Offshore Safety (Oil and Gas) Regulations, 2015

Suppliment tal-Gazzetta tal-Gvern ta’ Malta, Nru. 19,432, 29 ta’ Mejju, 2015

L.N. 174 of 2015

PETROLEUM (PRODUCTION) ACT

(CAP. 156)

Offshore Safety (Oil and Gas) Regulations, 2015

IN exercise of the powers conferred by article 5(1) of the

Petroleum (Production) Act, the Minister for Transport and

Infrastructure has made the following regulations:-

The short title of these regulations is the Offshore Safety Citation.

(Oil and Gas) Regulations, 2015.

(1)

The scope of these regulations is to transpose Scope.

Directive 2013/30/EU of the European Parliament and of the Council

of 12 June 2013 on safety of offshore oil and gas operations and

amending Directive 2004/35/EC which aims to reduce as far as

possible the occurrence of major accidents relating to offshore oil and

gas operations and to limit their consequences, thus increasing the

protection of the marine environment and coastal economies against

pollution, establishing minimum conditions for safe offshore

exploration and exploitation of oil and gas and limiting possible

disruptions to European Union indigenous energy production, and to

improve the response mechanisms in case of an accident.

(2) These regulations shall be without prejudice to European

Union law concerning safety and health of workers at work, in

particular Directives 89/391/EEC and 92/91/EEC.

(3) These regulations shall be without prejudice to Directives

94/22/EC, 2001/42/EC, 2003/4/EC, 2003/35/EC, 2010/75/EU and

2011/92/EU.

(1)

In these regulations, unless the context otherwise Interpretation.

requires

"acceptable", in relation to a risk, means a level of risk for

which the time, cost or effort of further reducing it would be grossly

disproportionate to the benefits of such reduction. In assessing

whether the time, cost or effort would be grossly disproportionate to

the benefits of further reducing the risk, regard shall be had to best

practice risk levels compatible with the undertaking;

"acceptance", in relation to the report on major hazards, means

the communication in writing by the competent authority to the

operator or the owner that the report, if implemented as set out

therein, meets the requirements of these regulations. Acceptance does

not imply any transfer of responsibility for control of major hazards

to the competent authority;

"the Act" means the Petroleum (Production) Act;

"Chairperson" means the chairperson of the competent

authority;

"combined operation" means an operation carried out from an

installation with another installation or installations for purposes

related to the other installation(s) which thereby materially affects the

risks to the safety of persons or the protection of the environment on

any or all of the installations;

"commencement of operations" means the point in time when

the installation or connected infrastructure is involved for the first

time in the operations for which it is designed;

"competent authority" means the authority established under

regulation 16;

"connected infrastructure" means, within the safety zone or

within a nearby zone of a greater distance from the installation as

established by the Licensing Authority

(a)

any well and associated structures, supplementary

units and devices connected to the installation;

(b)

any apparatus or works on or fixed to the main

structure of the installation;

(c)

any attached pipeline apparatus or works;

"contractor" means any entity contracted by the operator or

owner to perform specific tasks on behalf of the operator or owner;

"entity" means any natural or legal person or any group of such

persons;

"exploration" means drilling into a prospect and all related

offshore oil and gas operations necessary prior to production-related

operations;

"external emergency response plan" means a local, national or

regional strategy to prevent escalation or limit the consequences of a

major accident relating to offshore oil and gas operations using all

resources available to the operator as described in the relevant

internal emergency response plan, and any supplementary resources;

"independent verification" means an assessment and

confirmation of the validity of particular written statements by an

entity or an organisational part of the operator or the owner that is not

under the control of or influenced by, the entity or the organisational

part using those statements;

"industry" means entities that are directly involved in offshore

oil and gas operations covered by these regulations or whose

activities are closely related to those operations;

"installation" means a stationary, fixed or mobile facility, or a

combination of facilities permanently inter-connected by bridges or

other structures, used for offshore oil and gas operations or in

connection with such operations. Installations include mobile

offshore drilling units only when they are stationed in offshore waters

for drilling, production or other activities associated with offshore oil

and gas operations;

"internal emergency response plan" means a plan prepared by

the operator or owner pursuant to the requirements of these

regulations concerning the measures to prevent escalation or limit the

consequences of a major accident relating to offshore oil and gas

operations;

"licence" has the same meaning as is assigned to it by article 2

of the Act;

"licensed area" means the geographical area covered by the

licence;

"licensee" has the same meaning as is assigned to it by article 2

of the Petroleum (Production) Regulations;

"Licensing Authority" means the public body, authority or

officer that grants a licence pursuant to the Act and the Continental Cap. 535.

Shelf Act;

"major accident" means, in relation to an installation or

connected infrastructure

(a)

an incident involving an explosion, fire, loss of

well control, or release of oil, gas or dangerous substances

involving, or with a significant potential to cause, fatalities or

serious personal injury;

(b)

an incident leading to serious damage to the

installation or connected infrastructure involving, or with a

significant potential to cause, fatalities or serious personal

injury;

(c)

any other incident leading to fatalities or serious

injury to five or more persons who are on the offshore

installation where the source of danger occurs or who are

engaged in an offshore oil and gas operation in connection with

the installation or connected infrastructure; or

(d)

any major environmental incident resulting from

incidents referred to under paragraphs (a), (b) and (c) above.

For the purposes of determining whether an incident constitutes

a major accident under paragraphs (a), (b) or (d) above, an installation

that is normally unattended shall be treated as if it were attended;

"major environmental incident" means an incident which

results, or is likely to result, in significant adverse effects on the

environment in accordance with Directive 2004/35/EC;

"major hazard" means a situation with the potential to result in a

major accident;

"material change" means

(a)

in the case of a report on major hazards, a change

to the basis on which the original report was accepted including,

inter alia, physical modifications, availability of new

knowledge or technology and operational management changes;

(b)

in the case of a notification of well operations or

combined operations, a change to the basis on which the

original notification was submitted including, inter alia,

physical modifications, replacement of one installation with

another, availability of new knowledge or technology and

operational management changes;

"Minister" has the same meaning as is assigned to it by article 2

of the Act;

"non-production installation" means an installation other than

an installation used for production of oil and gas;

"offshore’ means situated in the internal waters having the same

meaning assigned to it by article 2 of the Continental Shelf

Regulations or in the territorial waters having the same meaning

assigned to it by article 3 of the Territorial Waters and Contiguous Cap. 226.

Zone Act or situated on the continental shelf having the same

meaning assigned to it by article 2 of the Continental Shelf Act;

"offshore oil and gas operations" means all activities associated

with an installation or connected infrastructure, including design,

planning, construction, operation and decommissioning thereof,

relating to exploration and production of oil or gas, but excluding

conveyance of oil and gas from one coast to another;

"oil spill response effectiveness" means the effectiveness of

spill response systems in responding to an oil spill, on the basis of an

analysis of the frequency, duration, and timing of environmental

conditions that would preclude a response. The assessment of oil spill

response effectiveness is to be expressed as a percentage of time that

such conditions are not present and is to include a description of the

operating limitations placed on the installations concerned as a result

of that assessment;

"operator" means the entity appointed by the licensee to conduct

offshore oil and gas operations, including planning and executing a

well operation or managing and controlling the functions of a

production installation;

"owner" means an entity legally entitled to control the operation

of a non-production installation;

"production" means offshore extraction of oil and gas from the

underground strata of the licensed area including offshore processing

of oil and gas and its conveyance through connected infrastructure;

"production installation" means an installation used for

production;

"the public" means one or more entities and, in accordance with

national legislation or practice, their associations, organisations or

groups;

"risk" means the combination of the probability of an event and

the consequences of that event;

"safety and environmental critical elements" means parts of an

installation, including computer programmes, the purpose of which is

to prevent or limit the consequences of a major accident, or the failure

of which could cause or contribute substantially to a major accident;

"safety zone" has the same meaning as is assigned to it by article

2 of the Continental Shelf Act;

"suitable" means right or fully appropriate, including

consideration of proportionate effort and cost, for a given requirement

or situation, based on objective evidence and demonstrated by an

analysis, comparison with appropriate standards or other solutions

used in comparable situations by other authorities or industry;

"tripartite consultation" means a formal arrangement to enable

dialogue and cooperation between the competent authority, operators

and owners, and trade unions representing the majority of workers;

and

"well operation" means any operation concerning a well that

could result in the accidental release of materials that has the potential

to lead to a major accident, including the drilling of a well, the repair

or modification of a well, the suspension of well operations and the

permanent abandonment of a well.

