The UK Government stated that exiting the European Union without a deal following the March 2019 deadline will not cause any impact on the operational landscape for UK oil and gas firms.
In a note, the government stated: “The established regime for hydrocarbon licensing and environmental issues will continue to operate…UK and EU businesses will not be required to take any action.
“The government will amend the relevant legislation to ensure broad continuity. The legislative changes will have no impact on energy sector businesses, whose residual obligations under the legislation covered will remain unaltered.”
According to the note, as the country will remain a member of the International Energy Agency (IEA), it will have to meet the IEA’s oil stocking obligations for 90 days of net imports of oil, reported Reuters.
Meanwhile, Oil and Gas UK’s latest report stated that the oil and gas platforms in the country could face a shut down if a deal on Brexit creates difficulties in accessing skilled workers.
Due to delays in accessing labour from EU countries, it could lead to potential problems such as the platforms being shut down.
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The UK government, however, stated UK oil and gas firms could continue appointing workers from EU until 2020.
According to the report, around 5% of workers in the industry come from other EU countries. The EU workers comprise 7% of the workforce in the offshore platforms.
The report noted that was “vital that arrangements are in place between the UK and EU to allow the continued frictionless movement of people”.
Oil and Gas UK recommended that in order to reduce the impact of Brexit, the UK Government needs to gain frictionless access to markets and labour and maintains a voice in Europe.