Decommissioning

Decommissioning

This is an overview of the key content to be found in our Decommissioning subtopic. It briefly explains the nature of this content and provides links to it.

For more general information on oil and gas licensing and regulation, see subtopic: Oil and gas licensing and regulation—overview.

The Department for Energy Security and Net Zero (DESNZ) was established on 7 February 2023 and has taken over the energy portfolio (including in respect of oil and gas commissioning) of the former Department for Business, Energy and Industrial Strategy (BEIS), which no longer exists.

Decommissioning—introductory Practice Notes

Practice Note: ‘Conventional’ Oil and Gas—An Introduction provides an introduction to the key elements of the ‘conventional’ oil and gas sector, including licensing and regulation, the upstream, midstream and downstream elements of the sector, corporate transactions, health and safety, decommissioning and LNG, and provides links to related, more in-depth content on such topics.

Practice Note: The Energy White Paper—an overview [Archived] considers some of the key measures announced in the Energy White Paper published by the former BEIS on 14 December 2020 and their expected impact on the energy sector. It also provides

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Latest Energy News

Ofgem consults on smart meter guaranteed standards of performance

Ofgem has launched a consultation on introducing smart meter guaranteed standards of performance. The consultation aims to clarify that the Electricity and Gas (Standards of Performance) (Suppliers) Regulations 2015, SI 2015/1544, apply to both smart and traditional meters, ensuring a clear understanding for energy suppliers and consumers. It also proposes four new guaranteed standards to address various smart metering-related issues: (1) reducing wait times for smart meter installation appointments so that customers are offered an appointment within six weeks of their request; (2) providing compensation for failed installations due to faults within the supplier’s control; (3) requiring suppliers to deliver a resolution plan within five working days if a customer reports a problem with their smart meter; and (4) providing compensation if smart meters do not operate in smart mode and remain unresolved for over 90 days. The consultation closes on 9 May 2025. The feedback received will assist Ofgem in drafting the statutory instrument required to implement these standards.

NESO publishes 2025 Operability Strategy Report and Electricity Markets Roadmap

The National Energy System Operator (NESO) has published its 2025 Operability Strategy Report and Electricity Markets Roadmap, highlighting improvements made in 2024 to support its 2025 goals and enhance industry operations. The Operability Strategy Report details the expected operability challenges in transitioning to a clean power electricity system by 2030. The report focuses on seven key areas of system operability: adequacy, flexibility, frequency, thermal, voltage, stability, and restoration. The report utilises Clean Power 2030 analysis and data, providing insights into the potential operational landscape of a clean power system. The Electricity Markets Roadmap details NESO's design principles and plans to reform and evolve Britain's electricity markets. It outlines NESO's vision for various market segments, including response, reserve, thermal, voltage, stability, and restoration markets, as well as revenue stacking and the Balancing Mechanism.

SAU publishes evaluation report on modified Capacity Market scheme

The Subsidy Advice Unit (SAU) has published a report in response to a request from the Department for Energy Security and Net Zero (DESNZ) regarding the Capacity Market scheme, as amended in 2025. The report evaluates DESNZ's assessment of the scheme's compliance with the requirements outlined in the Subsidy Control Act 2022 (SCA 2022).

Ofgem publishes updated RIGs, RRPs, and PCFM guidance for RIIO-2 Year 4

Ofgem has published the updated versions of the RIIO-2 Regulatory Instructions and Guidance (RIGs), Regulatory Reporting Packs (RRPs), and Price Control Financial Model (PCFM) guidance for gas distribution networks. These changes, initially proposed by Ofgem via a notice on 21 February 2025, were made following stakeholder feedback and aim to clarify reporting requirements for network licensees. The changes are effective immediately, and Ofgem has clarified that annual reporting information submitted for the 2024-25 regulatory year must comply with these updated documents.