(2) For the purposes of these regulations, any reference to

Directives of the European Parliament and of the Council, shall be

read and construed as if reference is made to the provisions of the

regulations transposing the provisions of such Directives into Maltese

law.

(3) For the purposes of these regulations, the term "oil and

gas" shall be taken to have the same meaning as "petroleum" as is

assigned to it by article 2 of the Act.

(1)

The Licensing Authority shall ensure that decisions

on granting or transferring licences to carry out offshore oil and gas

operations take into account the capability of an applicant for such a

licence to meet the requirements for operations within the framework

of the licence as required by the provisions of the Act, the relevant

provisions of Directive 94/22/EC and, in particular, these regulations.

(2) In particular, when assessing the technical and financial

capability of the applicant for a licence, the Licensing Authority shall

take due account of the following

(a)

the risk, the hazards and any other relevant

information relating to the licensed area concerned, including,

where appropriate, the cost of degradation of the marine

environment referred to in Article 8(1)(c) of Directive 2008/56/

EC;

(b)

the particular stage of offshore oil and gas

operations;

(c)

the applicant’s financial capabilities, including any

financial security, to cover liabilities potentially deriving from

the offshore oil and gas operations in question including

liability for potential economic damages where such liability is

provided for by law; and

(d)

the available information relating to the safety and

environmental performance of the applicant, including in

relation to major accidents, as may be appropriate to the

operations for which the licence was requested.

(3) Before granting or transferring a licence for offshore oil

and gas operations, the Licensing Authority shall consult, where

appropriate, the competent authority.

(1)

The Licensing Authority shall not grant a licence Additional

unless it is satisfied with evidence submitted by the applicant that the considerations

of the Licensing

applicant has made or will make adequate provision to cover Authority

granting a

liabilities potentially deriving from the applicant’s offshore oil and licence.

gas operations. Such provision shall be valid and effective from the

start of offshore oil and gas operations.

(2) Applicants shall provide, in an appropriate manner,

evidence of technical and financial capacity and any other relevant

information relating to the area covered by the licence and the

particular stage of offshore oil and gas operations.

(3) The Licensing Authority shall assess the adequacy of

provisions referred to in sub-regulation (1) to ensure that the

applicant has sufficient financial resources for the immediate launch

and uninterrupted continuation of all measures necessary for effective

emergency response and subsequent remediation.

(4) The Licensing Authority shall facilitate the deployment of

sustainable financial instruments and other arrangements to assist

applicants for licences in demonstrating their financial capacity

pursuant to sub-regulation (2).

(5) The Licensing Authority shall require the licensee to

maintain sufficient capacity to meet its financial obligations resulting

from liabilities for offshore oil and gas operations.

(1)

The licensee shall appoint the operator and shall Appointment of

notify the Licensing Authority of the appointment in advance. The operator.

Licensing Authority, if necessary in consultation with the competent

authority, may object to the appointment of the operator.

(2) If the Licensing Authority objects to the operator

appointed by the licensee, the licensee shall appoint a suitable

alternative operator or assume the responsibilities of the operator

under these regulations.

The Licensing Authority shall ensure that the licensing

procedures for offshore oil and gas operations relating to a given

licensed area shall be organised in such a way that information

collected as a result of exploration can be considered by the Licensing

Authority prior to the commencement of production operations.

When assessing the technical and financial capabilities of

an applicant for a licence, the Licensing Authority, in consultation

with the relevant competent authorities, shall especially take into

account any environmentally sensitive marine and coastal

environments, in particular ecosystems which play an important role

in mitigation and adaptation to climate change, such as salt marshes

and sea grass beds, and marine protected areas, such as special areas

of conservation pursuant to the Council Directive 92/43/EEC of 21

May 1992 on the conservation of natural habitats and of wild fauna

and flora, special protection areas pursuant to the Directive 2009/147/

EC of the European Parliament and of the Council of 30 November

2009 on the conservation of wild birds, and marine protected areas as

agreed by the European Union or Member States concerned within

the framework of any international or regional agreements to which

they are a party.

(1)

The drilling of an exploration well from a non-

production installation shall not be commenced unless the Licensing

Authority shall have previously ensured that early and effective

public participation on the possible effects of planned offshore oil and

gas operations on the environment pursuant to other European Union

legal acts, in particular Directive 2001/42/EC or 2011/92/EU as

appropriate, has been undertaken.

(2) Where public participation has not been undertaken

pursuant to sub-regulation (1), the Licensing Authority shall ensure

that the following arrangements are made

(a)

the public is informed, by means of a notice in the

Gazette or in at least one local daily newspaper in the English

language and in the Maltese language, where it is planned to

allow exploration operations;

(b)

the public concerned is identified, including the

public affected or likely to be affected by, or having an interest

in, the decision to allow exploration operations, including

relevant non-governmental organisations such as those

promoting environmental protection, and other relevant

organisations;

(c)

relevant information about such planned operations

is made available to the public at the time the notice referred to

in paragraph (a) is published including, inter alia, information

about the right to participate in decision-making, and to whom

comments or questions may be submitted;

(d)

the public is entitled to express comments and

opinions within eight (8) weeks from the time the notice

referred to in paragraph (a) is published at a time when all

options are open before decisions to allow exploration are

taken;

(e)

when decisions under paragraph (d) are taken, due

account is taken of the results of the public participation; and

(f)

the public is informed not more than a maximum of

four (4) weeks after decisions under paragraph (d) are taken,

about the decisions taken and the reasons therefor and the

considerations upon which those decisions are based, including

information about the public participation process.

(3) This regulation does not apply in respect of areas licensed

before 18 July 2013.

The Licensing Authority shall ensure that

Responsibilities

of the Licensing

Authority.

(a)

production

installations

and

connected

infrastructure are operated only in licensed areas and only by

operators appointed for that purpose pursuant to regulation 6;

(b)

the licensee ensures the operator has the capacity to

meet the requirements for specific operations within the

framework of the licence; and

(c)

throughout all offshore oil and gas operations the

licensee takes all reasonable steps to ensure that the operator

meets the requirements, carries out its functions, and discharges

its duties under these regulations.

Where the competent authority determines that the Failure of

operator no longer has the capacity to meet the relevant requirements operator

the requirements

under these regulations, the competent authority shall inform the under

regulations.

Licensing Authority in writing. The Licensing Authority shall then

notify the licensee thereof and the licensee shall assume

responsibility for the discharge of the duties concerned and shall,

without delay, propose a replacement operator to the Licensing

Authority.

(1)

The Licensing Authority shall ensure that

operations relating to production and non-production installations are

not commenced or continued until the report on major hazards has

been accepted by the competent authority in accordance with these

regulations.

(2) The Licensing Authority shall ensure that well operations

or combined operations are not commenced or continued until the

report on major hazards for the installations involved has been

accepted by the competent authority in accordance with these

regulations. Furthermore, such operations shall not be commenced or

continued where a notification of well operations or a notification of

combined operations has not been submitted pursuant to regulation

24(1)(h) and (i) to the competent authority or where the competent

authority expresses objections to the content of a notification.

The Licensing Authority shall ensure that a safety zone is

established around an installation and that vessels are prohibited from

entering or remaining in that safety zone

Provided that such prohibition shall not apply to a vessel

entering or remaining in the safety zone

(a)

in connection with the laying, inspection, testing,

repair, maintenance, alteration, renewal or removal of any

submarine cable or pipeline in or near that safety zone;

(b)

to provide services for or to transport persons or

goods to or from any installation in that safety zone;

(c)

to inspect any installation or connected

infrastructure in that safety zone under the authority of the

Government of Malta;

(d)

in connection with saving or attempting to save life

or property;

(e)

owing to stress of weather;

(f)

when in distress; or

(g)

if there is consent from the operator, owner or the

Government of Malta in which the safety zone is located.

For the purposes of these regulations, a mechanism for

effective participation in tripartite consultation between the

competent authority, operators and owners, and trade unions

representing the majority of the workers in the formulation of

standards and policies dealing with major accident prevention, shall

be established by the Licensing Authority.

