by 572 votes to 103, with 13 abstentions - to approve the agreement sealed with the Council at the end of February on the draft legislation tabled by the European Commission in October 2011 to strengthen the legislative framework which governs offshore oil and gas drilling operations in EU waters, in the aftermath of the Deepwater Horizon accident in the Gulf of Mexico in spring 2010. “We need more important standards when it comes to risk management. We believe that the rules that we are currently coming up with can be used as a template at international level”, said Ivo Belet (EPP, Belgium), who steered the talks in trilogue with the Council.
The new legislative framework - Parliament and Council opted for a directive (which sets the objectives but leaves member states the freedom to choose the means of achieving them) rather than a regulation (which would be directly binding in its entirety on member states) to avoid a reformulation of equivalent national laws that already exist - will oblige operators to ensure they have enough human, physical and financial resources to minimise and rectify the impact of a major accident. A licence will only be granted if the company requesting it gives adequate financial guarantee that it can assume the responsibilities linked to its offshore operations. During assessment of the applicant's technical and financial wherewithal, its ability to meet its responsibilities - particularly its financial security - will be taken into account.
Before beginning their operations, drilling companies will have to submit a special report to their national authorities - a report describing the drilling installation, potential major hazards and special arrangements to protect workers. Operators will be obliged to provide a document setting out their policy on the prevention of major accidents, which demonstrates their culture of transparency of information on incidents, and their commitment to consulting elected representatives on safety and to protecting “whistle blowers”. Operators will also have to present an internal emergency plan for each installation, describing in detail the equipment and resources available, action to be taken in the event of an accident and all arrangements made to limit risks and give the authorities early warning.
At the same time, the member states will have to prepare external emergency response plans, covering all offshore drilling installations within their jurisdiction. These plans will specify the financial obligations and role of the operators, and the role of the relevant authorities and emergency response teams. Member states will also have to consult the local people before any exploratory drilling can be carried out.
Member states that are landlocked or that do not have offshore installations under their jurisdiction but have companies registered in their territories will only have to apply a limited number of the directive's provisions. The 27 member states have two years to transpose the text into national law. For existing installations, the deadline for transposition is five years.
A greater role is given to the European Maritime Safety Agency (EMSA) - the expertise of which will have to be called on if there is a leak, and which will also have to assess the emergency response plans.
Protecting Arctic waters. In addition to the new directive, it was agreed that the EU member states sitting on the Arctic Council - Denmark, Finland and Sweden - will step up their efforts to guarantee (within an organisation that also includes producer countries like Canada, the United States and Russia) that the highest safety standards are developed with regard to environmental safety in this unique and vulnerable ecosystem, by updating international instruments for the prevention of, preparation for, and response to oil pollution at sea.
Legislation insufficient for ecologists. For the Greens/EFA Group, “the legislation (…) will fail to provide an adequate regulatory framework for robust regulation of offshore drilling in the EU. This regulatory framework will not constrain the usual practices of the operators and certification bodies. The business-as-usual approach has prevailed, under pressure from the industry and member states with interests in offshore drilling - Denmark, the Netherlands and the United Kingdom”, deplores Michèle Rivasi (Greens/EFA, France). “The financial responsibility of the industry should be extended to civil damage but it only covers environmental damage. The independence of the safety assessments with regard to the member states should also be guaranteed - but it won't be. And the moratorium on drilling in the Arctic is also out. The Council has rejected all the improvements put forward by the ecologists”, she added. “Lastly, EMSA - which we wanted to be given oversight competence and new powerss on certification in order to stimulate a true European culture for safety based on the best standards - will only have a coordination role”, Rivasi concluded (our translation). (EH/transl.fl)