WIRELINE Issue 35 Spring 2016

ANDY SAMUEL

Q&A

MER UK Forum and Boards

new regulatory powers for the OGA including the ability for us to participate in meetings with operators, have access to data, provide dispute resolution and introduce a range of sanctions such as improvement notices and fines up to £1 million. I hope that by maintaining good relationships with industry, these are measures we would only use infrequently as a last resort. Internally, we have recruited a highly capable team and are now focussing on building on our existing strengths while remaining very cost conscious. Q: With a relatively broad remit, how will you prioritise in 2016 to give the industry the urgent support it needs? A: The sustained low oil price requires constant focus and careful prioritisation. At the end of last year, we created our low oil price contingency team specifically with the remit of understanding the issues facing companies and what the OGA and other parts of government can do to support. As part of their effort to manage costs and seek efficiencies, unfortunately many companies have been forced to reduce staffing levels. It is vitally important that key skills are retained in the industry and that apprenticeship and graduate schemes continue. I am on the Energy Jobs Task Force chaired by Scottish Enterprise chief executive Lena Wilson and we also have representation on the New Anglia LEP Oil and Gas Taskforce to provide support in this important region. Technology is vitally important in extracting the estimated 20 billion barrels still remaining on the UKCS. Our technology team is working closely with industry to ensure that existing technologies are deployed to their full effect and new technologies are developed. This effort is significantly bolstered by the recently announced Oil & Gas Technology Centre with government funding of £180 million.

Q: How will you seek to step up your engagement with industry and government moving forwards? A: The MER UK Forum acts as a conduit for bringing together government, industry and the OGA. It is focussed on seven core work areas (see image above), each with its own board and led by an industry executive with support from the OGA and Oil & Gas UK. These boards are an important vehicle for engagement and consultation with industry. Earlier this year, the UK Government established a new inter-ministerial group on oil and gas, which I am part of, chaired by Secretary of State for Energy and Climate Change Amber Rudd. It was founded to co-ordinate the UK’s response to the collapse in oil price and will focus on critical issues such as exports, skills and investment. We will continue working closely with industry and government to harness the tripartite approach to challenges and opportunities. A: Having served as an Oil & Gas UK Board member I saw first-hand the good work done by Oil & Gas UK on behalf of the industry. This work continues and the OGA is working closely with Deirdre and her team on a number of fronts such as the recently published Activity Survey and the Rockall Trough and Mid North Sea High seismic data release. We frequently cite collaboration as being the solution to navigating industry through the current challenging market and we recognise this approach must fully apply to us too. Q: How do you see the relationship between Oil & Gas UK and the OGA developing?

www.gov.uk/government/organisations/ oil-and-gas-authority

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