Without prejudice to the existing scope of liability relating Liability for

to the prevention and remediation of environmental damage pursuant environmental

damage.

to Directive 2004/35/EC, the Licensing Authority shall ensure that

the licensee is financially liable for the prevention and remediation of

environmental damage as defined in that Directive, caused by

offshore oil and gas operations carried out by, or on behalf of, the

licensee or the operator.

There shall be a body, to be known as the Offshore Safety Appointment of

(Oil and Gas) Board, which shall perform the functions of the the

authority.

competent authority under these regulations.

(1)

The functions of the competent authority shall Functions of the

competent

include

authority.

(a)

assessing and accepting reports on major hazards,

assessing design notifications, and assessing notifications of

well operations or combined operations, and other similar

documents that are submitted to it;

(b)

overseeing compliance by operators and owners

with these regulations including inspections, investigations and

enforcement actions;

(c)

advising other authorities or bodies, including the

Licensing Authority;

(d)

making annual plans pursuant to securing

compliance with the regulatory framework for major accident

prevention;

(e)

producing reports in pursuance to its functions;

(f)

cooperating with the competent authorities or

contact points pursuant to regulation 44; and

(g)

any other function as may be assigned to it in

writing by the Minister.

(2) In the exercise of its functions the competent authority

shall

(a)

act independently of policies, regulatory decisions

or other considerations unrelated to its duties under these

regulations;

(b)

make clear the extent of its responsibilities and the

responsibilities of the operator and the owner for the control of

major accident risks under these regulations;

(c)

establish a policy, process and procedures for

thorough assessment of reports on major hazards and

notifications submitted by means of the reports and documents

required under regulation 24 as well as for overseeing

compliance with these regulations, including inspection,

investigation and enforcement actions;

(d)

make the policy, process and procedures pursuant

to paragraph (c) available to operators and owners and make

summaries thereof available to the public;

(e)

where necessary, prepare and implement

coordinated or joint procedures with other national authorities

to undertake its duties under these regulations; and

(f)

base its policy, organisation and operational

procedures on the principles set out in Schedule Three.

The Minister shall appoint members to serve as

expert members on the competent authority.

(2) The competent authority shall be composed as follows

(a)

a Chairperson, who shall be a technically

competent person in the field of safety of offshore oil and gas

operations and who shall be responsible for the organisation of

the work of the competent authority;

(b)

one member from the Licensing Authority;

(c)

one member from the Authority for Transport in

(d)

one member from the authority responsible for

environment in Malta;

(e)

one member from the Occupational Health and

Safety Authority; and

(f)

any other member or members from any authority

which, in the opinion of the Minister, after consultation with the

competent authority, may have a regulatory function in the field

of oil and gas operations.

(3) The Minister may, after consultation with the other

relevant authorities

(a)

prescribe by regulations any new functions on the

competent authority for purposes connected with offshore oil

and gas operations; and

(b)

terminate by prescribing regulations any function

of the competent authority.

(1)

Each member of the competent authority shall hold Tenure and

office for a period between one and three years on such terms and removal

office.

conditions as the Minister may by instrument in writing direct. The

members so appointed may be re-appointed on the expiry of their

term

Provided that they shall remain in office on completion of

their term, until the Minister formally informs them of the

appointment of a substitute.

(2) A member of the competent authority may, by notice in

writing addressed to the Minister, resign from office.

(3) The Minister may remove a member of the competent

authority from office if, in the opinion of the Minister, such member

is unfit to continue in office or has become incapable of properly

performing his duties as a member.

(1)

The competent authority shall meet as often as Conduct of the

necessary to discharge its functions, either at the request of the meetings

competent

Chairperson or at the request of any other two members.

authority.

(2) The quorum for each meeting shall not be less than one

half of the total number of members of the competent authority.

However, when a quorum is not reached, another meeting may be

convened with the same agenda by not later than forty-eight (48)

hours and in the eventuality that a quorum is still not attained, the

members present being not less than two (2) including the

Chairperson, shall be deemed to constitute a quorum

Provided that without prejudice to sub-regulation (1), the

competent authority shall regulate its own procedures.

The competent authority shall inform the Minister of the

necessary financial and human resources to fulfil its obligations under

these regulations and the Minister shall ensure that such resources are

made available. Such resources shall be commensurate with the

extent of offshore oil and gas operations and may be recovered from

licensees, operators or owners.

The competent authority shall be entitled to engage

persons to serve as individual expert advisers or to set up advisory

committees and appoint members to serve on such advisory

committees as may be useful and appropriate for the competent

authority to enable it to better discharge its responsibilities and

functions.

(1)

The competent authority shall ensure that no

individual expert advisor or any member serving on the said advisory

committees may be compromised by conflicts of interest.

(2) It shall be the duty of every individual expert advisor or

any member serving on the said advisory committees, who has a

pecuniary interest, direct or indirect, in any matter to disclose openly

such interest by writing to the Chairperson as soon as such pecuniary

interest arises and not later than one week after it arises. A person

who fails to comply with the provisions of this regulation shall be

guilty of an offence against this regulation.

(1)

In order to carry out offshore oil and gas operations

the operator or the owner shall submit to the competent authority

(a)

the corporate major accident prevention policy or

an adequate description thereof, in accordance with regulations

32 and 35;

(b)

the safety and environmental management system

applicable to the installation, or an adequate description thereof,

in accordance with regulations 33 and 35;

(c)

in the case of a planned production installation, a

design notification in accordance with the requirements of item

1 of Schedule One;

(d)

a description of the scheme of independent

verification in accordance with regulation 30;

(e)

a report on major hazards, in accordance with

regulations 25 and 26;

(f)

in the event of a material change or dismantling of

an installation, an amended report on major hazards in

accordance with regulations 25 and 26;

(g)

the internal emergency response plan or an

adequate description thereof, in accordance with regulations 27

and 45;

(h)

in the case of a well operation, a notification of that

well operation and information on that well operation in

accordance with regulation 28;

(i)

in the case of a combined operation, a notification

of combined operations in accordance with regulation 29;

(j)

in the case of an existing production installation

which is to be moved to a new production location where it is to

be operated, a relocation notification in accordance with item 1

of Schedule One; and

(k)

any other relevant document requested by the

competent authority.

(2) The documents to be submitted under sub-regulation

(1)(a), (b), (d) and (g) shall be included with the report on major

hazards required under sub-regulation (1)(e). The corporate major

accident prevention policy of an operator of a well shall, where not

previously submitted, be included with the notification of well

operations to be submitted under sub-regulation (1)(h).

(3) The design notification required pursuant to sub-regulation

(1)(c) shall be submitted to the competent authority by a deadline set

by the competent authority before the intended submission of the

report on major hazards for the planned operation. The competent

authority shall respond to the design notification with comments to be

taken into account in the report on major hazards.

(4) Where an existing production installation is to enter or

leave the offshore waters, the operator shall notify the competent

authority in writing prior to the date on which the production

installation is due to enter or leave the offshore waters.

(5) The relocation notification required pursuant to sub-

regulation (1)(j) shall be submitted to the competent authority at a

stage that is sufficiently early in the proposed development to enable

the operator to take into account any matters raised by the competent

authority during the preparation of the report on major hazards.

(6) Where there is a material change affecting the design

notification or the relocation notification prior to the submission of

the report on major hazards, the competent authority shall be notified

of that change as soon as possible.

(7) The report on major hazards required pursuant to sub-

regulation (1)(e) shall be submitted to the competent authority by not

later than sixteen (16) weeks before the planned commencement of

the operations or by such other deadlines set by the competent

authority.

(1)

The operator or the owner shall prepare and submit

to the competent authority a report on major hazards for a production

installation, to be submitted pursuant to regulation 24(1)(e). That

report shall contain the information specified in items 2 and 5 of

Schedule One and shall be updated whenever appropriate or when so

required by the competent authority.

(2) The trade unions representing the majority of workers shall

be consulted at the relevant stages in the preparation of the report on

major hazards for a production installation, and the operator or the

owner shall ensure that evidence is provided to this effect in

accordance with item 2(c) of Schedule One.

(3) The report on major hazards for a production installation

may be prepared in relation to a group of installations, subject to the

agreement of the competent authority.

(4) Where further information is necessary before a report on

major hazards can be accepted, the operator shall provide, at the

request of the competent authority, such information and make any

necessary changes to the submitted report on major hazards.

(5) Where modifications are to be made to the production

installation that entail a material change, or it is intended to dismantle

a fixed production installation, the operator shall prepare an amended

report on major hazards, to be submitted pursuant to regulation

24(1)(f) by a deadline specified by the competent authority, in

accordance with item 6 of Schedule One.

(6) Planned modifications shall not be brought into use nor

any dismantlement commenced until the competent authority has

accepted the amended report on major hazards for the production

installation.

(7) The report on major hazards for a production installation

shall be subject to a thorough periodic review by the operator at least

every five years or earlier when so required by the competent

authority. The results of the review shall be notified to the competent

authority.

(1)

The owner shall prepare and submit to the Report on major

competent authority a report on major hazards for a non-production hazards

non-production

installation, to be submitted pursuant to regulation 24(1)(e). That installation.

report shall contain the information specified in items 3 and 5 of

Schedule One and shall be updated whenever appropriate or when so

required by the competent authority.

(2) The trade unions representing the majority of workers shall

be consulted at the relevant stages in the preparation of the report on

major hazards for a non-production installation, and the owner shall

ensure that evidence is provided to this effect in accordance with item

3(b) of Schedule One.

(3) Where further information is necessary before a report on

major hazards for a non-production installation can be accepted, the

owner shall provide, at the request of the competent authority, such

information and make any necessary changes to the submitted report

on major hazards.

(4) Where modifications are to be made to the non-production

installation that entail a material change, or it is intended to dismantle

a fixed non-production installation, the owner shall prepare an

amended report on major hazards, to be submitted pursuant to

regulation 24(1)(f) by a deadline specified by the competent

authority, in accordance with item 6(a), (b) and (c) of Schedule One.

(5) For a fixed non-production installation, the planned

modifications shall not be brought into use nor any dismantlement

commenced until the competent authority has accepted the amended

report on major hazards for the fixed non-production installation.

(6) For a mobile non-production installation, the planned

modifications shall not be brought into use until the competent

authority has accepted the amended report on major hazards for the

mobile non-production installation.

(7) The report on major hazards for a non-production

installation shall be subject to a thorough periodic review by the

owner at least every five years or earlier when so required by the

competent authority. The results of the review shall be notified to the

competent authority.

(1)

Operators or owners, as appropriate, shall prepare Internal

internal emergency response plans to be submitted pursuant to emergency

response plans.

regulation 24(1)(g). The plans shall be prepared in accordance with

regulation 45 taking into account the major accident risk assessment

undertaken during preparation of the most recent report on major

hazards. The plan shall include an analysis of the oil spill response

effectiveness.

(2) In the event that a mobile non-production installation is to

be used for carrying out well operations, the internal emergency

response plan for the installation shall take into account the risk

assessment undertaken during the preparation of the notification of

well operations to be submitted pursuant to regulation 24(1)(h).

Where the internal emergency response plan has to be amended due

to the particular nature or location of the well, the operator of the well

shall submit the amended internal emergency response plan, or an

adequate description thereof, to the competent authority to

complement the relevant notification of well operations.

(3) In the event that a non-production installation is to be used

for carrying out combined operations, the internal emergency

response plan shall be amended to cover the combined operations and

shall be submitted to the competent authority to complement the

relevant notification of the combined operations.

(1)

The operator of a well shall prepare the notification

to be submitted pursuant to regulation 24(1)(h) to the competent

authority. It shall be submitted by not later than sixteen (16) weeks

before the commencement of the well operation or by such other

deadlines set by the competent authority. The said notification of well

operations shall contain details of the design of the well and the

proposed well operations in accordance with item 4 of Schedule One.

This shall include an analysis of the oil spill response effectiveness.

(2) The competent authority shall consider the notification

and, if deemed necessary, take appropriate action before the well

operations are commenced, which may include prohibiting the

operation from being commenced.

(3) The operator of the well shall involve the independent

verifier in planning and preparation of a material change to the

submitted notification of well operations pursuant to regulation

30(4)(b) and that it immediately informs the competent authority of

any material change to the submitted notification of well operations.

The competent authority shall consider those changes and, if deemed

necessary, take appropriate action.

(4) The operator of the well shall submit reports of well

operations to the competent authority in accordance with the

requirements of Schedule Two. The reports shall be submitted at

weekly intervals, starting on the day of commencement of the well

operations, or at intervals specified by the competent authority.

(1)

Operators and owners involved in a combined Notification of

operation shall jointly prepare the notification to be submitted combined

operations.

pursuant to regulation 24(1)(i). The notification shall contain the

information specified in item 7 of Schedule One. One of the operators

shall submit the notification of combined operations to the competent

authority. The notification shall be submitted by a deadline set by the

competent authority before combined operations are commenced.

(2) The competent authority shall consider the notification

and, if deemed necessary, take appropriate action before the

combined operations are commenced, which may include prohibiting

the operation from being commenced.

(3) The operator who submitted the notification shall inform

without delay the competent authority of any material change to the

submitted notification. The competent authority shall consider those

changes and, if deemed necessary, take appropriate action.

(1)

Operators and owners shall establish schemes for Independent

independent verification and shall prepare a description of such verification.

schemes, to be submitted pursuant to regulation 24(1)(d) and included

within the safety and environmental management system submitted

pursuant to regulation 24(1)(b). The description shall contain the

information specified in item 5 of Schedule One.

(2) The results of the independent verification shall be without

prejudice to the responsibility of the operator or the owner for the

correct and safe functioning of the equipment and systems under

verification.

(3) The selection of the independent verifier and the design of

schemes for independent verification shall meet the criteria of

Schedule Five.

(4) The schemes for independent verification shall be

established

(a)

in respect of installations, to give independent

assurance that the safety and environmental critical elements

identified in the risk assessment for the installation, as described

in the report on major hazards, are suitable and that the schedule

of examination and testing of the safety and environmental

critical elements is suitable, up-to-date and operating as

intended; and

(b)

in respect of notifications of well operations, to

give independent assurance that the well design and well control

measures are suitable for the anticipated well conditions at all

times.

(5) Operators and owners shall respond to and take appropriate

action based on the advice of the independent verifier.

(6) Operators and owners shall ensure that advice received

from the independent verifier pursuant to sub-regulation (4)(a) and

records of action taken on the basis of such advice are made available

to the competent authority and retained by the operator or the owner

for a period of six months after completion of the offshore oil and gas

operations to which they relate.

(7) Operators of wells shall ensure that the findings and

comments of the independent verifier pursuant to sub-regulation

(4)(b) and their actions in response to those findings and comments

are presented in the notification of well operations prepared in

accordance with regulation 28.

(8) For a production installation, the verification scheme shall

be in place prior to the completion of the design. For a non-

production installation, the scheme shall be in place prior to the

commencement of operations in the offshore waters.

The competent authority shall

(a)

prohibit the operation or commencement of

operations on any installation or any connected infrastructure

where the measures proposed in the report on major hazards for

the prevention or limiting the consequences of major accidents

or notifications of well operations or combined operations

submitted pursuant to regulation 24(1)(h) and (i) are considered

insufficient to fulfil the requirements set out in these

regulations;

(b)

in exceptional situations and where it considers

that safety and environmental protection are not compromised,

shorten the time interval required between the submission of the

report on major hazards or other documents to be submitted

pursuant to regulation 24 and the commencement of operations;

(c)

require the operator to take such proportionate

measures as it considers necessary to ensure the prevention of

major accidents in offshore oil and gas operations;

(d)

where regulation 11 applies, take adequate

measures to ensure the continuing safety of operations; and

(e)

require improvements and, if necessary, prohibit

the continued operation of any installation or any part thereof or

any connected infrastructure where it is shown by the outcome

of an inspection, a determination pursuant to regulation 11, a

periodic review of the report on major hazards submitted

pursuant to regulation 24(1)(e) or by changes to notifications

submitted pursuant to regulation 24, that the requirements of

these regulations are not being fulfilled or there are reasonable

concerns about the safety of offshore oil and gas operations or

installations.

(1)

Operators and owners shall prepare a document Corporate major

setting out their corporate major accident prevention policy which is accident

prevention

to be submitted pursuant to regulation 24(1)(a) and to ensure that it is policy.

implemented throughout their offshore oil and gas operations,

including by setting up appropriate monitoring arrangements to

assure effectiveness of the policy. The document shall contain the

information specified in item 8 of Schedule One.

(2) The corporate major accident prevention policy shall take

account of the operators’ primary responsibility for, inter alia, the

control of risks of a major accident that are a result of its operations

and for continuously improving control of those risks so as to ensure

a high level of protection at all times.

Operators and owners shall prepare a document setting out Safety and

their safety and environmental management system which is to be environmental

management

submitted pursuant to regulation 24(1)(b). The document shall system.

include a description of the

(a)

organisational arrangements for control of major

hazards;

(b)

arrangements for preparing and submitting reports

on major hazards, and other documents as appropriate, pursuant

to these regulations; and

(c)

schemes for independent verification established

pursuant to regulation 30.

Operators and owners shall contribute to mechanisms for Mechanisms for

effective tripartite consultation established pursuant to regulation 14. tripartite

consultation.

When appropriate, an operator’s and owner’s commitment to such

mechanisms may be outlined in the corporate major accident

prevention policy.

The corporate major accident prevention policy and the

safety and environmental management system shall be prepared in

accordance with items 8 and 9 of Schedule One and Schedule Four.

The following conditions shall apply

(a)

the corporate major accident prevention policy

shall be in writing and shall establish the overall aims and

arrangements for controlling the risk of a major accident, and

how those aims are to be achieved and arrangements put into

effect at corporate level; and

(b)

the safety and environmental management system

shall be integrated within the overall management system of the

operator or owner and shall include organisational structure,

responsibilities, practices, procedures, processes and resources

for determining and implementing the corporate major accident

prevention policy.

Operators and owners shall prepare and maintain a

complete inventory of emergency response equipment pertinent to

their offshore oil and gas operation.

Operators and owners in consultation with the competent

authority and making use of the exchanges of knowledge, information

and experience provided for in regulation 44(1), shall prepare and

revise standards and guidance on best practice in relation to the

control of major hazards throughout the design and operational life-

cycle of offshore oil and gas operations, and that as a minimum they

follow the outline in Schedule Six.

Operators and owners shall ensure that their corporate

major accident prevention policy document referred to in regulation

32(1) also covers their production and non-production installations

outside of the European Union.

Where an activity carried out by an operator or an owner

poses an immediate danger to human health or significantly increases

the risk of a major accident, the operator or the owner shall take

suitable measures which may include, if deemed necessary,

suspending the relevant activity until the danger or risk is adequately

controlled. Where such measures are taken, the operator or the owner

shall notify the competent authority accordingly without delay and no

later than 24 hours after taking those measures.

Operators and owners shall take suitable measures to use

suitable technical means or procedures in order to promote the

reliability of the collection and recording of relevant data and to

prevent possible manipulation thereof.

(1)

Companies registered in Malta and conducting, Operations

themselves or through subsidiaries, offshore oil and gas operations conducted

outside the

outside the European Union as licence holders or operators shall European

by companies

report to the competent authority, on request, the circumstances of registered in

Malta.

any major accident in which they have been involved.

(2) In the request for a report pursuant to sub-regulation (1),

the competent authority shall specify the details of the information

required. Such reports shall be exchanged in accordance with

regulation 44(1).

(1)

Operators and owners shall comply with the Compliance

measures established in the report on major hazards and in the plans with

established in

referred to in the notification of well operations and notification of the

major hazards.

combined operations, submitted pursuant to regulation 24(1)(e), (h)

and (i).

(2) Operators and owners shall provide the competent

authority, or any other persons acting under the direction of the

competent authority, with transport to or from an installation or vessel

associated with oil and gas operations, including the conveyance of

their equipment, at any reasonable time, and with accommodation,

meals and other subsistence in connection with the visits to the

installations, for the purpose of facilitating the competent authority’s

oversight, including inspections, investigations and enforcement of

compliance with these regulations.

(3) The competent authority shall develop annual plans for

effective oversight, including inspections, of major hazards based on

risk management and with particular regard to compliance with the

report on major hazards and other documents submitted pursuant to

regulation 24. The effectiveness of the plans shall be regularly

reviewed and the competent authority shall take any necessary

measures to improve them.

(1)

The

competent

authority

shall

establish Confidential

mechanisms in order to facilitate confidential reporting of safety and reporting.

environmental concerns relating to offshore oil and gas operations

from any source, and the investigation of such reports while

maintaining the anonymity of the individuals concerned.

(2) Operators and owners shall communicate details of the

national arrangements for the mechanisms referred to in sub-

regulation (1) to their employees and contractors connected with the

operation and their employees, and shall ensure that reference to

confidential reporting is included in relevant training and notices.

(1)

The competent authority shall regularly exchange

knowledge, information and experience with other competent

authorities, inter alia, through the European Union Offshore Oil and

Gas Authorities Group (EUOAG), and engage in consultations on the

application of relevant national and European Union law with the

industry, other stakeholders and the European Commission.

(2) Knowledge, information and experience exchanged

pursuant to sub-regulation (1) shall concern, in particular, the

functioning of the measures for risk management, major accident

prevention, verification of compliance and emergency response

relating to offshore oil and gas operations within the European Union,

as well as outside of the European Union where appropriate.

(3) The competent authority shall participate in establishing

clear joint priorities for the preparation and updating of standards and

guidance in order to identify and facilitate the implementation and

consistent application of best practices in offshore oil and gas

operations together with the corresponding authorities of other

Member States.

(1)

The competent authority shall ensure that the

internal emergency response plans prepared by the operator or the

owner in accordance with regulation 27 and submitted pursuant to

regulation 24(1)(g) shall be

(a)

put into action without delay to respond to any

major accident or a situation where there is an immediate risk of

a major accident; and

(b)

consistent with the external emergency response

plan as referred to in the Offshore (Oil and Gas) External

Emergency Response Regulations.

(2) The competent authority shall ensure that the operator and

the owner maintain equipment and expertise relevant to the internal

emergency response plan in order for that equipment and expertise to

be available at all times and to be made available as necessary to the

authorities responsible for the execution of the external emergency

response plan where the internal emergency response plan applies.

(3) The internal emergency response plan shall be prepared in

accordance with item 10 of Schedule One and updated as a

consequence of any material change to the report on major hazards or

notifications submitted pursuant to regulation 24. Any such updates

shall be submitted to the competent authority pursuant to regulation

24(1)(g) and notified to the relevant authority or authorities

responsible for preparing the external emergency response plans for

the area concerned.

(4) The internal emergency response plan shall be integrated

with other measures relating to protection and rescue of personnel

from the stricken installation so as to secure a good prospect of

personal safety and survival.

Whosoever knowingly acts in violation of any provisions Penalties.

of these regulations shall be guilty, by reason merely of having done

so and without prejudice to prosecution under any provision of law, of

an offence and shall be liable, on conviction, to a fine (multa) of not

less than ten thousand euro (€10,000) and not exceeding two million

euro (€2,000,000) or to imprisonment which shall not exceed a term

of five years, or to both such fine and imprisonment

Provided that where the act constituting the offence

subsists for more than one day, the Court may in addition impose a

fine (multa) not exceeding ten thousand euro (€10,000) for each day

during which such act subsists which fine (multa) shall also be

applicable for the purposes of article 377(3) of the Criminal Code.

Schedule One

Information to be included in documents submitted to the competent authority

pursuant to regulation 24

1. INFORMATION TO BE SUBMITTED IN A DESIGN

OR

RELOCATION NOTIFICATION FOR A PRODUCTION INSTALLATION

The design notification and the relocation notification for a production

installation to be submitted pursuant to regulation 24(1)(c) and (j) shall contain at

least the following information

(a)

the name and address of the operator of the installation;

(b) a description of the design process for the production operations

and systems, from an initial concept to the submitted design or selection of

an existing installation, the relevant standards used, and the design concepts

included in the process;

(c)

a description of the selected design concept in relation to the

major hazard scenarios for the particular installation and its location, and the

primary risk control features;

(d) a demonstration that the concept contributes to reducing major

hazard risks to an acceptable level;

(e)

a description of the installation and the conditions at its intended

location;

(f)

a description of any environmental, meteorological and seabed

limitations on safe operations, and the arrangements for identifying risks

from seabed and marine hazards such as pipelines and the moorings of

adjacent installations;

(g)

a description of the types of major hazard operations to be carried

out;

(h) a general description of the safety and environmental

management system by which the intended major accident risk control

measures are to be maintained in good effect;

(i)

a description of the independent verification schemes and an

initial list of safety and environmental critical elements and their required

performance;

(j)

where an existing production installation is to be moved to a new

location to serve a different production operation, a demonstration that the

installation is suitable for the proposed production operation;

(k) where a non-production installation is to be converted for use as a

production installation, a justification demonstrating that the installation is

suitable for such conversion.

2. INFORMATION TO BE SUBMITTED IN A REPORT ON MAJOR

HAZARDS FOR OPERATION OF A PRODUCTION INSTALLATION

Reports on major hazards for a production installation to be prepared in

accordance with regulation 25 and submitted pursuant to regulation 24(1)(e) shall

contain at least the following information

(a)

a description of the account taken of the competent authority’s

response to the design notification;

(b)

the name and address of the operator of the installation;

(c)

a summary of any worker involvement in the preparation of the

report on major hazards;

(d) a description of the installation and any association with other

installations or connected infrastructure, including wells;

(e)

demonstration that all the major hazards have been identified,

their likelihood and consequences assessed, including any environmental,

meteorological and seabed limitations on safe operations, and that their

control measures including associated safety and environmental critical

elements are suitable so as to reduce the risk of a major accident to an

acceptable level; this demonstration shall include an assessment of oil spill

response effectiveness;

(f)

a description of the types of operations with major hazard

potential to be carried out, and the maximum number of persons that can be

on the installation at any time;

(g) a description of equipment and arrangements to ensure well

control, process safety, containment of hazardous substances, prevention of

fire and explosion, protection of the workers from hazardous substances, and

protection of the environment from an incipient major accident;

(h) a description of the arrangements to protect persons on the

installation from major hazards, and to ensure their safe escape, evacuation

and rescue, and arrangements for the maintenance of control systems to

prevent damage to the installation and the environment in the event that all

personnel are evacuated;

(i)

relevant codes, standards and guidance used in the construction

and commissioning of the installation;

(j)

information, regarding the operator’s safety and environmental

management system, that is relevant to the production installation;

(k)

an internal emergency response plan or an adequate description

thereof;

(l)

a description of the independent verification scheme;

(m) any other relevant details, for example where two or more

installations operate in combination in a way which affects the major hazard

potential of either or all installations;

(n) the information relevant to other requirements under these

regulations obtained pursuant to the major accident prevention requirements

of Directive 92/91/EEC;

(o) in respect of operations to be conducted from the installation, any

information relating to the prevention of major accidents resulting in

significant or serious damage to the environment relevant to other

requirements under these regulations, obtained pursuant to Directive 2011/

92/EU;

(p) an assessment of the identified potential environmental effects

resulting from the loss of containment of pollutants arising from a major

accident, and a description of the technical and non-technical measures

envisaged to prevent, reduce or offset them, including monitoring.

3. INFORMATION TO BE SUBMITTED IN A REPORT ON MAJOR

HAZARDS FOR A NON-PRODUCTION INSTALLATION

Reports on major hazards for a non-production installation to be prepared in

accordance with regulation 26 and submitted pursuant to regulation 24(1)(e) shall

contain at least the following information

(a)

the name and address of the owner;

(b) a summary of any worker involvement in the preparation of the

report on major hazards;

(c)

a description of the installation and, in the case of a mobile

installation, a description of its means of transfer between locations, and its

stationing system;

(d) a description of the types of operations with major hazard

potential that the installation is capable of performing, and the maximum

number of persons that can be on the installation at any time;

(e)

demonstration that all the major hazards have been identified,

their likelihood and consequences assessed, including any environmental,

meteorological and seabed limitations on safe operations and that their

control measures including associated safety and environmental critical

elements are suitable so as to reduce the risk of a major accident to an

acceptable level; this demonstration shall include an assessment of any oil

spill response effectiveness;

(f)

a description of the plant and arrangements to ensure well

control, process safety, containment of hazardous substances, prevention of

fire and explosion, protection of the workers from hazardous substances, and

protection of the environment from a major accident;

(g) a description of the arrangements to protect persons on the

installation from major hazards, and to ensure their safe escape, evacuation

and rescue, and arrangements for the maintenance of control systems to

prevent damage to the installation and the environment in the event that all

personnel are evacuated;

(h) relevant codes, standards and guidance used in the construction

and commissioning of the installation;

(i)

demonstration that all the major hazards have been identified for

all operations the installation is capable of performing, and that the risk of a

major accident is reduced to an acceptable level;

(j)

a description of any environmental, meteorological and seabed

limitations on safe operations, and the arrangements for identifying risks

from seabed and marine hazards such as pipelines and the moorings of

adjacent installations;

(k) information, regarding the safety and environmental management

system, that is relevant to the non-production installation;

(l)

an internal emergency response plan or an adequate description

thereof;

(m)

a description of the independent verification scheme;

(n) any other relevant details, for example where two or more

installations operate in combination in a way which affects the major hazard

potential of either or all installations;

(o) in respect of operations to be conducted from the installation, any

information obtained pursuant to Directive 2011/92/EU relating to the

prevention of major accidents resulting in significant or serious damage to

the environment relevant to other requirements under these regulations;

(p)

an assessment of the identified potential environmental effects

resulting from the loss of containment of pollutants arising from a major

accident, and a description of the technical and non-technical measures

envisaged to prevent, reduce or offset them, including monitoring.

4. INFORMATION TO BE SUBMITTED IN A NOTIFICATION OF

WELL OPERATIONS

Notifications of well operations to be prepared in accordance with regulation

28 and submitted pursuant to regulation 24(1)(h) shall contain at least the

following information

(a)

the name and address of the operator of the well;

(b) the name of the installation to be used and the name and address

of the owner or, in the case of a production installation, the contractor

undertaking drilling activities;

(c)

details that identify the well and any association with installations

and connected infrastructure;

(d) information on the well work programme, including the period of

its operation, details and verification of barriers against loss of well control

(equipment, drilling fluids and cement etc.), directional control of the well

path, and limitations on safe operations in keeping with the risk management;

(e)

in the case of an existing well, information regarding its history

and condition;

(f)

any details concerning safety equipment to be deployed that are

not described in the current report on major hazards for the installation;

(g)

a risk assessment incorporating a description of

(i) the particular hazards associated with the well operation

including any environmental, meteorological and seabed limitations on

safe operations;

(ii)

the subsurface hazards;

(iii) any surface or sub-sea operations which introduce

simultaneous major hazard potential; and

(iv) suitable control measures;

(h) a description of the well configuration at the end of operations -

i.e. permanently or temporarily abandoned; and whether production

equipment has been placed into the well for future use;

(i)

in the case of a modification to a previously submitted

notification of well operations, sufficient details to fully update the

notification;

(j)

where a well is to be constructed, modified or maintained by

means of a non-production installation, additional information as follows

(i) a description of any environmental, meteorological and

seabed limitations on safe operations, and arrangements for identifying

risks from seabed and marine hazards such as pipelines and the

moorings of adjacent installations;

(ii) a description of environmental conditions that have been

taken into account within the internal emergency response plan for the

installation;

(iii) a description of emergency response arrangements

including arrangements for responding in cases of environmental

incidents that are not described in the report on major hazards; and

(iv) a description of how the management systems of the

operator of the well and the owner are to be coordinated to ensure

effective control of major hazards at all times;

(k) a report with findings of the independent well examination,

including a statement by the operator of the well that, after considering the

report and findings of independent well examination by the independent

verifier, the risk management relating to well design and its barriers to loss of

control are suitable for all anticipated conditions and circumstances;

(l)

the information relevant to these regulations obtained pursuant to

the major accident prevention requirements of Directive 92/91/EEC;

(m) in respect of the well operations to be conducted, any information

relevant to other requirements under these regulations obtained pursuant to

Directive 2011/92/EU relating to the prevention of major accidents resulting

in significant or serious damage to the environment.

5. INFORMATION

TO

BE

SUBMITTED

RELATING

TO

A

VERIFICATION SCHEME

Descriptions to be submitted pursuant to regulation 24(1)(d) in relation to

schemes of independent verification to be established pursuant to regulation 30(1)

shall include

(a)

a statement by the operator or owner, made after considering the

report of the independent verifier, that the record of safety critical elements

and their scheme of maintenance as specified in the report on major hazards

are or will be suitable;

(b) a description of the verification scheme including the selection of

independent verifiers, the means of verification that safety and

environmental critical elements and any specified plant in the scheme remain

in good repair and condition;

(c)

a description of the means of verification referred to in sub-item

(b) above that shall include details of the principles that will be applied to

carry out the functions under the scheme and to keep the scheme under

review throughout the life-cycle of the installation including

(i) the examination and testing of the safety and

environmental critical elements by independent and competent

verifiers;

(ii) verification of the design, standard, certification or other

system of conformity of the safety and environmental critical elements;

(iii) examination of work in progress;

(iv) the reporting of any instances of non-compliance; and

(v)

remedial actions taken by the operator or owner.

6. INFORMATION TO BE PROVIDED IN RESPECT OF A MATERIAL

CHANGE TO AN INSTALLATION, INCLUDING REMOVAL OF A FIXED

INSTALLATION

Where material changes are to be made to the installation as referred to in

regulation 25(5) and regulation 26(4), the amended report on major hazards

incorporating the material changes to be submitted pursuant to regulation 24(1)(f)

shall contain at least the following information

(a)

the name and address of the operator or the owner;

(b) a summary of any worker involvement in the preparation of the

revised report on major hazards;

(c)

sufficient details to fully update the earlier report on major

hazards and associated internal emergency response plan for the installation

and to demonstrate major hazard risks are reduced to an acceptable level;

(d)

in the case of taking a fixed production installation out of use

(i) means of isolating all hazardous substances and in the case

of wells connected to the installation, the permanent sealing of the wells

from the installation and the environment;

(ii) a description of major hazard risks associated with the

decommissioning of the installation to workers and the environment,

the total exposed population, and the risk control measures;

(iii) emergency response arrangements to secure safe

evacuation and rescue of personnel and to maintain control systems for

preventing a major accident to the environment.

7. INFORMATION TO BE SUBMITTED IN A NOTIFICATION OF

COMBINED OPERATIONS

The notification of combined operations to be prepared pursuant to

regulation 29 and submitted pursuant to regulation 24(1)(a) shall contain at least

the following information

(a)

the name and address of the operator submitting the notification;

(b) in the event that other operators or owners are involved in the

combined operations their names and addresses, including a confirmation

that they agree with the contents of the notification;

(c)

a description, in the form of a bridging document authorised by

all parties to the document, of how the management systems for the

installations involved in the combined operation will be coordinated so as to

reduce the risk of a major accident to an acceptable level;

(d) a description of any equipment to be used in connection with the

combined operation but which is not described in the current report on major

hazards for any of the installations involved in the combined operations;

(e)

a summary of the risk assessment carried out by all operators and

owners involved in the combined operations, which shall include

(i) a description of any operation during the combined

operation which may involve hazards with the potential to cause a major

accident on or in connection with an installation;

(ii) a description of any risk control measures introduced as a

result of the risk assessment;

(f)

a description of the combined operation and a programme of

work.

8. INFORMATION TO BE SUBMITTED IN RESPECT OF A

CORPORATE MAJOR ACCIDENT PREVENTION POLICY

The corporate major accident prevention policy to be prepared in accordance

with regulation 32(1) and submitted pursuant to regulation 24(1)(a) shall include

but not be limited to

(a)

the responsibility at corporate board level for ensuring, on a

continuous basis, that the corporate major accident prevention policy is

suitable, implemented, and operating as intended;

(b) measures for building and maintaining a strong safety culture

with a high likelihood of continuous safe operation;

(c)

the extent and intensity of process auditing;

(d)

measures for rewarding and recognising desired behaviours;

(e)

the evaluation of the company’s capabilities and goals;

(f)

measures for maintenance of safety and environmental protection

standards as a corporate core value;

(g) formal command and control systems that include board

members and senior management of the company;

(h)

the approach to competency at all levels of the company;

(i)

the extent to which sub-items (a) to (h) above are applied in the

company’s offshore oil and gas operations conducted outside the European

9. INFORMATION TO BE PROVIDED IN RESPECT OF A SAFETY

AND ENVIRONMENTAL MANAGEMENT SYSTEM

The safety and environmental management system to be prepared pursuant to

regulation 33 and submitted pursuant to regulation 24(1)(b) shall include but not

(a)

organisation structure and personnel roles and responsibilities;

(b) identification and evaluation of major hazards as well as their

likelihood and potential consequences;

(c)

integration of environmental impact into major accident risk

assessments in the report on major hazards;

(d)

controls of the major hazards during normal operations;

(e)

management of change;

(f)

emergency planning and response;

(g)

limitation of damage to the environment;

(h)

monitoring of performance;

(i)

audit and review arrangements; and

(j)

the measures in place for participating in tripartite consultations

and how actions resulting from those consultations are put into effect.

10. INFORMATION TO BE

PROVIDED

IN

AN

INTERNAL

EMERGENCY RESPONSE PLAN

Internal emergency response plans to be prepared pursuant to regulation 27

and submitted pursuant to regulation 24(1)(g) shall include but not be limited to

(a)

names and positions of persons authorised to initiate emergency

response procedures and the person directing the internal emergency

response;

(b) name or position of the person with responsibility for liaising

with the authority or authorities responsible for the external emergency

response plan;

(c)

a description of all foreseeable conditions or events which could

cause a major accident, as described in the report on major hazards to which

the plan is attached;

(d) a description of the actions that will be taken to control

conditions or events which could cause a major accident and to limit their

consequences;

(e)

a description of the equipment and the resources available,

including for capping any potential spill;

(f)

arrangements for limiting the risks to persons on the installation

and the environment, including how warnings are to be given and the actions

persons are expected to take on receipt of a warning;

(g) in the case of combined operation, arrangements for coordinating

escape, evacuation and rescue between the installations concerned, to secure

a good prospect of survival for persons on the installations during a major

accident;

(h) an estimate of oil spill response effectiveness. Environmental

conditions to be considered in this response analysis shall include

(i) weather, including wind, visibility, precipitation and

temperature;

(ii) states, tides, and currents;

(iii) presence of ice and debris;

(iv) hours of daylight; and

(v) other known environmental conditions that might

influence the efficiency of the response equipment or the overall

effectiveness of a response effort;

(i)

arrangements for providing early warning of a major accident to

the authority or authorities responsible for initiating the external emergency

response plan, the type of information which shall be contained in an initial

warning and the arrangements for the provision of more detailed information

as it becomes available;

(j)

arrangements for training personnel in the duties they will be

expected to carry out, and where necessary coordinating this with external

emergency responders;

(k) arrangements for coordinating internal emergency response with

external emergency response;

(l)

evidence of prior assessments of any chemicals used as

dispersants that have been carried out to minimise public health implications

and any further environmental damage.

Schedule Two

Reports of well operations to be submitted to the competent authority

pursuant to regulation 28(4)

The reports to be submitted shall contain at least the following information

(a)

the name and address of the operator of the well;

(b) the name of the installation and the name and address of the

operator or owner;

(c)

details that identify the well and any association with installations

or connected infrastructure;

(d) a summary of the operations undertaken

since

the

commencement of operations or since the previous report;

(e)

the diameter and true vertical and measured depths of

(i)

any hole drilled; and

(ii) any casing installed;

(f)

the drilling fluid density at the time of making the report; and

(g) in the case of operations relating to an existing well, its current

operational state.

Schedule Three

Provisions relating to the appointment and functioning of the competent authority

pursuant to regulations 16 and 17

1. Provisions relating to the appointment of the competent authority

(a)

For the purposes of appointing the competent authority

responsible for the duties set out in regulation 17, the following shall be

undertaken

(i) the making of organisational arrangements which allow for

the duties assigned to the competent authority in these regulations to be

effectively discharged, including arrangements for regulating safety and

environmental protection in an equitable manner;

(ii) the preparation of a policy statement describing the aims

of oversight and enforcement, and the obligations on the competent

authority to achieve transparency, consistency, proportionality and

objectivity in its regulation of offshore oil and gas operations.

(b) The following necessary provisions to bring the arrangements in

sub-item (a) above into effect shall be made

(i) funding sufficient specialist expertise available internally

or by formal agreements with third parties or both in order that the

competent authority may inspect and investigate operations, take

enforcement action, and to handle reports on major hazards and

notifications;

(ii) where there is reliance on external sources of expertise,

funding the preparation of sufficient written guidance and oversight to

maintain consistency of approach and to ensure the legally appointed

competent authority retains full responsibility under these regulations;

(iii) funding essential training, communication, access to

technology, travel and subsistence of competent authority personnel for

the carrying out of their duties, and to facilitate the active cooperation

between competent authorities pursuant to regulation 44;

(iv) where appropriate, requiring operators or owners to

reimburse the competent authority for the cost of carrying out its duties

pursuant to these regulations;

(v) funding and encouraging research pursuant to the

competent authority’s duties under these regulations;

(vi) providing funding for reports by the competent authority.

2. Provisions relating to the functioning of the competent authority

(a)

For the purposes of carrying out its duties pursuant to regulation

17 effectively, the competent authority shall prepare

(i) a written strategy that describes its duties, priorities for

action i.e. in design and operation of installations, integrity management

and in emergency preparedness and response, and how it is organised;

(ii) operating procedures that describe how it will inspect and

enforce the execution of the duties of operators and owners under these

regulations, including how it will handle, assess and accept reports on

major hazards, handle notifications of well operations and how the

intervals between inspection of major hazard risk control measures,

including to the environment, for a given installation or activity are to

be determined;

(iii) procedures for carrying out its duties without prejudice to

other responsibilities, for example onshore oil and gas operations, and

arrangements pursuant to Directive 92/91/EEC;

(iv) where the competent authority is comprised of more than

one body, a formal agreement establishing the necessary mechanisms

for joint operation of the competent authority, including senior

management oversight and monitoring and reviews, joint planning and

inspection, division of responsibilities for handling reports on major

hazards, joint investigation, internal communications, and reports to be

published jointly externally.

(b) The detailed procedures for assessment of reports on major

hazards shall require all factual information and other particulars required

under these regulations to be provided by the operator or the owner. As a

minimum the competent authority shall ensure that the requirements for the

following information are clearly specified in guidance to operators and

owners

(i)

all foreseeable hazards with the potential to cause a major

accident, including to the environment, have been identified, their risks

evaluated and measures identified, including emergency responses, to

control the risks;

(ii) the safety and environmental management system is

adequately described to demonstrate compliance with these regulations;

(iii) adequate arrangements have been described

for

independent verification, and for audit by the operator or owner.

(c)

In undertaking a thorough assessment of reports on major

hazards, the competent authority shall ensure that

(i)

all factual information required is provided;

(ii) the operator or the owner has identified all reasonably

foreseeable major accident hazards that apply to the installation and its

functions, together with potential initiating events, and that the

methodology and evaluation criteria adopted for major accident risk

management are clearly explained, including factors for uncertainty in

the analysis;

(iii) the risk management have taken into consideration all

relevant stages in the life-cycle of the installation and have anticipated

all foreseeable situations including

(aa) how the design decisions described in the design

notification have taken account of risk management so as to

ensure inherent safety and environmental principles are

incorporated;

(bb) how well operations are to be conducted from the

installation when operating;

(cc) how well operations are to be undertaken and

temporarily suspended before production is commenced from a

production installation;

(dd) how combined operations are to be undertaken with

other installation;

(ee) how the decommissioning of the installation will be

undertaken;

(iv) how risk reduction measures identified as part of the risk

management are intended to be implemented if necessary to reduce

risks to an acceptable level;

(v) whether, in determining the necessary measures to achieve

acceptable levels of risk, the operator or owner has clearly demonstrated

how relevant good practice and judgment based on sound engineering,

best management practice, and human and organisational factors

principles have been taken into account;

(vi) whether the measures and arrangements for the detection

of, and the rapid and effective response to, an emergency are clearly

identified and justified;

(vii) how escape, evacuation and rescue arrangements and

measures to limit escalation of an emergency and reduce its impact on

the environment are integrated in a logical and systematic manner,

taking account of the likely emergency conditions in which they will be

operated;

(viii) how the requirements are incorporated in the internal

emergency response plans and whether a copy or an adequate

description of the internal emergency response plan has been submitted

to the competent authority;

(ix) whether the safety and environmental management system

described in the report on major hazards is adequate to ensure control of

the major hazard risks at each stage of the installation life-cycle, and

ensures compliance with all relevant legal provisions, and provides for

auditing and implementing audit recommendations; and

(x)

whether the scheme for independent verification is clearly

explained.

Schedule Four

Provisions by operators and owners for prevention of major accidents

pursuant to regulation 35

1. Operators and owners shall

(a)

pay particular attention to evaluation of the reliability and

integrity requirements of all safety and environmental critical systems and

base their inspection and maintenance systems on achieving the required

level of safety and environmental integrity;

(b) take appropriate measures to ensure as far as reasonably

practicable that there is no unplanned escape of hazardous substances from

pipelines, vessels and systems intended for their safe confinement. In

addition, operators and owners shall ensure that no single failure of a

containment barrier can lead to a major accident;

(c)

prepare an inventory of available equipment, its ownership,

location, transport to and mode of deployment at the installation and any

entities relevant to the implementation of the internal emergency response

plan. The inventory shall identify measures in place to ensure equipment and

procedures are maintained in operable condition;

(d) ensure they have a suitable framework for monitoring compliance

with all relevant statutory provisions by incorporating their statutory duties

in respect of major hazards control and environmental protection into their

standard operating procedures; and

(e)

pay particular attention to building and maintaining a strong

safety culture with a high likelihood of continuous safe operation, including

with regard to securing cooperation of the workers through, inter alia

(i) visible commitment to tripartite consultations and actions

arising therefrom;

(ii) encouraging and rewarding reporting of accidents and

near-misses;

(iii) working effectively with elected safety representatives;

and

(iv) protecting whistleblowers.

2. Industry shall cooperate with the competent authority to establish and

implement a priority plan for the development of standards, guidance and rules

which will give effect to best practice in major accident prevention, and limitation

of consequences of major accidents should they nonetheless occur.

Schedule Five

Selection of the independent verifier and the design of schemes for independent

verification pursuant to regulation 30(3)

1. The operator or owner shall ensure the following conditions are fulfilled

with regard to the verifier’s independence from the operator and the owner

(a)

the function does not require the independent verifier to consider

any aspect of a safety and environmental critical element or any part of an

installation or a well or a well design in which the verifier was previously

involved prior to the verification activity or where his or her objectivity

might be compromised;

(b) the independent verifier is sufficiently independent of a

management system which has, or has had, any responsibility for any aspect

of a component covered by the scheme for independent verification or well

examination so as to ensure objectivity in carrying out his or her functions

under the scheme.

2. The operator or the owner shall ensure that, in respect of the scheme for

independent verification relating to an installation or a well, the following

conditions are fulfilled

(a)

the independent verifier has suitable technical competence,

including where necessary, suitably qualified and experienced personnel in

adequate numbers who fulfil the requirements of item 1 above;

(b) tasks under the scheme for independent verification are

appropriately allocated by the independent verifier to personnel qualified to

undertake them;

(c)

suitable arrangements are in place for the flow of information

between the operator or owner and the independent verifier; and

(d) the independent verifier is given suitable authority to be able to

carry out the functions effectively.

3. Material changes shall be referred to the independent verifier for further

verification in accordance with the scheme for independent verification, and the

outcomes of such further verification shall be communicated to the competent

authority, if requested.

Schedule Six

Information relating to priorities for cooperation between operators and owners

and the competent authority pursuant to regulation 37

The matters to be considered for establishing priorities for the development

of standards and guidance shall give practical effect to major accident prevention

and limitation of their consequences. The matters shall include

(a)

improving well integrity, well control equipment and barriers and

monitoring their effectiveness;

(b)

improving primary containment;

(c)

improving secondary containment that restricts escalation of an

incipient major accident, including well blow-outs;

(d)

reliable decision making;

(e)

management and supervision of major hazard operations;

(f)

competency of key post holders;

(g)

effective risk management;

(h)

reliability assessment for safety and environmental critical

(i)

key performance indicators;

(j)

effectively integrating safety and environmental management

systems between operators and owners and other entities involved in oil and

gas operations.

B

€1.98